Principles of Seed Technology (1) Pages 4
Principles of Seed Technology (1) Pages 4
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            Seed godown should be in a place where transport facilities are easily available.
            Seed godowns should not be constructed in areas near seashore. Since the high RH of
             atmospheric air accelerate the deterioration of seed.
            Seed godown should not be constructed in low lying water stagnating areas.
            Seed godown should be constructed in places where atmospheric RH is low, free
             circulation of air is possible, sunlight is adequate and elevated in nature.
            The ventilators should be at bottom for free air circulation.
            Ground moisture should not reach the floor.
            Should be rat proof with wire mesh
            Should not be near industries as smoke is injurious
         3. The height of the stack should not be more than 6-8 bags.
         4. Different seed lot should be kept separately.
         5. Godown should be sprayed periodically once in a week or fortnightly with Malathion
            50 EC (1 : 300 Chemical : Water) @ 5 lit. sq. m-1 or 0.25% Nuvan @ 1 lit. 100 m3-1.
         6. Altering the chemicals at weekly intervals will give better control.
         7. Seed lots can be fumigated with Aluminium phophide @ 3 gm/cu.m in air tight
            condition for 7 days. This can be done as propylatic measure and on minimum
            infestation by insects.
         8. Seed lots should be periodically (once in month) tested for seed quality.
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  9. Based on seed testing result, seeds can be dried under sun for the removal of moisture.
      It reduces insect and pathogen infestation.
  10. New seed lots should be kept away from old seed lots to avoid secondary infestation of
      insects.
  11. Seeds should be treated with combination of fungicide and insecticide (eg.) Thiram @ 2
      g kg-1 + carbaryl @ 200 mg kg-1.
  12. Frequent supervision of each and every lot is must.
  13. Seed bag should be restacked once in 3 months for free aeration.
  14. Instead of gunny bags low cost interwoven polythene bags should be used to prolong
      the life of seed.
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      Chemicals
            Two chemicals are widely used : Phosphine and Methyl Bromide. Others are dichlorvos,
      Carbondioxide, Ethylene oxide and HCN.
      Phosphine : Available in a solid form (0.6 g pellets, 3 g tablets). The active ingredient is
      Aluminium phosphide mixed with Ammonium carbonate and Paraffin. After exposure to the
      atmosphere, the pellets decompose and release the active substance, hydrogen phosphide
      (PH3), which has the same specific weight as air, and is thus evenly distributed in the
      fumigated material or chamber. Phosphine is also able to penetrate bags, carton boxes and
      other containers.
      It must be borne in mind that fumigation particularly repeated fumigation, may seriously
      reduce the vigour and viability. This is particularly true for seeds with a higher moisture
      content of 14 per cent. Seeds with moisture content above 14 per cent should be dried, before
      fumigation.
      Samples of seeds have to be drawn at fortnight intervals and the infestation can be classified as
      follows based on insects found per kg of sample.
      When there is no pest          Free
      Upto 2 insects                Mild
      More than 2 insects            Severe
      The fumigant has to be chosen and the requirement worked out on the following guidelines :
      Aluminium phosphide: Three tablets of 3 g each per ton of seed for cover fumigation (only
      selected blocks of bags)
      Twenty one tablets of 3g each for 28 cubic metres, for shed fumigation (entire godown). Period
      of fumigation - 5 days. The major advantages of Phostoxin are that it lacks residues and does
      not affect flavor or germination and is easy to handle.
      Methyl bromide: Above 5.6oC, methyl bromide is in the gas phase and is available in
      cylinders similar to those used for cooking gas. Since, it is odorless, other gases such as
      chloropicrin are sometimes added to facilitate detection of leaks. Because methyl bromide is
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3.5 times heavier than air, care has to be taken that it is properly distributed within the goods
to be fumigated (fan can be used). The recommended dosage is 20 g/m3 for 24-48 hrs.
Special safety measures are required, since methyl bromide is absorbed through the skin. It
tends to accumulate in commodities which are important whenever repeated fumigation is
necessary.
Equipment
Gas-proof plastic sheets with at least 50 cm overlap firmly pressed to the ground with sand,
iron bars, or other weights are frequently used. Gas escape results in reduced insecticidal
effect and is a hazard to users. A cement floor is necessary to prevent gas escape through soil.
