Beyond the food processors, though, there are the actual developers of genetically modified crops — companies like Monsanto Company (NYSE:MON), E I Du Pont De Nemours And Co (NYSE:DD), and Syngenta AG (ADR) (NYSE:SYT). Increased regulation is one of the top issues facing these companies, and many countries around the world have passed laws ranging from labeling to outright banning their products.
In Europe, for example, GM ingredients are generally allowed in food, but several countries have banned the cultivation of certain GM crops, Monsanto Company (NYSE:MON) crops in particular, and the approval process can drag on for many years. Monsanto Company (NYSE:MON) finally threw up its hands this past summer and announced that it would no longer be seeking approval for a number of crops that have been in regulatory limbo for nearly a decade. E I Du Pont De Nemours And Co (NYSE:DD) and Syngenta AG (ADR) (NYSE:SYT) also have crops similarly stalled, but announced that they would continue with the process.
The Foolish bottom line
Fans of Star Trek might recall that the 34th Rule of Acquisition states that war is good for business, while the 35th states that peace is good for business. Whatever your stance on GMOs, it’s hard to argue that the controversy isn’t good for Whole Foods Market, Inc. (NASDAQ:WFM), which can exploit the fear to bring in more customers. At the same time, companies trying to sell GM products would benefit from a lot less regulatory uncertainty. Either way, there’s an opportunity for investors.
The article You Can Profit From Either Side of This Food Fight originally appeared on Fool.com and is written by Jacob Roche.
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