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Well, it is
conceivable that companies in the agri-food sector will become
interested. They see that it is now possible to breed into
plants certain characteristics that have a significant impact
in the subsequent processing of these plants. Therefore, they
might become interested in acquisitions in the seed sector to
achieve greater upstream integration.
Naturally, groups
in the agri-food sector are immeasurably larger than even the
largest seed companies. For them, such acquisitions would
represent comparatively small transactions.
This scenario
is certainly possible, but I don't believe it is inevitable,
because in this day and age globalization forces most
companies to achieve dominance in a specific sector rather
than either to diversify or to try and integrate up or
downstream.
It seems that
everyone is focused on achieving a truly global dimension. This means
choosing more carefully the sectors in which to participate
and divesting everything that is not your core business.
This leads me
to believe that the next few years should be less frenetic than
the recent past. |
