March 2012 Marcel Bruins, Secretary-General ISF

FIS Assinsel (international seed traders association) Established 1924 (international plant breeders association) Established 1938 Established 2002 - Secretariat: Nyon, Switzerland (6,5 fte) For more information: www.worldseed.org

ISF : membership Ordinary members National Associations representing seed companies and enterprises within their countries 54 members from 41 countries Associate members Seed companies or enterprises 98 members from 42 countries Affiliate members Service providers to the seed industry 26 members from 11 countries Tree and Shrub Seed Group National Seed Associations of tree and shrub seed companies and / or individual companies active in this field 41 members from 25 countries Observers 9 Associations (Afghanistan, Bangladesh, Gambia, Pakistan, Paraguay, Russia, Sudan, Ukraine and Venezuela)

2011: WW Seed market: 43 billion USD Farm Saved Seed: 15 billion USD Internationally Traded: 8.3 billion USD 228 members from 78 countries ISF members cover 96% of international seed trade

Regions No. of ISF members Africa 13 Asia-Pacific 12 Eastern Europe 13 Middle East 10 North America 3 South America 9 W. Europe 18 5

Country Field Crops (MT) Field Crops Value Vegetable Crops (MT) Vegetable Crops Value MT = Metric Tons // Value = Mio USD Conversion 1 = 1.32$ // * 70+ countries with >1mioUSD Flower Seed (MT) Flower Seed Value Total Value Netherlands 123082 245 12174 1004 1099 57 1306 USA 215186 695 21603 485 1852 72 1252 France 378307 925 9200 298 131 17 1240 Germany 884707 504 1741 55 370 45 604 Chile n.a. 208 2316 104 27 17 329 Hungary 79134 235 2309 17 56 1 253 Italy 86805 140 10453 106 118 2 248 Denmark 82021 181 9769 53 0 0 234 Canada 164500 207 168 1 0 0 208 Mexico n.a. 172 437 13 0 0 185 Belgium 28644 176 830 5 125 2 183 Austria 63262 176 104 2 0 0 178 Argentina n.a. 158 506 10 0 0 168 China 25468 66 5742 88 2481 14 168 Brazil n.a. 156 139 10 0 0 166 Japan 4110 29 1406 98 13 19 146 Total * 1909140 5129 106681 2851 6789 276 8256

Country Field Crops (MT) Field Crops Value Vegetable Crops (MT) Vegetable Crops Value Flower Seed (MT) MT = Metric Tons // Value = Mio USD Conversion 1 = 1.32$ // * 70+ countries with >1mioUSD Flower Seed Value Total Value Netherlands 123082 245 12174 1004 1099 57 1306 USA 215186 695 21603 485 1852 72 1252 France 378307 925 9200 298 131 17 1240 Germany 884707 504 1741 55 370 45 604 Chile n.a. 208 2316 104 27 17 329 Hungary 79134 235 2309 17 56 1 253 Italy 86805 140 10453 106 118 2 248 Denmark 82021 181 9769 53 0 0 234 Canada 164500 207 168 1 0 0 208 Mexico n.a. 172 437 13 0 0 185 South Africa 8500 51 1253 17 0 0 68 Kenya 690 5 155 5 0 0 10 Egypt 1425 0 2114 5 0 0 5 Morocco 0 0 46 3 0 0 3 Tanzania n.a. 2 0 0 0 0 2 Ghana 0 0 0 0 160 2 2 Total * 1909140 5129 106681 2851 6789 276 8256

Country Field Crops (MT) Field Crops Value Vegetable Crops (MT) MT = Metric Tons // Value = Mio USD Conversion 1 = 1.32$ // * 100+ countries with >1mio USD Vegetable Crops Value Flower Seed (MT) Flower Seed Value Total Value USA 141545 451 14168 281 500 55 787 France 136895 488 4450 116 400 12 616 Netherlands 121921 235 18672 298 573 44 577 Germany 164365 463 5766 80 500 24 567 Italy 227499 196 9976 154 50 8 358 Mexico n.a. 117 1523 200 2 1 318 UK 56782 150 5654 150 230 17 317 Spain 145559 149 2790 161 110 2 312 Russia 29700 225 2650 56 130 6 287 Ukraine n.a. 180 790 25 1 1 206 Canada 45820 121 4200 67 1932 15 230 China 36902 91 11741 105 230 6 202 Japan 42565 90 5220 87 170 20 197 Belgium 64400 155 21434 26 126 3 184 Turkey 18648 57 4200 98 2 3 158 Romania 98466 113 1504 15 250 2 130 Total* 1835692 4761 184970 2832 7660 249 7842

