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American Seed Trade Association (ASTA) partners with CIMMYT and USAID to test market segmentation of seed for agricultural development in Africa

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Alexandria, Virginia
July 24, 2008

Source: ASTA e-newsletter July 24, 2008

The American Seed Trade Association (ASTA) has partnered with the International Maize and Wheat Improvement Center (CIMMYT) and the U.S. Agency for International Development (USAID) on a project in Kenya to test market segmentation of seed for agricultural development in Africa.

The project seeks to discover whether a market segregation strategy can be developed that allows improved maize varieties to be affordable to poor farmers, thus increasing adoption by these farmers.

Additionally, the strategy would also seek to function efficiently in an environment of public interventions, such as subsidies, and prevent excessive leakage to the non-poor, a cost borne by the private sector.

There are two phases to this project. The first phase recently concluded with a large stakeholders' meeting in Nairobi, Kenya, on June 26, 2008, and included seed companies, Kenyan government officials and local non-governmental organizations.

The purpose of the meeting was to determine whether or not a market segregation strategy could be developed. After consideration of the presentations made on results of research and consultations completed prior to the meeting, it was determined that it is possible to implement such a strategy.

Further planning was undertaken which led to agreements by the stakeholders on the major discussion points and to the development of an action plan for Phase II of the project.

Based on these discussions, Phase II will include a small scale pilot project which will be conducted in cycle with the long rains of 2009.

ASTA will circulate the final report from the June meeting to the ASTA International Executive Committee in the near future seeking comments on the strategy as it moves forward.

 

 

 

 

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