Unit growth
in developing markets is flat.
There have been several technologies that have reduced the
amount of seed planted. Seed companies raise the price of
seeds to reflect their genetic yield enhancement and must show
the farmer how to be more efficient in his planting rate. The
genetics of the seed is improved, but the farmer must control
his seed cost in order to harvest the economic benefit.
Precision planting, substitution of hybrids for open
pollinated varieties, and planting of plugs have been
technologies used by field, vegetable and ornamental growers
to reduce seed usage.
Unit growth in emerging markets is
up.
Many farmers in these markets believe
that purchased high quality seed is economically superior to
saved seed. Even though they must pay more for the quality
seed, economically their seed emergence and yield improvements
net them a higher profit per hectare. However, while offering
opportunities, these markets are a difficult operating
environment. Governments can be unstable politically and
financially, seasoned management is hard to find and
infrastructure issues are difficult. Getting phone service can
take months and high speed internet service is only a dream.
Product development is worldwide.
Large and medium seed companies have
operations in the Northern and Southern Hemispheres. Their
breeding, trialing and seed increase functions are worldwide.
They have the advantage of cycling breeding, trialing and seed
increase to the maximum during each calendar year.