ISSD Briefing Note September 2012 Mozambique Seed Sector Assessment

ISSD Briefing Note September 2012 Mozambique Seed Sector Assessment The seed sector at a glance The Mozambican seed sector is characterized by the farmer-saved seed system, which covers more than 70%, and informal exchange which covers up to 20% of the total seed sector. The formal sector is relatively small, covering not more than 10% of the sector, through both public and private entities. However, variations exist among crops and agricultural sectors. In horticulture, almost all quality seed comes from improved commercial. 20% of maize seed comes from the formal sector (public, private), while farmers source their seed of sorghum, millets, and legumes through farm-saved and community-based informal seed systems. The formal seed sector is dominated by the government and two large seed companies (e.g. SEMOC and PANNAR). The companies are contracted by the Ministry of Agriculture for the production and of certified seed of improved hybrid and open-pollinated maize at subsidized prices. It is striking that only 2% of all commercialized seed is sold outside the system that is subsidized by the government. It is in this area that we mainly find small private seed entrepreneurs. In the informal seed sector, individual farmers, entrepreneurs and associations produce and market seed which has not been tested in any way. With regards to guaranteed seed, we consider seed that has not been field inspected during the growing period, but which has been tested for good germination, purity and moisture content in the laboratory (quality-declared). The seed legislation allows for guaranteed seed of both local. The small-scale seed companies are either directly involved in seed production or only market seed, often sold through seed fairs that are subsidized by donors or by non-governmental organizations (NGOs), and through seed voucher systems. The formal seed systems in Mozambique are largely research- or development-driven; few are truly market-driven. Most breeding and basic seed production is within the public sector, which is also responsible for variety release and quality management (certification). Seed production in the public sector is contracted to medium-scale farmers. Increasingly the is outsourced to small-scale seed companies and agro-dealers. These emerging commercial players are filling the gap left between the larger seed companies and the farmer-saved seed systems in terms of timeliness of local seed supply and availability of quality seed of required by smallscale farmers. Seed systems assessment The farmer-saved and community-based informal seed systems are of most relevance for crops for food security, e.g. traditional cereals and food legumes. They also are most relevant for vegetatively propagated crops, such as cassava and sweet. NGOs support these informal seed systems. Within the communitybased system, farmers organizations play an important role, as they link with the formal system, thereby increasing the availability of quality seed of improved that are piloted through seed fairs and seed voucher systems. The emergency and NGO seed system are of an intermediary nature, as they interact with informal and formal systems, promoting the use of quality seed of improved, but not necessarily the use of certified seed. Within formal systems (public, large- and small-scale private, and value chain systems) considerable interaction takes place between public and private stakeholders. Table 1 characterizes the seed systems in Mozambique. Seed-related programmes Within the public seed system, the Mozambique s Agricultural Research Institute (IIAM) is responsible for breeding and for basic seed production. The production of other classes of seed is conducted by SEMOC, which is a public seed company. The dissemination and of certified seed of improved of food security crops is facilitated by the Food Production Action Plan (PAPA). The Department of Seeds in the Ministry of Agriculture (MINAG) is responsible for the registration of seed companies, the release of, seed quality control, and the certification of seed lots. With regards to variety release, the Department oversees tests on distinctness, uniformity and stability (DUS) and on value for cultivation and use (VCU). Public Briefing Note: page 1

Table 1. Characterization of seed systems in Mozambique characteristic farmer-saved community based general description traditional for food and subsistence crops (informal) associations engaged in informal (informal) emergency NGO public private large scale companies sell seed at fairs and through vouchers (intermediary) international and linked national NGOs (intermediary) type of crops food crops food crops food crops emerging cash crops and vegetatively reproduced major crops type of type of seed quality type of and sorghum; food legumes; cassava; sweet organized production of cassava, sweet cuttings and onion seed fairs: all food crops vouchers: maize local local some improved and local farmer-saved some guaranteed guaranteed and certified primarily women farmers maintain, and exchange by exchange organization of voucher schemes and seed fairs sesame; soybean, groundnut; pigeon pea; cassava; sweet and national improved guaranteed and certified breeding and basic seed production; subsidized and production some large companies supplying to public private small scale emerging local companies mainly food crops cash crops cash crops and food crops national maize, rice soybean, maize (hybrid and opv), beans, cowpea, pigeon pea, vegetables some own public improved soybean; sesame; groundnut; pigeon pea; vegetables some own public improved certified certified certified plus guaranteed and primarily through subsidized government system value chain closed systems with large export commodities cotton; tobacco; sugarcane; cashew primarily improved quality system within the product chain embedded in product chain Briefing Note: page 2

