SEEDS STUDY

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Concentration of market power
in the EU seed market
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The case of maize is often used by the corporations and their lobby as an example of a high biodiversity crop,
since around 5000 varieties are registered in the catalogue. But no information about intervarietal genetic
diversity is available in order to support this. Almost all varieties in the catalogue are hybrids and half of them
belong to the top 5 corporations. In this case, the large number of varieties is more a measure of the profitability
of this crop than its agro-biodiversity value or genetic diversity. Today it is almost impossible for a farmer to find
a non-hybrid maize variety.
Wheat
Wheat65 is the most widely cultivated crop in the EU, at around 22 million hectares. 66 Despite the importance of
the crop, the number of varieties in the catalogue is smaller (2046) than for maize. The case of wheat is used
to show that concentration in the seed market is not yet occurring in Europe. But the fact is that the industrial-
scale seed industry has not yet managed to introduce high yielding hybrids to the market, and farmers can easily
save their own seeds for the next sowing. Therefore the wheat seed market is less profitable for the industry
compared with the maize seed market. Around 50% of the European wheat market is made up farm-saved
seeds.67Despite that, just two groups, Limagrain and KWS, control around 11.49% of the varieties (Limagrain
7.04% and KWS 4.45%). Monsanto and Syngenta have a small number of varieties registered. Considered in
isolation, these figures on numbers of varieties could indicate that there is little concentration in this sector; but
looking at the market share of the dominant companies changes that perspective:: Limagrain alone owns 16.5%
of the EU market share, for example.68 No data were found concerning KWS at EU level, but in the first three
wheat-producing Member States (Germany, France and UK), KWS has an average market share of around 20%,
while in the UK, KWS has an incredible 45% of the market share.69 From the financial reports of the biggest
companies in the EU, it emerges that they consider the wheat market to be strategic in the future.70
However, despite the lower profitability of the wheat seed market, it can be concluded that some companies
such as Limagrain and KWS acquired a dominant position in this market and can count on a genetic stock of more
than 200 varieties. This sector also suffers from the problem of decreasing genetic diversity: as far back as the
1990s, 90% of the total wheat area in Ireland, one of the largest EU wheat producers, was sown with just six
varieties; this decreases agro-ecosystem resilience and leaves it susceptible to pest attack, so decreasing long
term food security.71
65. In this section the term wheat refers to common or soft wheat (Triticum aestivum), as opposed to durum wheat. The analysis of the catalogue only focuses on that
species.
66.
67.
68.
69. KWS data, 201
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71. Shiva V. et al, The law of the Seed, Navdanya International, 2013, p.11,