1

BRETT BEGEMANNEXECUTIVE VICE PRESIDENT, INTERNATIONAL COMMERCIAL

MERRILL LYNCH,AGRICULTURAL CHEMICALS CONFERENCE

JUNE 14, 2006

2

Forward-Looking Statements

Certain statements contained in this release are "forward-looking statements," such as statements concerning the company's anticipated financial results, current and future product performance, regulatory approvals, business and financial plans and other non-historical facts. These statements are based on current expectations and currently available information. However, since these statements are based on factors that involve risks and uncertainties, the company's actual performance and results may differ materially from those described or implied by such forward-looking statements. Factors that could cause or contribute to such differences include, among others: continued competition in seeds, traits and agricultural chemicals; the company's exposure to various contingencies, including those related to intellectual property protection, regulatory compliance and the speed with which approvals are received, and public acceptance of biotechnology products; the success of the company's research and development activities; the outcomes of major lawsuits, including proceedings related to Solutia Inc.; developments related to foreign currencies and economies; successful completion and operation of recent and proposed acquisitions; fluctuations in commodity prices; compliance with regulations affecting our manufacturing; the accuracy of the company's estimates related to distribution inventory levels; the company's ability to fund its short-term financing needs and to obtain payment for the products that it sells; the effect of weather conditions, natural disasters and accidents on the agriculture business or the company's facilities; and other risks and factors detailed in the company's filings with the SEC. Undue reliance should not be placed on these forward-looking statements, which are current only as of the date of this release. The company disclaims any current intention or obligation to update any forward-looking statements or any of the factors that may affect actual results.

3

Non-GAAP Financial Information

This presentation may use the non-GAAP financial measures of “free cash flow,” earnings per share (EPS) on an ongoing basis, and Return on Capital (ROC). We define free cash flow as the total of cash flows from operating activities and investing activities. A non-GAAP EPS financial measure, which we refer to as on-going EPS, excludes certain after-tax items that we do not consider part of ongoing operations, which are identified in the reconciliation. ROC means net income (without the effect of certain items) exclusive of after-tax interest expenses, divided by the average of the beginning year and ending year net capital employed, as defined in the reconciliation. Our presentation of non-GAAP financial measures is intended to supplement investors’ understanding of our operating performance. These non-GAAP financial measures are not intended to replace net income (loss), cash flows, financial position, or comprehensive income (loss), as determined in accordance with accounting principles generally accepted in the United States. Furthermore, these non-GAAP financial measures may not be comparable to similar measures used by other companies. The non-GAAP financial measures used in this presentation are reconciled to the most directly comparable financial measures calculated and presented in accordance with GAAP, which can be found at the end of this presentation.

Trademarks

Roundup, Roundup Ready, Roundup RReady2Yield, Bollgard, Bollgard II, YieldGard, YieldGard Corn Borer and Design, YieldGard Rootworm and Design, Asgrow and the A Design, DEKALB and the Winged Ear Design, Monsanto Imagine and the Vine Design, Asgrow, DEKALB, Monsanto Choice Genetics, Posilac, Processor Preferred, Vistive, Stoneville and Seminis are trademarks owned by Monsanto Company and its wholly-owned subsidiaries and are italicized the first time they appear in this presentation.

Mavera™ is a trademark of Renessen.

© 2006 Monsanto Company

4

U.S., Brazil and Argentina Account for More Than 90 Percent of World Grain Trade

OVERVIEW

UNITED STATES

KEY TRENDS

ETHANOL DRIVES ADDITIONAL CORN DEMAND

SOYBEANS EVOLVE INTO A HIGHER VALUE, SPECIALTY MARKET

Source: U.S.D.A. Foreign Agricultural Service, ABIOVE, Independent Economists & Monsanto Estimates

