We’re seeing the effects of supply chain disruption all over the place from the grocery store to the mall. But products we don’t normally think about are feeling it too, for example, cover crop seeds. Andy Lavigne, the president and CEO of the American Seed Trade Association, says the seed industry is seeing the effects of supply chain disruption, too.
The seed trade encompasses seed dealers distributing seeds to farmers. Those seeds have licensed traits. Seed companies also provide seed treatments.
Most of U.S. row crop seed is produced right next to the farmers that are going to grow it the following year. But when there’s challenges in the U.S. to produce seed, but a lot of seed is also multiplied around the world. Lavigne says seed produced counter seasonal or for risk management on other continents needs to be moved to the states. Transportation usually takes place in February and March. The American Seed Trade Association is concerned about container availability and costs of transportation during current shipping backlogs.
Lavigne says seed traits to fight pests and diseases are important to farmers at this time. There’s also a big uptake in cover crop seeds, such as legumes, cereal rye and beets. Cover crops are beneficial to the soil over the winter, Lavigne explains. He says farmers are looking to plant as much as possible during strong commodity markets.
Seed is produced at the same time as the crop. It’s harvested and conditioned, and then distributed to the farmer the following crop year. Lavigne says seed companies are estimating a year out at least of what seed demand will be the following year.
He says a lot of the research that goes into seed production and breeding focus on resiliency to handle drought or flooding, for example. After good quality seed is developed, it needs to be protected. Lavigne explains it costs up to $8 million to bring a new variety to market and obtain intellectual property.
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