Consolidation

Two giants of American agriculture and industry are closer to becoming one.

Dow and DuPont, both leaders in agricultural chemicals and seeds, among other products, received approval from the U.S. Department of Justice to move ahead with a merger, provided they divest several products.

The massive industry that supplies farmers with the tools to raise crops is on the brink of a watershed moment. High-profile deals that would see some of the largest global agri-chemical companies combine are in the works and could have ripple effects from farm fields to dinner tables across the globe.

Five of the six biggest companies that produce and sell seeds and chemicals to the world’s farmers are pursuing deals that could leave a market dominated by just three giant, global companies. They say getting bigger means bringing more sophisticated and innovative solutions to farmers faster, but opponents say consolidation has irreversible downsides.