ASIA PACIFIC

KEY TRENDS

CHINA BECOMES A NET IMPORTER OF CORN AND SOYBEAN IMPORTS ACCELERATE

GROWING WEALTH & POPULATION DRIVES GRAIN DEMAND

GLOBAL VIEW - 2010 HORIZON

EUROPE

KEY TRENDS

BIO-DIESEL DRIVES OILSEED DEMAND

EU REMAINS WORLD’S PRINCIPAL DESTINATION FOR SOYBEAN MEAL

CHINA: NET IMPORTS

-10

0

10

20

30

40

2005 2010

CORN SOY

MET

RIC

TO

NS

(M)

SOUTH AMERICA

KEY TRENDS

SOYBEAN ACREAGE INCREASES

DEMAND FOR CORN INCREASES FOR DOMESTIC FEED

5

COMMERCIAL

Farmers ‘Buy Yield,’ Creating Opportunity for Seeds and Traits Growth

+

=

MONSANTO’S POSITION: CORN

The elegance of a seed and trait approach is that the seed is the package and traits can be ‘stacked’ for maximum effect

In 2005, Monsanto introduced the first triple-stack of biotech traits

FARMERS’ DECISION EQUATION

SEED(GENETIC GAIN)The starting point of all agriculture; farmers need to maximize ‘genetics’ in seed for yield

TECHNOLOGY(% OF GENETIC GAIN PRESERVED)Technology is used to protect and maximize the yield potential of the seed

MAXIMUM YIELD POTENTIAL

The basic equation represents the maximum yield potential multiplied by the percent of that yield preserved by technology

Retail brands

Licensing

Regional brands

‘Above ground’ protection

Weed control system

‘Below ground’ protection

+

=

6

Breeding and Biotechnology Combine to Advance Harvested Yield to the Next Level

COMMERCIAL

NA

TU

RA

L Y

IELD

S

UP

PR

ES

SIO

N

INSECT PRESSURE

WEED PRESSURE

NUTRIENT DEFICIENCY

WATER DEFICIENCY

CU

RR

EN

T Y

IELD

P

RO

TE

CT

ION

SEED MANUFACTURING

WEED-CONTROL TRAITS

ABOVE-GROUND INSECT CONTROL

BELOW-GROUND INSECT CONTROL

FOCUS: YIELD

NET REALIZED YIELD

PERCENT OF GENETIC GAIN PRESERVEDX

GENETIC POTENTIAL

WHAT MATTERS TO FARMERS IS THE YIELD AT HARVEST, WHICH IS A FUNCTION OF HOW MUCH POTENTIAL A SEED HAS AND HOW IT’S PROTECTED:

NET REALIZED YIELD WITH CURRENTPROTECTION

NET REALIZED YIELD WITHFUTURE PROTECTION OPPORTUNITIES

GENETIC POTENTIAL PRESERVED THROUGH BIOTECH TRAITS AND PRODUCTION ADVANCES

GENETIC POTENTIAL (FUTURE)

GENETIC POTENTIAL (CURRENT)

NET REALIZED YIELD WITH NO PROTECTION

SECOND-GENERATION INSECT CONTROL

DROUGHT TOLERANCE

IMPROVED NITROGEN UTILIZATION

BR

EE

DIN

G

AD

VA

NC

ES

PR

OT

EC

TIO

N A

ND

EN

HA

NC

EM

EN

T

7

COMMERCIAL

Opportunity to Improve Global Corn Yields Comes Through Investments in Technology

CORN YIELD TRENDS(BUSHELS PER ACRE)

