Monsanto, the world's largest seed producer, shrugged off the financial crisis yesterday by saying that credit markets were working well in the US agricultural sector, enabling farmers to continue to borrow normally to pay for seeds, fertilizer and herbicide. "Fundamentally, a farmer on solid financial footing should be able to access any credit they need," said Terry Crews, chief financial officer of the St Louis-based company. Mr Crews said Monsanto had just completed a round of conversations with agricultural lenders. "These lenders are telling us that in the normal course of business, they are already renewing and increasing credit lines with customers, so the purchases for [the 2009] season can begin." "In terms of the farmer globally, his access to credit is a growing concern, given the credit risks," Mr Crews conceded. However, he pointed out that a third of US farmers receive their loans from the Farm Credit System, a US government-backed lending organisation specifically for agriculture. He said a further 40 per cent of US farmers borrowed from small community banks in rural areas. Mr Crews said those banks were tending to hold interest rates steady and were offering new loans. Mr Crews sought to differentiate Monsanto from other companies in the agribusiness sector, stressing its low debt levels and technology-driven business model. "You have to separate what you hear about credit for other agricultural inputs from our business," he said. "We're in the business of providing innovation, and innovation is value. That doesn't make us immune to the situation, but it does make us different." He was speaking as Monsanto reported better-than-expected quarterly results, reflecting price increases for its Roundup herbicide and modified seeds. In the three months to the end of August, the company incurred a net loss of $172m, compared with a loss of $210m in the same period last year. Profits for the past 12 months were $2bn or $3.62 a share, up from $993m or $1.79 a share a year earlier. Monsanto said net income for its 2009 fiscal year, which began on September 1, would rise to $4.20-$4.40 a share, up from $3.62 in 2008 but below analysts' expectations of about $4.61 per share. Shares in Monsanto were up 12 per cent by the close in New York, to $81.44.