The Italian Seed Industry

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1 The Italian Seed Industry Marco Nardi AIS Associazione Italiana Sementi ISTA, Annual meeting 2008 Bologna, 19 June 2008

2 Contents Some key figures Presentation of AIS Seed productions Seed trade Variety listing PVR Main challenges Conclusion

3 Some key figures about Italian agriculture Contribution of agriculture to national economics: 2,2% (UE 25 = 1,6%) N of farms: ~ , but only ~ apply for CAP subsidies Average surface of farms: ~ 7 ha (UE 25 = ~ 17 ha) Utilized agricultural land: ~ ha, of which: - 28% cereals and rice - 27% fodder crops - 13% grapevines and olive trees - 6,5% fruits and citrus - 3,5% vegetable and fresh legumes N of farms: ~ , but only ~ apply for CAP subsidies

4 Italy: State organisation for agriculture and seed policy Agriculture is a matter completely delegated to Regions Regional administrations could in theory adopt directly EC seed Rules and Directives Italy, as concerns agriculture, has to be imagined as a federation

5 Italy: model of seed regulation Seed regulation in Italy complies with EU model: - official catalogues (UE + National) - official listing of varieties (DUS + VAT) - official certification of seeds Seed companies (companies that produce and officially certify seeds) must have a license / authorization delivered by Regional phyto authorities, after verification of seed equipment and professional capacity

6 Public responsabilities for seeds RULES Seed CERTIFICATION Variety LISTING Ministry of Agriculture ( Regions ) ENSE ENSE and regional administrations

7 Public responsabilities for seeds PVR of Industry Ministry of Industry DUS Ministry of Agriculture for DUS CONTROL OF SEEDS ON THE MARKET: Fraude Service (national direction + regional bodies)

8 Seed Associations in Italy A I S (~ 175 members) ASSOSEME (breeders, ~ 25 members) AS.SE.ME. (mainly durum wheat companies of South Italy, ~ 30 members) Assindustria CAPITANATA (local organisation for durum wheat, Regione Puglia, ~ 10 members)

9 AIS structure and relationship AIS has been officially founded in 1946 Forages Section Vegatable Section Beet Section Cereal Section Maize Section Oil & Fiber Section

10 AIS, number of member companies Forages 45 companies Vegatable 73 companies Beet 8 companies Cereal 43 companies Maize 13 companies Oil & Fiber 15 companies

11 Agricultural crops seed market value (2007 estimation) at the wholesale system Vegetable 140 Potato 35 Other 35 Cereals 250 Oil & Fiber 10 Forages 50 Beet 15 Maize 130 Rice 20 In total, about 650 million/

12 Trade: Import export balance (Istat data) Import Export Balance (*) mio of Euro

13 Seed imports and exports composition year 2007 Imports (280 mio ) Exports (145 mio ) Others, 50 Vegetable, 100 Others, 35 Vegetable, 50 Potato, 40 Herbages, 30 Mais, 40 Herbages, 50 Sugar beet, 30

14 Seed companies in Italy sectors of activity N of companies Durum w heat Common w heat Barley Lucerne Berseem clover Italian ryegrass Crimson clover /04 Potato Vetch Beet 1999: about 360 companies 2004: about 300 companies

15 Umbria Trentino Alto Adige Friuli Sicilia Lombardia Veneto Piemonte Lazio Toscana Marche Calabria Sardegna Campania Basilicata Molise Abruzzo Puglia Emilia Romagna Seed companies in Italy Regional distribution 1998/ /04 N of comapnies

16 Seed production in Italy Seed production in Italy multiplication of certified species Multiplication (ha) Cereal species Herbages Oil seeds Maize Sugar beets

17 Use of certified seeds Rate of FSS Durum wheat 10% Rice 10% Common wheat 20% Potatoes 35% Lucerne 40%

18 Seed production in Italy regional surface distribution for field crops EMILIA ROMAGNA 18% other Regions 24% LOMBARDIA 6% PUGLIA 16% PIEMONTE 6% MARCHE 8% TOSCANA 8% SICILIA 14%

