DES MOINES, Iowa (AP) – Agribusiness giant Monsanto is dropping a major construction project in Independence, telling state officials that market changes have led it to change course.
Documents distributed by the Iowa Economic Development Authority indicate Monsanto planned to build a $90 million seed corn plant in Independence, creating 47 jobs. Monsanto says it’s no longer pursuing the project and wants to cancel a contract for $7.5 million in job creation tax credits.
DuPont Pioneer also seeks to cancel contracts for $13 million in tax benefits tied to creating 300 jobs for three projects. Pioneer is completing the projects but will not create the promised number of jobs.
Farm income is down for the third consecutive year prompting farmers to spend less pressuring seed companies like Pioneer and Monsanto to lower profit expectations.