Care must be taken that the fumigation area is properly aerated and fans sometimes help.
If a store‟s door and windows can be hermetically sealed, fumigation of the entire store is
possible. Most stores, however, allow gas to escape through other openings. Silos are usually
good fumigation facilities. When large quantities must be fumigated within a short time, a
vaccum fumigation chamber is appropriate. These chambers are available in sizes between 1
and 50 m3, and sometimes as a plant of upto 6 x 50 m3, equipped with common fans, pumps
and other equipment. The insecticides used are methyl bromide or ethylene oxide.
Safety
Face masks with a proper canister should be used, especially during the aeration process.
When handling Phostoxin, cotton gloves should be worn. Gas concentration can be checked
with a Halide gas detector for methyl bromide and with a tube detector (Draeger) for
Phostoxin. A warning sign should be clearly visible to prevent people from inadvertently
removing plastic sheets or entering a building under fumigation.
Rodent Management in Store Houses
       Provide of wire mesh to windows, ventilators, drains and leave no gaps to doors. Use
rodent baits with multi dose or anticoagulant rodenticides. The bait may be prepared as
follows:
Cereal flour                                    450 g
Any edible oil                                   10 g
Powdered jaggery                                15 g
Anticoagulant or rodenticide such as coumarin         25 g
Replace the consumed bait daily. If needed the single dose or acute poison bait may be
prepared as follows :
Food material                                    97 g
Edible oil                                      1g
Zinc phosphide                                   2g
Before providing the poisoned zinc phosphide bait, the plain or non-poisoned bait are to be
provided for two or three days to make the rats accept the bait.
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                                                 Lecture 31
                                             SEED MARKETING
      A definition of seed marketing
           Seed marketing should aim to satisfy the farmer's demand for reliable supply of a range
      of improved seed varieties of assured quality at an acceptable price.
            To the retailer in the agricultural sector, for example, it is selling seed along with other
             inputs to the farmer.
            To the farmer it is simply selling what he produces on his farm. However, whatever the
             circumstances, a well-defined sequence of events has to take place to promote the
             product and to put it in the right place, at the right time and at the right price for a sale
             to be made.
            Too many people think of marketing solely in terms of the advertising and selling of
             goods, whereas in reality marketing starts long before the goods exist and continues
             long after they are sold. Therefore, for the marketing process to be successful: the
             farmer consumer's needs must be satisfied; the seed company's objectives must be
             realized.
      MARKETING STRUCTURE
      Seed distribution systems
      Seed distribution can be carried out by government, public sector agencies, co-operatives and
      the private sector or, as is often the case, by a combination of all of these. Channels for seed
      marketing may be described as:
      Direct
            The seed producing organization supplies the farmer directly. Some features of direct
      channel distribution are:
 the upkeep of such a system can be expensive, with high fixed costs if a
         where there are many staff involved in a direct sales organization there can
      be an inbuilt inertia to change so the system may lack flexibility.
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 the revenue necessary to pay for the high fixed costs will only come from
   having a wide product range and achieving good market shares or selling
high value products such as horticultural seeds.
Single level
The seed producing organization supplies the farmer through independent retail outlets. The
main features of this system are that:
      the seed supplier relies on the retailer for contact with the consumer
      retail networks require strong service and support from the supplier
      good administrative control must be provided by the sales management
      the supplier's distribution system must be well organized and responsive
      product quality at the retail level must be monitored for deterioration and
       adulteration and a return system should be considered
      although the products may be well promoted, the supplier relies on the retailer to make
       the final sale.
Multilevel
The seed producing organization supplies a national distributor, wholesalers or regional
distributors who, in turn, supply sub-distributors or the retail outlets.
This system is characterized by:
If neither infrastructure nor the economy are well developed, national distributors may simply
not be available and the seed producer will have to supply seed to regional wholesalers or
distributors.
