Seed Alliance Without Boundary [SAWIB] A holistic approach for success

1. Seed Alliance Without Boundary[SAWIB]A holistic approach for success FAO September 7th 2009 Presentation Jean-Louis DUVAL [FAO consultant] Michael LARINDE [FAO AGPS]

2. Seed Alliance Without Boundary[SAWIB] The basic concept Using seed as an entry point for increasing incomes for farmers and increased food production

3. Presentation • SAWIB Concept • FAO initiative for Global partnership on seed security • A scheme to explain this holistic approach • Why SAWIB – “Responding to the Food Crisis”? • Why seed and plant varieties could be the support of this holistic approach • A framework for the organization • A first feedback • Results of the survey regarding developed / developing countries relationship SAWIB - June - September 2009

4. Concept • Driving demand for seed by increasing marketing opportunities to the food industry • Doing this through: • Linking with the international seed companies • Linking with the food industry = Linking with the International Agri-Food Network members. • FAO serving as a facilitator of the initiative. SAWIB - June - September 2009

5. Seed Alliance Without Boundary [SAWIB]An FAO initiative for Global Partnership on Seed Security • In order to establish a sustainable seed supply and thereby facilitate food security of member countries, the Plant Production and Protection Division (AGP) started an initiative termed “Seed Alliance Without Boundaries (SAWIB)” • The seed based initiative will cut across crop production and food industry domains with an holistic approach. SAWIB - June - September 2009

6. Seed Alliance Without Boundary [SAWIB]An FAO initiative for Global Partnership on Seed Security • The objective is to create a forum to bring together stakeholders from the private and public sector of developed and developing seed and food industries for dialog that will facilitate the: a) transfer of technological and entrepreneurial skills for sustainable seed production and distribution; b) linkage of seed sector with farmers or crop producers; and c) linkage of crop producers to crop-value-addition industries. SAWIB - June - September 2009

7. Seed Alliance Without Boundary [SAWIB]An FAO initiative for Global Partnership on Seed Security • Overall, the initiative will facilitate the creation of seed industry that is market-driven and ensure sustainable use of plant genetic resources for food and agriculture. • The first public-private-sector dialogue under this initiative took place in February 2009. SAWIB - June - September 2009

8. Seed Alliance Without Boundary [SAWIB]An FAO initiative for Global Partnership on Seed Security • The SAWIB will enhance the synergy of the public-private sectors and comparative advantages of developed and developing countries to facilitate access to innovation and products of biotechnology for the seed industries and effect linkages amongst crop producers, agricultural inputs producers/suppliers, industrial consumers of raw agricultural produce and food industries. • The collaboration will be mutually beneficial as it will help in exploiting the agro-ecological potentials of developing countries for off-season seed production of advanced seed industries. • Overall, the initiative will facilitate the creation of seed industry that is market-driven in developing countries. SAWIB - June - September 2009

9. Seed Alliance Without Boundary[SAWIB] Scheme of the value chain An holistic approach

10. SAWIB - June - September 2009

11. Seed Alliance Without Boundary[SAWIB] WHY? “Responding to the Food Crisis”

12. Why SAWIB – Excerpts from“Responding to the Food Crisis” (1) • Measures, activities and policies to boost agricultural production: • The provision of sufficient quantities of inputs, particularly high-quality seeds and fertilizers, is considered a major priority for coping with the present food crisis. • However, this should be implemented through a comprehensive system approach, coupled with a medium-term strategy to improve the efficiency of the whole production and marketing chain for inputs, as part of the development of more efficient agricultural systems. (1) Responding to the food crisis: synthesis of medium-term measures proposed in inter-agency assessments. FOOD AND AGRICULTURE ORGANIZATION OF THE UNITED NATIONS - WORLD FOOD PROGRAMME Rome, 2009 - This report has been supported with funds from the European Union. http://www.fao.org/docrep/011/i0769e/i0769e00.HTM SAWIB - June - September 2009

13. Why SAWIB – Excerpts from“Responding to the Food Crisis” (2) • Programmes for inputs and related crop production services • Private sector participation in seed multiplication and distribution is minimal, and the policy and legislation framework does not provide adequate incentives and conditions to foster development of the seed sector. • Access to commercial fertilizer is also constrained by factors that include high costs, lack of commercial supply and distribution outlets, and inadequate participation from the private sector. • For both seeds and fertilizer, insufficient credit facilities and a lack of integration between farm inputs and outputs are major limitations. SAWIB - June - September 2009