1990 2000 2005

70

137

93

CHINA 74 78 80

47

29

24

WORLD AVERAGE 59 75

149

109

54

31

25SUB-SAHARAN AFRICA

22

113UNITED STATES

INDIA

ARGENTINA 60

BRAZIL 33

23

U.S.MOST TECHNOLOGICALLY ADVANCED CORN MARKET SIGNIFICANT PUBLIC AND PRIVATE INVESTMENT IN BREEDING AND BIOTECH

ARGENTINA CONSOLIDATED GERMPLASM POOL AND TECHNOLOGY ADOPTION HAVE LED TO YIELD INCREASES

BRAZIL YIELDS ARE SIGNIFICANTLY BELOW WORLD AVERAGE YIELDS POISED TO IMPROVE BECAUSE OF BREEDING INVESTMENTS

INDIA LARGE, FRAGMENTED MARKET, MUCH OF WHICH IS LOW TECHNOLOGY AND SUBSISTENCE FARMING

CORN YIELD HIGHLIGHTS

Source: Doane Forecast

8

COMMERCIAL

Monsanto’s Global Germplasm and Breeding Programs Pave Way for Future Share Growth Internationally

SCORECARDGLOBAL BRANDED MARKET SHARE

FY2004 FY2005 FY2006F CHANGE (’04-’06)

14%

14%

13%

10%

14%

26%

17%

38%

35%

29%

37%

58%

35%

35%

19%

18%

15%

15%

21%

32%

23%

49%

35%

35%

38%

60%

34%

35%

NORTH AMERICAN REGION 16% +5%

+4%

+2%

+5%

+7%

+6%

+6%

+11%

FLAT

+6%

+1%

+2%

-1%

FLAT

SOUTH AFRICA 44%

MEXICO 57%

BRAZIL 35%

ARGENTINA 37%

16%UNITED STATES

EUROPE-AFRICA REGION 15%

FRANCE 14%

ITALY 17%

HUNGARY 30%

TURKEY 23%

ASIA-PACIFIC REGION 37%

INDIA 34%

LATIN AMERICA REGION 38%

10 COUNTRIES REPRESENT 80% OF THE GERMPLASM MARKET VALUE

IN THOSE 10 COUNTRIES, MONSANTO HOLDS No. 1 POSITION IN SIX

STRENGTHS:

IN EUROPE-AFRICA REGION, GROWTH WAS STRONGEST ACROSS LARGEST MARKETS

IN ASIA-PACIFIC AND LATIN AMERICA REGIONS, MARKET LEADERSHIP WAS MAINTAINED AND PROFITABILITY GREW

CHALLENGES:

IN BRAZIL, PRUDENT CREDIT POLICIES ARE LIMITING SHARE GROWTH OPPORTUNITIES

9

Corn Market Share Gains Still To Fully Reflect Power of Molecular Breeding Application

PROGRESSION OF BREEDING TECHNOLOGY

IN THE COMMERCIAL

PORTFOLIO

COMMERCIAL

COMPETITIVE ADVANTAGE

BUILT ON OUR INVESTMENTS

2001 2002 2003 2004 2005 2006 2007 2008 2009

CYCLE 1: INTEGRATION OF GLOBAL GERMPLASM

• ASSEMBLED 36 MAJOR CORN BREEDING PROGRAMS IN 12 COUNTRIES

CYCLE 2:APPLICATION OF MOLECULAR BREEDING TO SELECTION

CYCLE 3: SELECTION POWER OF MOLECULAR BREEDING

• MOLECULAR BREEDING DOUBLES GENETIC POTENTIAL VERSUS CONVENTIONAL BREEDING

• BY 2006, FIRST MOLECULAR BREEDING HYBRIDS ENTER COMMERCIAL PORTFOLIO

• PREDICTIVE COMBINATIONS ALLOW MORE EFFICIENT BREEDING

• MOLECULAR BREEDING ACCELERATES TRAIT INTEGRATION BY SHORTENING ‘BACKCROSSING’ CYCLES

•FIRST INTRA-COMPANY CROSSES; BY CYCLE 3, MORE THAN 50% OF HYBRIDS IN THE U.S. PORTFOLIO MADE THROUGH INTRA-COMPANY CROSSES

•APPLY MOLECULAR BREEDING TO U.S.

