New Delhi: US biotech giant Monsanto is heading for fresh trouble. Monopolies and Restrictive Trade Practices Commission’s (MRTPC) investigative arm Director General of Investigation and Registration (DGIR) has recommended an inquiry against its subsidiary Monsanto India Ltd for selling herbicides at high prices.
In its preliminary report, the DGIR has found that Monsanto India Ltd adopted unfair and restrictive trade practices in relation to sale of herbicides.
The DGIR has suggested that the MRTPC should start an inquiry against the company.
DGIR is understood to have said Monsanto India charged very high prices and reaped "unreasonable" profits.
The company also underutilised its production capacity at Silvassa, Dadra and Nagar Haveli. It was using less than 10 per cent of the installed capacity but even then managed a profit margin of about 20 per cent.
"We have not received any information and are not in a position to respond," a Monsanto India spokesperson told PTI.
The DGIR report recommending inquiry against Monsanto India Ltd comes even as its sister concern Mahyco Monsanto Biotech Ltd and parent company US-based Monsanto are battling legal cases in MRTPC.
Share price of Monsanto India ended 2.28 per cent per cent down to Rs 1,463 in a flat market.
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