A new study by the University of Wisconsin sheds light on corn seed pricing and highlights the contribution of market power. Researchers from UW's Department of Agricultural & Applied Economics used a data set from 38,000 producers to document trends in corn seed pricing between 2000 - 2007. (Unfortunately, this data doesn't include the huge price increases for the 2008 and 2009 seasons.) The study notes that market power accounted for more than an 8% increase in corn seed prices.

OCM's been writing about the effect of market power on corn prices for a while now. We believe the independent seed producer sector of the market could be a counterweight to Monsanto's market power. But independents have become instead an additive impact on Monsanto's market power. The company's licensing contracts with independents limit current choice, provide a tool for Monsanto to raise prices, and quash future innovation by limiting the potential market for trait competitors. 

Here's the press release and full study (opens PDF).