•APPLY MOLECULAR BREEDING IN EUROPE

•APPLY MOLECULAR BREEDING RESULTS FROM TEMPERATE TO TROPICAL MARKETS, SUCH AS BRAZIL AND ASIA

ACTIONS TAKEN

•IN U.S. , BY 2006, FIRST MOLECULAR BREEDING HYBRIDS ENTER COMMERCIAL PORTFOLIO

•IN EUROPE, BY 2008, FIRST MOLECULAR BREEDING HYBRIDS ENTER COMMERCIAL PORTOLIO

•IN BRAZIL AND ASIA, BY 2009, FIRST MOLECULAR BREEDING HYBRIDS ENTER COMMERCIAL PORTFOLIO

OPPORTUNITY

10

COMMERCIAL

FOCUS: EUROPE

COMMERCIAL OPPORTUNITY

CORN GERMPLASM

MARKET FACTS

ACRES 2005 2006F

25.5M 26M

OILSEEDS 27M 28M

CORN

CORN BORER INSECT PROBLEM IS SIGNIFICANT IN EUROPEOILSEED ACRES INCLUDE SUNFLOWER, OILSEED RAPE, AND SOYBEANS

BREEDING GAINS HAVE ESTABLISHED A YIELD ADVANTAGE FOR MONSANTO’S EUROPEAN GERMPLASM

OVER THE LAST 3 YEARS, OUR BRANDS HAVE GAINED 7 MARKET SHARE POINTS IN ITALY AND 5 IN FRANCE

STRATEGIC ALLIANCES AND HYBRID LICENSING INCREASE GENETIC FOOTPRINT FOR FUTURE TRAIT PENETRATION

100

110

120

130

140

150

160

85 90 95 100 105 110 115

MONSANTOCOMPETITOR

2005 CORN YIELD

BU

SH

ELS

PE

R A

CR

E

Yield Advantages Fuel Market Share Growth in Europe

MATURITY ZONES IN DAYS

11

Market Leadership In Corn Maintained While Refreshing Portfolio Mix Through Advanced Breeding

COMMERCIAL

FOCUS: BRAZIL

COMMERCIAL OPPORTUNITY

CORN GERMPLASM

MARKET FACTS

ACRES 2005 2006F

20M 20M

SOYBEANS 52M 50M

CORN

SOYBEAN YIELDS SUPERIOR TO U.S. AVERAGESCORN YIELDS LAG U.S. AVERAGES PORTFOLIO MIX SHIFT DROVE HIGHER YIELDS FOR FARMERS

AND INCREASED PROFITABILITY FOR MONSANTOBRANDED BUSINESS COUPLED WITH LICENSING AGREEMENTS

WITH AGROMEN AND AGROESTE EXTEND PLATFORM FOR FUTURE TRAIT PENETRATION

0%

20%

40%

60%

80%

100%

2003 2006F

HIGH TIER MEDIUM TIER LOW TIER

28%

54%

38%

34% 21%

25%

CORN PORTFOLIO MIX

~2X INCREASE

12

Seminis to Leverage Portfolio, Pricing and Molecular Breeding to Create New Growth

COMMERCIAL

VALUE ENHANCEMENT TIMELINEOVER THE MID-TERM, SEMINIS WILL UNDERGO THREE PHASES OF EXECUTION EN ROUTE TOUNLOCKING ADDITIONAL VALUE