research and extension agencies are involved in on-farm trials, including large-scale on-farm trials as well as demonstration trials managed by extension workers. Large-scale seed companies, PANNAR and Mozseeds, have their own breeding and variety selection programmes. The small-scale seed companies acquire basic seed from IIAM, and improved from the public system, which they multiply through out-growers or on their own farms; they are then able to sell certified seed directly to farmers. Large companies, SEMOC, PANNAR, and Mozseeds, train their staff in technical aspects of seed production and crop management. Although private seed companies do not provide financial services to farmers, they do create conditions and agreements with funding agencies and commercial banks to facilitate financing for the purchase of their certified seed of improved, on the basis of a cropping season. Larger companies also conduct field days, establish variety demonstration fields and provide advertising materials, such as brochures. International NGOs support the community-based seed system and promote the organization of farmers in community-based or producer organizations. The NGOs facilitate some interaction between those informal systems and the formal sector, in terms of access to improved and quality seed. Many NGOs provide seed and farm inputs as part of their strategy to enhance food security; few are engaged in seed production themselves. NGOs provide technical and market-oriented advisory services to farmers and their organizations. Internationally supported programmes acquire seed from the public sector and from PANNAR. These programmes focus on emerging cash crops, but also target major food crops, through the organization of seed fairs and through the of seed vouchers for emergency situations. Seed-related policies The Seed Law of 1994 (Decree 41/94) deals with production and in formal seed systems, but it does not even mention the informal seed system. The same applies to all of the strategic and regulatory documents that were subsequently created to regulate and implement the seed law, with the exception of the National Seed Strategy (1997-2001), which recognizes the role of the informal sector. The Government of Mozambique (GOM) ratified the Convention on Biological Diversity in 1995 and the Cartagena Protocol in 2003. In 1997, GOM drafted the Strategy and Action Plan for Biodiversity Conservation in Mozambique. Mozambique is not a member of the International Seed Testing Association (ISTA) or the International Union for the Protection of New Varieties of Plants (UPOV), although UPOV is mentioned in the 2006 plant breeders legislation. The Seed Department of the MINAG is by law (184/2001) responsible for seed production inspection, quality control, certification, control, inspection of processing plants and seed warehouses, and seed import and export controls. The multi-stakeholder National Seed Committee (CNS, established by law in 1998) oversees the seed sector and validates decisions on variety registration and release. Its sub-committee on variety registration and release (SCRLV) prepares the registration and release of, which is then implemented by the Department of Seeds. The 2006 law on the Standards of Protection on New Varieties of Plants includes legislation on plant variety protection. The corresponding regulation for its implementation has been drafted, but has not yet approved. As a result, public plant breeders monopolize basic seed production. The private sector limits its investment in breeding, because of the lack of an incentive structure that would be created by plant variety protection. The Strategic Plan for Agricultural Development (PEDSA) is being implemented through programmes such as PAPA. PEDSA guides the formal public seed system, in the absence of National Seed Strategy. A new National Seed Sector Strategy needs to be developed based on the views of all stakeholders, accepting the co-existence of formal, intermediary and informal seed systems. Such new guidance through a strategy could advance their integration and create an enabling environment that fosters entrepreneurship in various seed system. The link between practices, programmes and policies: challenges and opportunities Farmer-saved and community-based informal seed systems with their widespread use of uncertified seed dominate the agricultural sector, particularly concerning food security crops. However, seed programmes focus mainly on the formal and intermediary seed systems. Integration of the informal, intermediary and formal seed systems creates opportunities for enhancing farmers access to affordable quality seed of superior. This could be achieved by linking grain production with seed production and. Farmers must be trained in seed production technology. In addition, business development services should be provided to seed companies, including the small-scale and emerging seed companies. A condition for establishing and promoting this link between seed users, producers and seed companies would lead to a gradual removal of the public subsidized seed programmes (PAPA). Briefing Note: page 3

