ISSD Uganda: QDS adoption...producing and selling QDS to fill the gap ... Pricing Focused on...

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ISSD Uganda: QDS adoption Bonny Ntare

Transcript of ISSD Uganda: QDS adoption...producing and selling QDS to fill the gap ... Pricing Focused on...

Page 1: ISSD Uganda: QDS adoption...producing and selling QDS to fill the gap ... Pricing Focused on affordability and commodity-based ... Crop Min. Purity (%) Min. germ. (%) Cert. QDS Cert

ISSD Uganda: QDS

adoption

Bonny Ntare

Page 2: ISSD Uganda: QDS adoption...producing and selling QDS to fill the gap ... Pricing Focused on affordability and commodity-based ... Crop Min. Purity (%) Min. germ. (%) Cert. QDS Cert

Introduction

Uganda has two recognized seed classes for

marketing quality seed:

● Certified seed produced by seed companies

● Quality Declared Seed (QDS) produced by farmer groups organized as Local Seed Businesses (LSBs)

Shortages of EGS (breeder and foundation) is a major bottleneck in the flow of seed along the seed value chain of food crops in Uganda

<10% of farmers use certified seed (<10%)

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Objectives

Enhancing sustainable production and commercialisation of foundation of mainly self-pollinated crops

Promoting farmer-led seed enterprises producing and selling QDS to fill the gap between formal and informal seed supply systems

Supporting development of an enabling environment for the seed subsector

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Seed value chain in Uganda

Early generation seed

QUALITY SEED

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What is QDS?

seed produced by trained farmer groups and sold in their communities

● Locally demanded seed

● Quality assured

QDS system is a seed quality assurance less demanding than the traditional formal seed certification and more easily implemented by farmers

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Target crops for QDS

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ISSD Plus seed production

strategies

Breeder

Seed G1-n

Found.

Seed I

Certified

Seed/QDS

Found.

Seed II

NARIs

FSE

LSBs

ZARDIs SC

LSBs

Agro-dealer

outlets

“Grains”

Contract

farmers

Grain prod/

farmers

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Seed providers

Crop/Seed value chain

Foundation seed Quality seed (certified and QDS)

Rice NARIs, IARCs & Seed companies (exclusive rights)

Seed companies, LSBs and NGOs

Maize (OPVs and hybrids)

NARIs, & seed companies - exclusive rights for hybrid seed, MNC

Seed companies through out-growers)

Groundnut NaSARRI, LSBs LSBs

Beans NaCRRI, LSBs, NHL, some seed companies

Seed companies, LSBs farmer groups

Sesame NaSARRI, LSBs, ZARDI NGOs, farmer groups

Soybean Makerere University LSBs

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Area Description

Characteristic Trained farmer groups producing QDS as a business. Producers technically equipped, market-oriented, professionally organizes and strategically linked.

Skills Training of district agricultural officers in crop field inspection by the National Seed Certification Service on the Ministry of Agriculture

Profitability Appropriate business models based on commodities; cost-effectiveness; innovative seed delivery channels.

Financial sustainability

Ability to pay for quality assurance services including registration, field inspection, sampling, lab testing and tamper proof green labels.

Pricing Focused on affordability and commodity-based but much lower than cost of certified seed

Business case for QDS

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Quality Standards of Certified vs QDS

Crop Min. Purity (%)

Min. germ. (%)

Cert. QDS Cert QDS

Sorghum 99 98 98 98

Millet 98 98 80 70

Rice 98 98 80 75

Beans 98 98 80 75

Groundnut 98 98 75 75

Soybean 99 99 75 65

Sesame 98 98 65 60

Min Number of field inspections

4 2

Proportion of seed plots inspected

100% 10%

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Comparing cost of certified seed vs QDS

Seed type

Sales price ($)

Cost of production ($)

Certified seed

1.11 0.81

QDS seed

0.76 0.58

Market grain

0.57 0.35

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What are the Benefits of QDS?

Farmers can easily access QDS seed because it is produced within

the farming communities

QDS is readily adaptable to the area where it is produced.

Farmers are able to sell and exchange QDS among themselves.

The QDS system is of equal benefit to male and female farmers

who produce improved seed.

The QDS system provides employment opportunity for youth

(production, providing services etc.

An entry point for moving from subsistence to commercial

agriculture.

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46%

2%

43%

2% 2% 3% 2%

Farmers sources of seed (2013)

Home saved

Neighbours

Local market

LSBs

Agro-dealer

Government

NGO/project

Certified quality seed

Potential of QDS: customer segment

Source: ISSD Uganda Access to seed household survey, 2013

Low quality seed

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Policy and regulatory implications

The National Seed Policy Provides for strategies and activities to promote QDS as an alternative to promote use of quality seed by smallholder farmers.

Separate regulations and procedures for QDS aligned to the realities of the diversity of crops, cropping and seed systems for domestic market.

Decentralization of seed quality assurance services by NSCS to minimize operational costs

The fees levied on seed certification services are commensurate with the QDS producers’ economic endowments.

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What is the structure of the Regulations?

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A definition of terms related to QDS

Eligibility of varieties

Registration of QDS producers

Production and quality control of QDS

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What is the structure of the Regulations?

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Labeling

Supervision by government

Penalties

Schedules or detailed procedures for each crop

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Coverage of LSBs in Uganda (shaded)

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Conclusion(s)

QDS filling a gap for crops/varieties not adequately served by seed companies

● Quality assured

● Affordable (i) reduced cost of production, ii) reduced cost of certification and iii) reduced transport costs

● Reduces use of home-saved seed or grain from markets for seed

Availability of adequate quantities of foundation seed is a critical success factor for the QDS scheme.

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Thank You

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Thank You