OPERATIONAL EXCELLENCE BY END OF FY 2007

NEW VALUE CREATIONBY END OF FY 2008

PIPELINE ADVANCEMENTBY END OF FY 2010

IDENTIFY AND IMPLEMENT OPPORTUNITIES TO PRICE PRODUCTS TO VALUE

BUILD BUSINESS MODELS TO CREATE AND CAPTURE DOWNSTREAM VALUE OPPORTUNITIES

ENHANCE PRODUCT QUALITY AND REDUCE COSTS THROUGH MANUFACTURING AND LOGISTICAL IMPROVEMENTS

AGGRESSIVELY MAKE HYBRID CONVERSIONS IN STRATEGIC CROPS

COMMERCIALIZE FIRST HYBRIDS DEVELOPED BY MOLECULAR BREEDING

LAUNCH SUCCESSION OF CONSUMER BENEFIT PRODUCTS

PRIORITIZE PRODUCT PORTFOLIO BY FOCUSING ON 20 – 25 KEY CROPS THAT DRIVE PROFITABILITY

ASSEMBLE GENETIC MAPS FOR KEY CROPS

ENHANCE R&D CAPABILITY AND DEPLOY MOLECULAR MARKERS FOR AGRONOMIC AND CONSUMER BENEFITS

INTEGRATE AND STREAMLINE BACK –OFFICE OPERATIONS

FOCUS: SEMINIS

+ +

13

KEY MARKET AREAS

ACRES

AVAILABLE SEED MARKET

EUROPE N.AMERICA

.6M .2M

$ 86 M $ 24 M

PERCENT PENETRATED 2% 4%

ENHANCED CANTALOUPECREATING VALUE

COMMERCIAL

Expanding Line of Cantaloupe Offers Improved Post-Harvest and Fresh-Processing Quality

3108

PROJECT OVERVIEWMULTI-GENERATIONAL: PHASE III THROUGH LAUNCH

Not as well as expected As expected Better than

expected

• Consistent quality and flavor, consumer experience• Higher marketable yield and profitability• Better shelf life and excellent flavor • High sugars even during challenging winter harvest

months

Quality

Horticultural Performance

New Hybrids (white flesh, orange flesh, green flesh)

OBSERVATIONS

DISCOVERY PHASE IProof of Concept

PHASE IIEarly Development

PHASE IIIAdv. Development

PHASE IVPre-Launch

LAUNCH

14

EXAMPLE: BIOTECH TRAITS IN BRAZIL

OPPORTUNITY: 50M ACRES OF SOYBEANS AND 20M ACRES OF CORN

OPPORTUNITY:ROUNDUP READY FLEX WITH BOLLGARD II STACK LAUNCHES IN FY 2007

OPPORTUNITY: BOLLGARD II LAUNCHES IN 2006 ON LIMITED ACRES

6M+ ACRES TARGETED TO HAVE BOLLGARD IN 2006

80% OF ALL ACRES HAVE A TRAIT. OVER HALF OF ALL ACRES WITH AT LEAST ONE TRAIT ARE STACKED

PENETRATION AND EXPANSION

CURRENT STATUS:

IN 2006, ~25M ROUNDUP READY SOYBEANS ACRESIN CORN, NO BIOTECH ACRES WERE PLANTED

EXAMPLE: COTTON TRAITS IN AUSTRALIA

STACKING

CURRENT STATUS:

EXAMPLE: SECOND-GENERATION COTTON TRAITS IN INDIA

MULTI-GENERATION

CURRENT STATUS:

Existing Biotech Traits Set Up Three Pathways for Mid-Term Growth Internationally

COMMERCIAL

15

Market Potential for International Biotech Traits by 2010 Highlights Continued Growth Potential