Country Field Crops (MT) Field Crops Value Vegetable Crops (MT) Vegetable Crops Value Flower Seed (MT) MT = Metric Tons // Value = Mio USD Conversion 1 = 1.32$ // * 100+ countries with >1mio USD Flower Seed Value Total Value USA 141545 451 14168 281 500 55 787 France 136895 488 4450 116 400 12 616 Netherlands 121921 235 18672 298 573 44 577 South Africa 40050 58 735 23 10 1 82 Morocco 6500 40 1121 29 0 0 69 Egypt 2300 19 7200 35 0 0 54 Algeria 4400 8 900 18 0 0 26 Kenya 1600 12 890 9 0 0 21 Senegal n.a. 2 110 4 0 0 6 Burkina Faso 0 0 130 4 0 0 4 Ethiopia 200 1 150 3 0 0 4 Libya n.a. 1 0 3 0 0 4 Angola 30 2 102 1 0 0 3 Sudan 40 1 240 2 0 0 3 Cameroon 0 0 300 3 0 0 3 Tanzania 200 1 170 1 0 0 2 Total* 1835692 4761 184970 2832 7660 249 7842

Country Value (mio USD) 2003 2005 2007 2008 2009 2010 Netherlands 1100 784 1040 1072 1299 1306 USA 829 922 1019 1176 1178 1252 France 679 688 914 1015 1162 1240 Germany 270 340 483 493 506 604 Chile 138 171 204 281 370 329 Hungary 78 106 196 254 235 253 Italy 151 171 184 253 217 248 Denmark 170 178 325 355 223 234 Canada 201 215 347 378 355 208 Mexico 11 109 171 181 255 185 Belgium 93 123 142 154 164 183 Austria 40 116 118 178 Argentina 41 56 118 120 172 168 China 49 61 88 113 140 168 Brazil 39 55 54 166 Japan 96 104 117 146 Total (70+ countries with >1mio USD) 4456 4904 6398 7064 7670 8256

Growing international seed trade Source: International Seed Federation (ISF) www.worldseed.org Cheap & fast transportation Development of hybrid varieties Higher speed of breeding & commercial processes => counter season breeding and production

* 100+ countries. The commercial world seed market is assessed at approximately US$ 43 billion Total Total Total USA 12,000 UK 400 Finland 160 China 9,500 Turkey 400 Austria 150 France 2,400 South Africa 370 Switzerland 144 Brazil 2,000 Mexico 350 Egypt 140 India 2,000 The Netherlands 317 Morocco 140 Japan 1,400 Czech Republic 300 Bulgaria 120 Germany 1,261 Hungary 300 Chile 120 Italy 780 Taiwan 300 Nigeria 120 Argentina 600 Poland 260 Serbia 120 Canada 550 Greece 240 Slovakia 110 Russian Federation 500 Sweden 240 New Zealand 100 Spain 450 Romania 220 Uruguay 96 Australia 400 Belgium 185 Paraguay 80 Korea 400 Denmark 185 Total 40650*

2015 Africa food demand reaches 100 bio $ (= 2 x level of 2000) [IFPRI] Biotech: 20 mio farmers plant 200 mio ha in 40 countries [ISAAA] 2020: Population growth 80 mio/yr=>7.7 bio 17% more water needed to feed the world [WWC] World Agr. GDP projected to decrease by 16% due to global warming [IFPRI] 13

2025 2/3 of all people in drought or water stressed conditions [UNEP] 1 ha needs to feed 5 people (in 1960: 2 people) [WB] 2030: Energy demand 55% (74% in dev ing countries) [IEA] 1.7 bio new mouths to feed [IChemE] Calorie demand is set to rise by 10% [FAO] 14

By 2050: 50% of current arable land will become unusable (desertification/land degradation) [UNCCD] Population at 9 bio [UN] Global food demand 2,5X [BIAC] Agr. Production needs to increase 2-3 times [FAO] Photo courtesy: WFP (Q. Sakamaki) 15

