Grain Growers of Canada raises concerns about proposed Bunge-Viterra merger as feds prepare to make decision on deal
“Our position right now is really for the government to really take a thorough review here, because I think there are major concerns,” said Kyle Larkin, executive director of the GGC.A Viterra grain storage facility is shown August 30, 2007 near Regina, Sask. Canada’s grain farmers are raising concerns to Ottawa over a proposed merger of agribusiness giants Bunge and Viterra, warning the deal will weaken competition and drive up costs for producers.
Kyle Larkin, executive director of the Grain Growers of Canada, says there isn’t a single silver bullet that will make the merger more palatable to farmers but called on the feds to “heed” concerns from producers about the loss of competition in the field and “losing the price on canola or other grains.”
He pointed to a report from the Competition Bureau and a study by the University of Saskatchewan that found competition would be severely impaired by the merger, especially in the Prairie provinces. He said the U of S study estimated the deal would lead to a $770 million loss for farmers annually, and a $10,000 annual lost for the average farmer in Manitoba.