Monsanto, Cargill to Form Joint Venture

Monsanto Co. and Cargill Inc. agreed to form a venture to develop genetically enhanced food and feed products, linking St. Louis-based Monsanto’s gene technology with one of the world’s most powerful food-processing and distribution companies. The venture, the first of its kind, would create high-value products such as protein-rich corn for animal feed and low-cholesterol oil for humans from nutritionally enhanced crops. The alliance would give Monsanto a crucial bridgehead to the consumer market for food products with improved nutritional traits. Privately held Minnesota-based Cargill also stands to gain an advantage over rivals because genetically enhanced grain carries a higher price and produces more profit than standard commodity grains. Monsanto shares rose 31 cents to close at $56.13 on the New York Stock Exchange.