COMMERCIAL

BIOTECH ACRES PLANTED 2005

REMAINING AVAILABLE ACRES

54% 0% 15% <1% 17% 0%

SOYBEANS COTTON CORN

AFRICA 0.2M 11M 10M 6M 4M -

TOTAL KEY MARKETS 86.2M 24.5–29.8M 22.5-27.8M 58-60M 34-36M 11M

KEY MARKETS ROUNDUP READY

ROUNDUP READYFLEX

BOLLGARD AND

BOLLGARD II

ROUNDUP READY CORN 2

YIELDGARDCORN BORER

YIELDGARDROOTWORM

BRAZIL 50M 3M 2M 20M 15M 5M

ARGENTINA 35M - - 5M 4M 1M

INDIA - 10-15M 10-15M 3 – 5M 3 – 5M -

EUROPE 1M - - 24M 8M 5M

AUSTRALIA - 0.5M-0.8M 0.5M-0.8M - - -

16

COMMERCIAL

FOCUS: BRAZIL

COMMERCIAL OPPORTUNITY

SOYBEAN TRAITS CORN TRAITS

CURRENT MARKET POTENTIAL IS 50M; UPSIDE OPPORTUNITY FOR ADDITIONAL 10-30M ACRES TO COME UNDER CULTIVATION

IN 2006, SAVED SEED ESTIMATED AT 20M ACRES AND NEW SEED ESTIMATED AT 5M

VALUE CAPTURE SYSTEM FOR SAVED SEED IS FUNCTIONING AT 97% INTEGRITY

BRAZIL HAS TWO CORN-GROWING SEASONSYIELDGARD CORN BORER AND ROUNDUP READY

CORN 2 HAVE BEEN SUBMITTED FOR REGULATORY APPROVAL

Roundup Ready Soybean Penetration Accelerates, Corn Trait Adoption Poised for Solid Growth

0

10

20

30

40

50

2004 2005 2006F

AC

RE

S I

N M

ILLI

ON

S

MARKET OPPORTUNITY=50M

SUMMER CORN GROWING REGION

WINTER CORN GROWING

REGION

17

COMMERCIAL

FOCUS: AUSTRALIA

COMMERCIAL OPPORTUNITY

COTTON TRAITS

MARKET FACTS

ACRES 2005 2006

.5M -

.8M.5M -.8MCOTTON

BOLLWORM IS A MORE SIGNIFICANT INSECT PEST THAN IN THE U.S.

ROUNDUP READY FLEX WILL LAUNCH IN AUSTRALIA AND THE U.S. IN CALENDAR YEAR 2006

RETAIL VALUE PER ACRE HAS INCREASED MORE THAN 4 TIMES FROM 2004 TO 2006 BECAUSE OF STACKING AND SECOND-GENERATION TRAIT UPGRADES

FARMER SAVES $35 - $40 PER ACRE USING MONSANTO’S STACK OF ROUNDUP READY FLEX WITH BOLLGARD II VERSUS CONVENTIONAL SYSTEMS

Momentum in Stacking Cotton Traits in Australia Extends Margin Potential Per Acre

0

100

200

300

400

500

600

700

2004 2005 2006

0.00

0.20

0.40

0.60

0.80

1.00

1.20

1.40

1.60

AC

RE

S I

N T

HO

US

AN

DS

TR

AIT

INT

EN

IST

Y P

ER

AC

RE

SINGLE TRAIT DOUBLE STACK TRAIT INTENSITY

18

FOCUS: INDIA

COMMERCIAL OPPORTUNITY

COTTON TRAITS

MARKET FACTS

2005 2006F

CORN 3 -5M 3 –5M

COTTON 10M -15M

10M –15M

CORN TRAITS

ACRESBOLLGARD II LAUNCHES ON LIMITED ACRES IN 2006 LEADING TO

EVENTUAL REPLACEMENT OF BOLLGARDBOLLGARD BENEFITS:

FARMER NET RETURN INCREASED BY 163%OVERALL COTTON YIELD IMPROVED BY 58%PESTICIDE LOADING REDUCED BY 50%

MANUAL FAMILY FARMING PRACTICES60 PERCENT OF FARMS < 2.5 ACRESSIGNIFICANT OPEN POLLINATED ACRES OF COTTON AND CORN REPRESENT ADDITIONAL OPPORTUNITY FOR HYBRID CONVERSION

