I called my MP regarding the Viterra sale, specifically with concerns about Agrium and wholesale fertilizer production concentration. If you have concerns about this, please contact your MP as they need to hear if there are concerns. In Alberta, Agrium will have an ownership position in every fertilizer production facility. No matter who you deal with on the retail side, chances are they have to source some of their product from Agrium.
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Viterra sale and Agrium concentration
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"Agrium now has a monopoly on fertilizer. And the
farmer MPs that are conservatives really should
open their eyes. They can't be that stupid."
Oh the irony! You were all happy enough to suck up
to the same Conservative MPs to get rid of the CWB
and strengthen the hand of the corporate grain and
commodity corporations. Now you're wondering if
they can really be so stupid? how about yourselves?
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Glencore's proposal is in two steps. Step 1 is to buy
all assets of Viterra. Step 2 is to part with some
assets to Agrium and Richardson. Without approval
of #2, #1 may not happen. It doesn't matter,
Agrium's game plan is to corner market share one
way or the other. Not much comfort, but they do
not view the Canadian prairies as separate but as
part of the total NA market. And when all is said
and done, what they sell here is a smidgen of what
their US business is. Still big bucks though. After
the BHP affair, I don't see much appetite for
stopping this deal by the Feds.
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Grassfarmer in case you really don't understand the situation, in the case of the CWB we were trying to get rid of a monopoly and in the case of Agrium we would like to prevent the formation of another one!!! However the chances of preventing Agrium from sowing up the fertilizer buisness is slight.
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The western grain producer richly deserves what is coming his/her way in grain marketing and the fertilizer, herbicide and other input monopolies massing to service your every need. If you really get desperate there's always the Hudson Bay route and Russian freighters to bring in fertilizers and herbicides.
I'm sure you'll get it all sorted out eventually...or not.
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Well Agrium, Potash Corp, and Mosaic's Monopoly on Canadian Potash will some day come to and end as BHP is scheduled to set up 3 potash mines consecutively and not sure if that is the end of it yet. Since BHP is just getting into the fertilizer business in a big way, how about them buying the retail outlets? As a new player in the retail sector with power to bring in Phospate or even compete in the local N Manufacturing. I think our provincial gov't should look long and hard at the Agrium deal, allowing monopolies to exist is wrong in my opinion. If we wish to protect our resources the Federal and Provincial gov'ts always hold the power to create higher taxes and laws etc. BHP should be invited to the table.
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