In this episode, I dive deep into the U.S. corn industry, highlighting how biotech giants like Bayer and Corteva control 72% of the corn and 66% of soybeans planted in the U.S. With 90 million acres of corn production, 45% of it is used for ethanol, and these corporations dictate seed prices and control patents on genetically modified organisms (GMOs). Farmers are dependent on these companies for seeds that can withstand pesticides like glyphosate, which Monsanto (now owned by Bayer) has faced numerous lawsuits over.
What troubles me is how these corporations inflate prices. Between 1990 and 2020, seed prices increased by 170%, with GMO seeds seeing a 463% rise. As a result, this cost gets passed down to consumers, driving up food prices. On top of that, because China now owns one of the largest seed companies—Corteva—the need for GMO seeds means that a significant portion of this money ultimately flows to China. So, not only are farmers and consumers paying more, but a foreign entity benefits from this lack of competition.
The Biden administration's executive order, Promoting Competition in America's Economy, attempted to address this, but its execution has been flawed. The USDA's Farmer Seed Liaison aimed to gather public input but ended up mostly favoring corporate interests. As a result, the monopoly on seeds continues to thrive, which further stifles competition and limits transparency.
In my opinion, the solution to this problem lies in creating an open market and encouraging more competition, which will drive down costs for both farmers and consumers. By breaking up these monopolies and reducing dependency on companies like Bayer and Corteva, we can ensure that the power isn’t concentrated in the hands of a few—and especially not flowing into foreign hands like China’s.
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