CORN BORER, WEEDS AND DROUGHT CONDITIONS IN NORTHERN INDIA ARE SIGNIFICANT PROBLEMS

YIELDGARD CORN BORER AND ROUNDUP READY CORN 2 SUBMITTED FOR REGULATORY APPROVAL

RAPID MARKET SHARE GROWTH OF 15 POINTS IN 5 YEARS HAS SOLIDIFIED BASE FOR TRAIT LAUNCHES

0

2

4

6

8

10

2004 2005 2006F

BOLLGARD ADOPTION

AC

RE

S I

N

MIL

LIO

NS

COMMERCIAL

Bollgard II Cotton Launches and Expands Insect Spectrum, Corn Traits Submitted for Regulatory Approval

6+ Million

19

PIPELINE

2006 Pipeline AS OF JANUARY 1, 2006

Bollgard III

2nd-Gen Drought-tolerant corn

DISCOVERYGene/Trait Identification

PHASE IProof Of Concept

PHASE IIEarly Development

PHASE IIIAdvanced Development

PHASE IVPre-launch

Dicamba-tolerant soybeans

YieldGard Rootworm II

Mavera™ High-value corn with lysine1

Mavera™ I High-value soybeans1

Mavera™ II High-value soybeans1

2nd-Gen High-value corn with lysine1

Feed Corn with balanced proteins1

High oil soybeans for processing1

Improved-protein soybeans

Vistive II Low Lin – Mid Oleic soybeans

Vistive III Low Lin – Mid Oleic – Low Sat soybeans

Omega-3 soybeans

Roundup Ready Flex cotton

Roundup RReady2Yield soybeans

Roundup RReady2Yield canola

Insect-protected soybeans

Drought-tolerant corn

Soybean nematode-resistance

Higher-yielding canola

Dicamba-tolerant cotton

2nd-Gen YieldGard Rootworm

2nd-Gen YieldGard Corn Borer

Drought-tolerant soybeans

Drought-tolerant cotton

Higher-yielding corn

Nitrogen utilization corn

Higher-yielding soybeans

FAR

ME

RP

RO

CE

SS

OR

CO

NS

UM

ER

1. These product candidates are in the Renessen pipeline. Renessen is a Monsanto/Cargill joint venture

20

KEY MARKET ACRES

AVAILABLE MARKET

PERCENT PENETRATED

EUROPE BRAZIL ARGENTINA

24M 30M 6M

0% 0% 0%

DISCOVERY PHASE IProof of Concept

PHASE IIEarly Development

PHASE IIIAdv. Development

PHASE IVPre-Launch

LAUNCH

Multi-Generational Drought-Tolerant Corn Is Advancing Closer to Commercial Reality with Global Applications

DROUGHT MAP SOUTH AMERICA & EUROPE

TECHNOLOGY

BROAD ACRE WATER USE EFFICIENCY

AREAS WITH CONSISTENTDROUGHT STRESS AND IRRIGATION REQUIREMENTS

AREAS WITH INCONSISTENTDROUGHT STRESS

DROUGHT TECHNOLOGY

RE

SU

LTS

WITH TRAIT WITHOUT TRAITWITH TRAIT WITHOUT TRAIT

4032 34oC 4032 34oC

DROUGHT TOLERANCE ESTABLISHED THROUGH PLANT PHYSIOLOGY (PERFORMANCE) OVER THREE YEARS

21

Roundup RReady2Yield Soybeans

TECHNOLOGY

Second-Generation Roundup RReady2Yield Soybeans Enhances Yield Globally

RE

SU

LTS

INDICATIONS ARE ROUNDUP RREADY2YIELD SOYBEANS DEMONSTRATE UP TO 5 BUSHEL PER ACRE YIELD ADVANTAGE OVER COMPARABLE ROUNDUP READY VARIETIES

KEY MARKET ACRES

AVAILABLE MARKET

PERCENT PENETRATED

U.S. BRAZIL ARGENTINA

70M 50M 35M

0% 0% 0%

TECHNOLOGY IMPROVEMENT

WITH UP TO 5 BUSHEL PER ACRE YIELD IMPROVEMENT, ROUNDUP RREADY2YIELD WILL SIGNIFICANTLY ADVANCE TRADITIONAL BREEDING GAINS

