NOTE: Earlier today we put out a news report from Pagina 12, an Argentine newspaper, which said that seed company Nidera was being investigated by the Argentine government for tax evasion. The article also accused Nidera of various human rights abuses, including slave-like treatment of workers.

Nidera has replied to the accusations in this article and others and we reproduce its statement in full below.
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NIDERA S.A., Argentina informs
http://www.nidera.com/default.aspx?partId=33&CID=434

With regard to certain local media reports that Nidera's seed division in Argentina had employed temporary workers who were unregistered and exploited by the company, Nidera categorically denies those false allegations and wishes to clarify that: (a) it is untrue that any of its workers, including the referred temporary detasseling force, is unregistered;  as per standard company policy, each worker is contracted directly by the company under Argentine law, and each file is registered with the social security and tax offices and covered by accident and life insurance;    (b) the salary and the transport,  working, lodging, hygiene and food conditions for this task are specified by law;   Nidera has consistently adhered to both the law and industry practices;    it is also untrue that any costs for these services are offset against wages, as they are entirely for the company's account.  All of the above has been documented in the company's presentation to labor authorities and the
intervening court officials.

The underlying accusation refers to a common industry practice whereby the agronomic seed companies hire temporary employees for detasseling hybrid corn seed plants.    The industry has issued a public statement in the country's leading newspapers through the Asociación de Semilleros Argentinos ASA (Argentine Seed Association) stating that its members are committed to comply with the association's Code of Ethics and Good Practices, and that they apply their own standards which in many cases reach the highest existing international standards for agricultural rural work. The statement is added below in free English translation, and ASA's background can be found at its website (http://www.asa.org.ar/).

Nidera began its activities in Argentina in 1929 and is today a leading seeds, nutrients and crop protection company, in addition to its activity as oilseed processor and grain exporter. It is a pioneer in the country's development of seed technology that contributed to today's output of more than 100 million tons, it operates through a network of more than 300 distributors throughout the country, and employs about 1.400 full time persons in Argentina supported by eight industrial facilities for seed research and classification, vegetable oil manufacturing and grain and fertilizer handling, and its current investment program exceeds US$100.0 million.  Nidera is recognized locally and internationally for the quality of its products and services.

Buenos Aires, January 6, 2011

THE MEMBER COMPANIES OF THE ARGENTINE SEED ASSOCIATION HIRE THEIR PERMAMENT AND TEMPORARY EMPLOYEES IN ACCORDANCE WITH ALL APPLICABLE LAWS

The member Companies of the Argentine Seed Association reject all accusations referred to the existence of "slave labor" or "child employment" of which some of its member companies have been accused.

Certain information which has become of public knowledge refers to the existence of a "criminal organization dedicated to the recruitment of workers for slave labor", and that Companies of the seed industry have "temporary employees under conditions similar to that of a concentration camp".

The member Companies of the Argentine Seed Association hire annually a total of 14,500 temporary employees, in strict accordance with the local regulations and with the National Rural Labor Law N° 22,248 and Decree N° 563. No illegal hiring is done. In addition to this, the seed Companies of the Argentine Seed Association are committed to comply with the Association's Code of Ethics and Good Practices, and they apply their own standards which, in many cases, reach the highest existing international standards for agricultural rural work.

Since its origins, 62 years ago, the Argentine Seed Association works in Argentina with the objective of developing an innovative industry which generates a substantial contribution for the growth and welfare of the Country. We commit to continue our work and projects with the excellence and responsibility we have been working for the last 62 years, always complying with the applicable legal regulations and in permanent collaboration with the local authorities for an ongoing improvement of the activity and the community welfare.

Buenos Aires, January 6, 2011

Argentine Seed Association