In exchange for being granted licenses to evaluate enabling technologies for corn rootworm control and herbicide tolerance, Monsanto (NYSE:MON) agreed to provide Bayer CropScience with a royalty-bearing cross-license to its Genuity Roundup Ready 2 Yield and Genuity Roundup Ready 2 Xtend technology in soybeans in the U.S. and Canada.

Bayer will also receive a royalty-bearing license to Intacta RR2 PRO in soybeans in Brazil, with an option on a royalty-bearing license in other Latin American countries in the future. Bayer CropScience has also been granted stacking rights under certain conditions.

Genuity Roundup Ready 2 Yield is Monsanto's second-generation trait-technology platform for soybeans. Its Genuity Roundup Ready 2 Xtend soybeans contains the Yield trait technology stacked with a trait that provides tolerance to herbicide dicamba. Intacta RR2 PRO soybeans are the first‐ever insect-protected trait in soybeans, providing control of lepidopteran pests, such as moths and butterflies.

Rudiger Scheitza, a member of Bayer CropScience's board of management, said, "We are excited that with the combined technologies from both companies, we will be able to offer farmers additional pest control options and an all-inclusive weed resistance package in soybeans."

Monsanto's president and chief commercial officer, Brett Begemann, said, "We're pleased we have been able to reach an agreement with Bayer CropScience, which will offer increased benefits for farmers and foster continued choice and innovation in our industry."

Additional terms and financial details of the agreements were not disclosed.

Bayer CropScience, a subsidiary of Bayer AG responsible for the agricultural business, had annual sales of 8,383 million euros in 2012. Monsanto realized more than $14.7 billion in revenues over the past 12 months.

Fool contributor Rich Duprey and The Motley Fool have no position in any of the stocks mentioned. Try any of our Foolish newsletter services free for 30 days. We Fools don't all hold the same opinions, but we all believe that considering a diverse range of insights makes us better investors. The Motley Fool has a disclosure policy.