To start out my blog and how Monsanto affects the economy and business, I will introduce how the farmers have such a big influence on the economy. To put into perspective how much money Monsanto makes, I read this report. Monsanto is the world’s largest seed manufacture. A company that makes billions upon billions of dollars has a big impact on the global economy. Monsanto makes a large, if not all of their money from farmers. Farming is a source of life for humans and Monsanto seeks to profit by charging farmers large amounts of money.
Farmers, small and large, must deal with Monsanto. Monsanto is not in the business to provide the best product for consumers and does not consider the long-term effects the product will have on humans and the Earth.
This Asgrow 4P system is a yearly high yield management system that is sold to soybean farmers. Although this product sounds beneficial, a lot of the numbers Monsanto uses to attract farmers are no where near being accurate. Most of the research with their products is performed in perfect environments like labs. The yield farmers expect from using this type of product is not worth the cost.
When farmers buy these expensive products, it hits the farmers and the consumers. The only people to benefit off the product are the shareholders and employees of Monsanto. When selling these soybeans, farmers must decide a price to sell them. Since they spent more money in expenses expecting a better product, they usually predict costs not to change much or that they will be cheaper for the consumer. Farmers also must consider who their customers might be. In some regions, they are dealing with customers who can’t afford to pay much more for food. Usually the farmers that know they are selling to poorer regions are the ones that try these high yield systems to lower the cost to the consumer. This is where government farming subsidies comes into play. The farmers are the ones actually looking out for the consumer and take a loss on products and then the government (the people) ends up having to pay the farmers so they have a liveable income. Because of Monsanto, farmers have a large part in how much money people will spend on food and whether they can afford to consume the healthier, organic foods.