14. Why SAWIB – Excerpts from“Responding to the Food Crisis” (3) • Cross-cutting issues • Capacity building: The need for an agro-food system approach should be more reflected in capacity building programmes, including not only production, but also processing and marketing. • Institution building: In addition to the necessary development of farmers’ organizations, there is also need to increase efforts to identify and implement innovative institutional mechanisms, such as public-private partnerships, particularly for the upstream and downstream sectors. • More attention should be given to the major contribution that improved rural finance can make to the overall development of the agro-food sector. SAWIB - June - September 2009

15. Why SAWIB – Excerpts from“Responding to the Food Crisis” (4) • The need for global approaches and policy coherence: • At the production level, even when the actions proposed focus on specific inputs such as seeds and fertilizers, it is necessary to adopt a global agricultural system approach that takes account of all physical and human factors, and provides the framework for increased public and private investments in agriculture. • Actions at the production level have to be complemented by actions at the upstream and downstream levels within an overall agro-food perspective encompassing the whole value chain. • A variety of initiatives in Africa aim to develop the seed sector, but coordination and collaboration among actors are very limited. SAWIB - June - September 2009

16. Seed Alliance Without Boundary[SAWIB] The plant variety is the link of the value chain

17. Seed Alliance Without Boundary [SAWIB]Plant variety is the link of the value chain • The mission of seed entrepreneur is the demonstration of the value of his varieties. • The Variety is the backbone of the value recognition of supply chains • It is a major contribution to extension services • Seed-men and seed-women are the conductor of the value chain SAWIB - June - September 2009

18. Why choosing value chain production as a new model of development? • Based on the market demand & the food security challenge: • All actors of the value chain will support the use of the plant variety needed: • The identification of value chain will create added value to be shared among members • Creation of rural employment along the value chain SAWIB - June - September 2009

19. Seed Alliance Without Boundary[SAWIB] Framework for the organization and operationalization “Networking”

20. Food Processor Food Processor Seed Cy Private Public Seed Cy Private Public Agro Dealer Agro Dealer Aggregator Aggregator Food Retailer Food Retailer Feed Processor Feed Processor Seed Grower Seed Grower Farm Producer Farm Producer Framework for the organization and operationalization • Linking the actors of the value chain • Linking seed companies, agro dealers, processors... • Private and public association • Policy and regulation 1. Seeking for Expertise 2. Linkage & Sponsorship 3. Market Development Variety SAWIB - June - September 2009

21. Market driven + value added chain • Markets studies will high light appropriate crops and value chains • Another model comes from the experience of off-season SAWIB - June - September 2009

22. Framework for the organization and operationalization of SAWIB • Services (output – activity - objective) • Identification & management of different value added chains • Linkage between parties • Identification & linkage of sponsors • Facilitate the relationship between parties • Organization of expert consultations, training sessions, study tours • Publications; success stories and guidelines, market studies, statistics • Website SAWIB - June - September 2009

23. Framework for the organization and operationalization of SAWIB • How • Define organization • Finance & “business model” • Networking • National, regional & global organizations and companies • Public and private sectors • Phases • 1. Obtain the collaboration / agreement of: • “International Agri-Food Network’’ members • Financing parties • 2. Focus on few easy crops and countries • 3. Further development with other crops and countries. SAWIB - June - September 2009

24. Feedback from the Industry on SAWIB initiative • From the Supermarket: • No answer • From the food-industry • Global brand names: “our processes are protected by company secret”… • Commodities (rice – oil): “interesting approach” • From the seed industry • Positive support • From the fertilizer industry • “The SAWIB approach is in line with our approach” • From the crop protection industry • “How to contribute to SAWIB success”  SAWIB - June - September 2009

25. Results of the survey A survey has been realized in 2009 to measure the situation regarding the relationship between developed and developing countries

26. Survey analysis • Purpose: • A view from the seed industry in the relation between developed and developing countries • 1 122 questionnaires sent • 66 answers • Not concerned • Company secret • I will come back • 31 forms fulfilled • from 19 countries SAWIB - June - September 2009