925 mio people currently do not have enough to eat [FAO, Sept. 2010] Every 3.5 seconds a person dies of hunger or malnutrition [WFP] => 25.000 / day Around 65% of the world s hungry live in only seven countries: India, China, The Democratic Republic of Congo, Bangladesh, Indonesia, Pakistan and Ethiopia [FAO] More than 70 percent of the world s underweight children (aged five or less) live in just 10 countries (>50% in South Asia) [UNICEF] 16

abcd 17

Comparison ISTA OECD Sd Sch Hunger UPOV ISF 18

Comparison Africa ISTA OECD Sd Sch Hunger UPOV ISF 19

Country ISTA OECD SS UPOV ISF Hunger Index Tunisia 1 lab 2 Yes Yes <5 Egypt 1 lab 2 No Yes <5 Mauritius * No No No No 5.4 Morocco No 2 Yes Yes 5.9 South Africa 1 lab 2 Yes Yes 6.4 Ghana 1 lab No No No 8.7 Senegal No No No No 13.6 Kenya 2 labs 2 Yes Yes 18.6 Mali No No No No 19.7 Tanzania 2 labs No No Yes 20.5 Angola No No No No 24.2 Ethiopia No No No No 28.7 Chad No No No No 30.6 Burundi No No No No 37.9 DR Congo No No No No 39 * 90% of arable land is sugar cane 20

World Seed Project Creating the regulatory framework => facilitate the development of new plant varieties & delivery of high quality seed to farmers to enhance crop productivity in a changing world ISF part to focus on creation & strengthening of a National Seed Association 21

Shaping Trends Traits Biofuels Food quality issues Globalization Shift in end user 22

Trends - General Changes in the seed industry faster than ever Technology is booming The world is shrinking Products move more quickly from production to obsolescence => impact on profit margins 23

Trends - Seed Trade International seed trade Seed treatment Farmers better informed of all varieties: switch more quickly Variety life time shorter More crops converted to hybrids 24

Seed has become focal decision Past: Input decisions distinct & separate Today: Farmers want integrated solution & seeds is most important decision Seed Treatment Crop Protection Seed Treatment Crop Protection Seed Seed Services Fertilizer Services Fertilizer Rather than selling input components, successful retailers are leading with seed and helping farmers maximize profitability on every ha. 25

Trends - Farm size Farm size is increasing Larger farms are able to leverage annual profitability Larger farms also increase level of sophistication in business structure Large operations make decision more collaboratively with the objective to achieve the highest possible return on their investments 26

Trends - Plant Breeding More and more plant breeding & seed production by private sector Increased focus on abiotic tolerance (drought, salt, flood, heat, cold etc) Access to germplasm and technologies continue to be a challenge Increase in admin./regulatory burden (IT & CBD) 27

Trends - Vegetable Seed Industry Consumer tastes and preferences extr. difficult to predict Growing realization that what we eat matters and has consequences => Growing trends: Things seen to be healthy / healthier Local is good Freshness All things green 28

Trends Lack of workforce No. of Masters & PhD s declining in: Plant breeding Plant physiology Agronomy Genetics Seed technology etc Companies need to play more active role in education and training process Pair up students with seed industry mentors 29

Trends - Biotechology No. of biotech varieties No. of traits (next generation) Multistacks ( & phase out single trait varieties) Multistacks add complexity => increase conversation & planning No. of countries with biotech Cases of LLP Regulatory burden Variability in Regulations = trade barrier / ISF on barricades Non transgenic modification (muta- & cisgenesis) 30

Biotechology future prospects 2013: first biotech based drought tolerant maize planned for release in N. America 2013/2014: Golden Rice in Philippines 2015: ~10 more countries growing biotech crops (29=>40 countries / 17 mio farmers => 20 mio farmers / 160 mio ha =>200 mio Ha)) 2017: biotech drought tol. maize in Africa Biotech maize in China (30 mio ha.) Bt rice 32

Biotechology Africa Commercial biotech varieties in South Africa, Burkina Faso & Egypt. Kenya performance trials for Bt cotton planned for 2012: possibly 4th Afr. country? Passed biosafety bill: Nigeria, Uganda and Ghana Trials: Nigeria, Uganda & Malawi 33

Implications for the seed industry Seed companies need to anticipate; welcome change, be adaptable Advanced technology & globalization: companies must be willing to work together 34

More information: www.worldseed.org 36