Monsanto settles GM cotton dispute with three Indian seed firms

Three leading Indian cotton seed makers have settled an intellectual property dispute with Monsanto Co over its genetically modified (GM) seed technology, partly ending a legal tussle that has drawn in the Indian and U.S. governments.

Ajeet Seeds, Kaveri Seed Co Ltd and Ankur Seeds were among six Indian companies that delayed payments to Monsanto, demanding a cut in royalties they paid to the U.S. firm to licence its technology.
"The arbitration proceedings with each of these (three) companies have concluded by way of consent orders which record the mutually discussed and accepted settlement terms," Shilpa Divekar Nirula, CEO of Monsanto India, wrote in a letter to India's farm minister last month, and seen by Reuters.

A ministry spokesman said he was not aware of the letter.

The dispute sparked a series of government actions that prompted the world's biggest seed company to withdraw from some businesses in India, one of the world's most important seed markets, Reuters revealed in a special report earlier this year.

Mahyco Monsanto Biotech (India) (MMB), a joint venture between Monsanto and local firm Mahyco, licenses a gene that produces its own pesticide to more than 45 local cotton seed companies in lieu of royalties and an upfront payment.

Acting on complaints by some local seed companies that MMB's royalties were too high, the farm ministry last year cut the fees these local firms paid to Missouri-based Monsanto.
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