19 -Vegetable seeds - main species multiplied (2006 AIS enquiry,, in total ca ha) other, 2600 Spinach, 244 Broad bean, 260 Lettuce, 317 Coriander, 689 Chicory, Carrot, 326 Cabbage & Brassicaceae, 923 Pea, Onion, 919 Radish, 1.510

20 Vegetable seed Regional production Puglia, 5% Umbria, 1,50% Marche, 22% Emilia Romagna, 62% In 2006, a total of about hectares

21 - Agricultural crops - cereal seed multiplication Multiplication (ha) Durum wheat Rice Barley Common w heat

22 - Agricultural crops - maize and oil seed multiplication Multiplication (ha) sunflower soybean maize

23 - Agricultural crops - forages seed multiplication Multiplication (ha) berseem clover italian ryegrass vetch bean lucerne

24 Organic farming Organic farming in Italy is important and well encouraged and supported by Administrations The surface under organic production is around ha (of wich 30% herbages crops, 25% pastures and 20% cereals). Organic seed production, however, is stable or declining because of the derogation system admitted by EU regulation. Organic seeds in Italy are mainly produced under contract and for export.

25 Organic crop production: number of derogation for conventional seed (ENSE database) Derogation requests % of non granted derogation 2000/ / / /2007(*) ,5 14,1 14,2 15,7 (*) N of organic farmers, around

26 Organic seed production, agrarian species: quota of organic seed surface (ENSE database) Total approved surfaces (conventional + organic) Organic seeds, in ha (2,9%) (4,8%) (4,7%) (5,7%)

27 Organic seed production, vegetable species: quota of organic seed surface (AIS enquiry) Total surfaces (conventional + organic) Organic seeds, in ha (and %) 301 (2,7%) 332 (3,2%) 260 (2,6%)

28 Variety official listing in Italy species and number of varieties (Mipaaf and ENSE data for ) 2007) N of varieties Main species Autumn 2006 field crops vegetables Spring 2007 field crops vegetables Cereals, 100 Herbages, 90 Onion, 5 Maize, 520 Sunflower, 95 Tomato, 65 Pepper, 20 In total, in season about varieties were under listing evaluation

29 Cereals: private resources devoted to varietal research % Milions of % 12 % 10 0 IT FR UK DE certified seed farm saved seed

30 New varieties of cereals species under registration in Italy 2007 Durum wheat Common wheat Owner not italian Italian owner

31 Plant variety rights in Italy In Italy, plant varieties can be protected under two systems: * the national one (limited to the national territory) (direct implementation of UPOV convention): however, titles are not delivered since 2001!!! the Community plant variety rights (valid for the whole EU territory) (EC regulation 2100/1994) Main difference beetwen the two options: the italian law did not enforce FSS rules of the UPOV Convention on protected varieties

32 Farm saved seeds Royalty collections: no system is in place in Italy, at the moment, to collect royalties on FSS Some reasons: - not all varieties are protected - at least 3-4 Farmer s Unions to discuss with for a possible agreement - a huge number of farmers: ~ about 80% of little farmers (<92 tons of cereal production), that means exempted to pay remuneration for the use of FSS

33 Seed testing Compulsory official certification of seeds in force in Italy since years 70 has limited the role of independent seed testing laboratories However, since early 90, EC Commission started an experimental plan in favour of accreditation of seed companies for the official certification: - initially, for field inspection, - then, in 1998, for seed testing Directive 2004/117/EC ended the experimental phase with the final introduction of accreditation within the official scheme for seed certification Italian applicative rules for the authorization of seed testing laboratories are under implementation For laboratories outside seed companies, it will be provided that structures must have been accredited by ISTA

34 Main challenges CAP revision (health check) - abolition of subsidies for certified seeds - abolition of quality premium for durum wheat, linked to the use of certified seed - revision of subsidies provided by art. 69 of Regulation (EC) No 1782/2003, that in Italy have been linked to the use of certified seeds FSS Better seed regulation

35 Final remarks Main aspects of the italian seed industry Positive situations good multiplication areas advanced and skilled farming capacity of initiative by seedsmen Negative points inadeguate public administration poor research and variety breeding large number of seed companies

36 Thank you! AIS

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