PROVIDES PLATFORM FOR FUTURE SOY TECHNOLOGIES, INCLUDING THIRD-GENERATION OF WEED CONTROL IN SOYBEANS

RESEARCH UNDER WAY ON POTENTIAL FOR ADDITIONAL INSURANCE FOR ASIAN SOYBEAN RUST

SOYBEAN RUST IS A FUNGAL PATHOGEN WITH MORE THAN 40 SPECIES

RUST PREDOMINANTLY AFFECTS SOYBEANS IN BRAZIL AND ARGENTINA

YIELD LOSS IS BETWEEN 10% -80% PER YEAR GLOBALLY

FUNGICIDES FOR RUST CONTROL COST UP TO $25 PER ACRE

ASIAN RUST

22

MIL

LIO

NS

OF

TO

NS

Biodiesel Production Will Drive Incremental Vegetable Oil Demand

TECHNOLOGY

0

2

4

6

8

10

12

14

16

18

20

2005 2006F 2007F 2008F 2009F 2010F

BIODIESEL RAPESEED SOYOIL

EU 25 BIODIESEL MARKET OUTLOOK

Source: Estimates from EU targets under Directive 2003/30/EG, Oil World and Monsanto Estimates

BIODIESEL MARKET IN EU

BY 2010, BIOFUEL SHOULD REPRESENT 5.75% OF TOTAL TRANSPORT FUEL USED IN EU

BY 2010, OVER HALF OF VEGETABLE OIL PRODUCED IN EU WILL BE USED FOR BIODIESEL

FOUR PATHS TO GROWTH FOR MONSANTOIMPROVE OIL YIELD PER ACRE

–MOLECULAR BREEDING DOUBLES THE HISTORICAL RATE OF YIELD GAIN FOR SOYBEANS

–PIPELINE PRODUCTS LIKE HIGH OIL AND ROUNDUP RREADY2YIELD SOYBEANS SHOULD PROVIDE YIELD BENEFITS

MARKET GROWTH–OILSEED RAPE ACREAGE HAS POTENTIAL TO INCREASE FROM 13M TO 20M

PROCESSOR BENEFITS–PROCESSOR PREFERRED OILSEED SHOULD RESULT IN DOWNSTREAM VALUE BECAUSE OF HIGHER QUALITY GRAINS

GLOBAL GROWTH–SUPPLY CONSTRAINTS IN EU MAY SPILL OVER INTO OPPORTUNITIES FOR BRAZILIAN SOYBEANS, NORTH AMERICAN CANOLA AND RENESSEN’S CORN OIL

23

SUMMARY

Foundation Created in International Operations Sets Stage for Seed and Trait Expansion

CORN:GLOBAL BREEDING PROGRAMS ARE FUELING GROWTH IN EUROPE-AFRICA AND SUPPORTING LEADERSHIP POSITIONS IN ASIA-PACIFIC AND LATIN AMERICA

BRANDED SHARE COUPLED WITH LICENSING AGREEMENTS ESTABLISHES FOUNDATION FOR FUTURE TRAIT LAUNCHES

COTTON:TRAIT PENETRATION IS ACCELERATING IN ASIA-PACIFIC PREPARING WAY FOR MULTIPLE MARGIN OPPORTUNITIES WITH STACKING AND SECOND-GENERATION TECHNOLOGY LAUNCHES

SOYBEANS:ROUNDUP READY SOYBEAN ACRES DOUBLED IN BRAZIL IN 2006 AND ARE POISED TO REACH 50 MILLION ACRES BY 2010 WITH A SECOND-GENERATION TECHNOLOGY LAUNCH ON THE HORIZON

SEMINIS:BUILDING BUSINESS MODELS TO CREATE AND CAPTURE VALUE DOWNSTREAM IN PREPARATION FOR COMMERCIALIZATION OF FIRST HYBRIDS DERIVED FROM MOLECULAR BREEDING