27. Contracting party from developed country Receiving party from developing country Survey analysisExchange of germplasm or varieties (1)(2) • Open pollinated • Yes: 14 No: 11 • Hybrid • Yes: 19 No: 6 • Open pollinated • Yes: 16 No: 5 • Hybrid • Yes: 19 No: 2 The exchange seems to be easier for hybrid than OP The [No] explanation for OP are: “Due to very risk of illegal propagation, mainly in non UPOV countries but not only, IP, PVP Laws…” SAWIB - June - September 2009

28. Contracting party from developed country Receiving party from developing country Survey analysisTechnologies and technology tools (3) • Yes: 17 No: 1 • Ag biotech • Biotechnology • Biotechnology, seed technology under binding agreements • Breeding and biotech capabilities • Breeding methods • Chemistry, crop protection • Germplasm • Lab techniques machinery • Molecular • Seeds • Yes: 15 No: 7 • Ag biotech • Biotechnology • Breeding and biotech capabilities • Breeding tissue culture, marker technology • Breeding tools • Chemistry • Herbicide resistance biotech, molecular, primers • Molecular • Seeds • Various Large exchange, same view between contracting and receiving parties SAWIB - June - September 2009

29. Contracting party from developed country Receiving party from developing country Survey analysisSkill and know how (4) • Yes: 19 No: 8 • Breeding technology 2 • Crop and seed production know how • field management • field screening • plant breeding • production processes • Quality in production • Seed production 3 • technology, expertise, IP • training • various • Yes: 12 No: 11 • breeding skills • breeding tissue culture, marker technology • diseases resistance breeding, healthy oil breeding • Seed production • technology, expertise, IP • various SAWIB - June - September 2009

30. Contracting party from developed country Receiving party from developing country Survey analysisProduction Hybrid / OP (5) (6) • Hybrid Yes: 4 No: 2 • Corn, sunflower, vegetables, flowers • Main limiting factors: IP protection, know how, climatic adaptation, too many papers. • OP Yes: 17 No: 9 • Canola, cotton, cereals, beans, forage, ornamentals, soybean, vegetables, flowers • Main limiting factors: IP protection and climatic adaptation • Hybrid Yes: 8 No: 15 • Corn, sunflower, vegetables, flowers • Main limiting factors: parent lines protection, to be competitive • OP Yes: 6 No: 16 • Clover, rapeseed, vegetables, alfalfa, flowers • Main limiting factors: IP protection, no demand, not feasible Easier to exchange germplasm in hybrid than producing “on site” due to IP protection and … SAWIB - June - September 2009

31. Contracting party from developed country Receiving party from developing country Survey analysisWinter nursery (7) • Yes: 8 No: 20 • Corn, cotton, sunflower, oilseed, triticale, vegetables • Limiting factors: costs, movement of germplasm • Yes: 6 No: 17 • Corn, cotton, vegetables, sunflower, rapeseed, flowers • Limiting factors: costs, movement of germplasm Same evaluation from developed and developing countries SAWIB - June - September 2009

32. Contracting party from developed country Receiving party from developing country Survey analysisBusiness linkage and marketing (8) • Yes: 22 No: 3 • Limiting factors: • ability to commit a contract, • cost of seed, • no sufficient variety protection, • mentality of potential partners • Yes: 20 No: 2 • Limiting factors: • expensive seeds from developed countries Highest rank for [Yes] both side but still some limiting factors to take into account! SAWIB - June - September 2009

33. Activity of the companies Size of the activity Survey analysis • Breeding: Yes: 23 No: 7 • Production: Yes: 27 No: 1 • Marketing: Yes: 29 No: 0 • 0 to 10 M$: 6 • 10 to 50 M$: 11 • 50 to 200 M$: 4 • More: 8 Major companies have replied to the survey SAWIB - June - September 2009

34. Thank you for your attention

35. Preliminary remarks from seed companies • Need to be practical and make impact on the ground within the “projects” • Each party’s mission is identified and bring their core competencies focused on each project • Planning and resources dedicated to success • good clear plan in writing • goals to achieve • stay on track • sort out misunderstanding • Coordination to have all parties on board on the same targets and in due time • Publicity / aids / communication… • Precise timing for development versus business relationship • Self sustainability as the ultimate step of the support SAWIB - June - September 2009