The seed legislation and development strategies need to recognize the value and importance of the informal and intermediary seed systems and guarantee that these seed systems, which are the dominant ones, will be given ample attention and support, through for example: linking plant breeders rights and farmers rights in the legislation (new PBR regulations) facilitating overall seed sector coordination (including sub-national and value chain specific coordination) through the CNS determining and monitoring the roles and responsibilities of the public and private sector in seed value chains (including the facilitated access to breeders and basic seed, and seed quality inspection determining the mechanism that promotes the production and support of farmers access to certified and guaranteed seed defining strategies for breeders, seed producers, commercial service providers and agro-dealers, in bridging the gaps between formal and informal seed systems. African Seed and Biotechnology Programme The African Seed and Biotechnology Programme (ASBP), which was adopted during the Eighth Ordinary Session of the Assembly of Heads of States and Governments of the African Union, in January 2007, aims to provide a strategic approach to the comprehensive development of the seed sector and related biotechnology in Africa, taking into account the different needs of the countries and regions. The programme pursues an integrated approach towards enhancing capacities for seed policy development and implementation; strengthening linkages between informal and formal seed sectors; ensuring further adherence to international norms and standards; stimulating the transfer of appropriate technologies and products; and encouraging publicprivate partnerships to promote the development of local seed enterprises. The Integrated Seed Sector Development (ISSD) in Africa programme is meant both to strengthen these processes and to contribute to the implementation of the programme at the level of national policies, supporting regional economic communities in their contribution to ASBP objectives. This makes the ISSD Africa programme timely and well placed to a continental and regional context. ISSD Africa II and the current ISSD Mozambique Briefing Note The ISSD Mozambique assessment of the seed sector is produced within the context of the ISSD Africa II programme. The activities carried out in this programme in Mozambique are financed by the Government of the Netherlands, through its Ministry of Economic Affairs, Agriculture and Innovation (ELI), and the Directorate for International Cooperation (DGIS); and through Agri- ProFocus. ISSD Africa is a collaborative programme that is active in Burundi, Ethiopia, Ghana, Mali, Malawi, Mozambique, Uganda and Zambia. It includes partners from the public and private sector, NGOs, farmers organizations and universities, at national level in each country. ISSD Africa II is coordinated by the Centre for Development Innovation of Wageningen University and Research centre in the Netherlands. The programme s international partners are Wageningen University Law and Governance Group, Self Help Africa (SHA), IFDC (Eastern and West Africa Programmes), the Royal Tropical Institute (KIT), Future Agricultures Consortium, Agri-ProFocus, and the Technical Centre for Agricultural and Rural Cooperation (CTA) Briefing Note: page 4

Authors: Inácio F.C. Pereira and Willem Heemskerk Picture: Willem Heemskerk (KIT) ISSD Africa II Mozambique task force and members: Ms Elsa Timana, Seed Department of the Ministry of Agriculture, representing the public sector Ms Maria Estrela Alberto, Mozseeds, representing the private sector Mr Amâncio Armando, Mozambican Association for the Promotion of Modern Cooperativism, (AMPCM), representing farmers organizations Mr Luis Muchanga, National Union of Smallholder Farmer Associations (UNAC), representing farmers organizations Dr Rogerio Chiulele, University of Eduardo Mondlane, representing knowledge institutions Inácio F.C. Pereira, ISSD Africa consultant Willem Heemskerk, Royal Tropical Institute (KIT), the Netherlands, ISSD Africa advisor Karèn Verhoosel, Centre for Development Innovation (CDI) of Wageningen University and Research centre, the Netherlands, ISSD Africa advisor ISSD Africa editorial team: Walter Simon de Boef, Gareth Borman and Elizabeth O Keeffe Centre for Development Innovation (CDI) of Wageningen University and Research centre, the Netherlands ISSD Africa II is supported by: Briefing Note: page 5