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Competition Commission gives conditional nod for Bayer-Monsanto deal

indo-asian news service
Updated: June 20th, 2018, 23:14 IST
in Business, Home News
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New Delhi: Fair trade watchdog Competition Commission of India (CCI) has approved the acquisition of Monsanto by Bayer AG, subject to conditions designed to remove anti-competitive effects from the deal, the government announced Wednesday.

A Corporate Affairs Ministry statement here said that the CCI acted on a notice received from German healthcare major Bayer in relation to its proposed acquisition of American agrochemicals giant Monsanto.

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The conditions include divestment of Bayer’s glufosinate ammonium, crop traits of cotton and corn, and hybrid seeds of vegetables businesses to an independent entity, and divestment of shareholding of Monsanto in Maharashtra Hybrid Seed Company to an independent entity.

Besides, Bayer is also required to comply with non-exclusive licensing of GM as well as non-GM traits currently commercialized in India, or to be introduced in India in the future, on a fair, reasonable and non-discriminatory (FRAND) terms for seven years.

The combined entity has to follow a policy of non-exclusive licensing of non-selective herbicides, or their active ingredients, in cases of launch of new GM or non-GM traits in India.

The CCI also put conditions for the combined entity to allow Indian users to access existing Indian agro-climatic data on FRAND terms.

Tags: Bayer MonsantoCCICompetition Commission
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