Sources of seed available to farmers
For farmers there are a number of sources available for the purchase of seed. These are:
Direct sales
The seed producer supplies the farmer directly from central seed stores and a network of
his/her own supply points
Farmer producers
Farmers with seed production contracts are licensed to supply other farmers within their zone
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      of influence
      Cooperatives
             Cooperatives act as 'farmer producers' and/or as suppliers of inputs to members
      Farmer dealers
      Farmers act as dealers, supplying their neighbours; this can evolve into a highly developed
      system
      Commission agents
      These work directly with the producer or his/her intermediaries, passing on orders from the
      farmers
      Grain merchants
      Traders involved in the seed and grain business who are also licensed seed producers
      Crop buyers
      Collectors and crop or commodity traders who provide a point of contact with farmers and
      can be used to market seed
      Retail store dealers
      Town and village dealers who retail a range of agricultural inputs, with the larger operators
      possibly having sub-dealers
      Industrial processors
      Processors interested in specific crops including oilseed crushers and vegetable canners, who
      may have an interest in supplying seed as part of a growing contract or integrated production
      system
      Cold store operators
      Potato cold store operators trade potato seed since they deal directly with the growers and
      have the appropriate storage
      Consumer outlets
      Garages, shops and supermarkets (are best suited to display small packets of seed)
      Mail order
      Suitable for low volume, high value products such as vegetables and flowers.
      Although government extension outlets are not strictly retail outlets, seed is sometimes
      supplied to the farmer through government sponsored agencies and departments which
      administer crop or regional development and credit programmes.
      ORGANIZATIONAL CHART
 Product management
      Concentrates on developing and implementing marketing policy for a seed product or range
      of products
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Aims to create product awareness, influence farmers' buying decisions, (PR) and build up a
positive perception of the company
Involves receiving and processing orders, allocating stock and dispatching orders, and
maintaining stock records
Involves managing the inventory for each class of seed, crop and variety, to ensure
maintenance of germination and vigour
Entails moving the seeds from the point of production to the point of sale
The process of making the actual sale and receiving payment for it, i.e. the end result of the
marketing activity
 Management information
Involves collating and interpreting sales information and other information as      a basis for
monitoring operations and planning future activities
 Customer care
 Advertisements
Messages sent via the media to inform and influence the farmer
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 Sales promotions
 Personal selling
      Generalized communication which is designed to promote the company's image rather than
      that of specific seeds
 Extension
            They have low purchasing power coupled with a low rate of return from farming.
            They are generally conservative and therefore are slow to adopt new products.
            They may not be well informed.
            They often lack mobility and the means to transport goods.
            It should also be recognized that educational and literacy standards will not always be
      high in rural communities. The use of visual material will help to overcome some
      communication problems. In all forms of communication, companies should always try to
      make the subject of seeds interesting and relevant to the consumer.
      Advertising
      The published print media
      This includes newspapers, periodicals, magazines, trade and professional journals. There may
      be both advantages and disadvantages when advertising in this manner.
      Some advantages of the printed media are that:
 good coverage can be obtained and, by using the local press and specialist
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      the text, and therefore the message, may not be well understood due to language and
       literacy problems
      only limited space may be available
      printed text has limited impact and colour does not always reproduce well in
       newspapers
      a daily paper has a limited life and the advertisements will have to compete for
       attention with stories and other information.
 the impact will be greater as both sound, colour and movement can be used
o massive coverage can be achieved and some local targeting may be possible.
Radio
Some advantages of radio are:
      good coverage is achieved; this is not confined to the home as people listen to the radio
       everywhere, including when they are working on the farm
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              Language problems can be overcome through local broadcasting and there is always the
      possibility of involving local personalities to add interest and relevance to the area. Radio is
      useful for making announcements, such as the availability of seed in the area. Another form of
      broadcasting is the loudspeaker van which can be used to tour villages or towns to make
      similar announcements, particularly on a market day.
      Cinema
      In rural locations where cinema is the main entertainment a high proportion of the audience
      will be involved in farming so this medium could be considered for advertising. Advertising
      slides are not expensive to prepare and these can be shown during the show.
      The outdoor media
              Outdoor media include posters, signs and advertising on transport, bus shelters, walls
      and buildings. These forms of advertising can be used to increase the visibility of the company
      and its products. Outdoor advertising may have considerable and lasting impact at a low cost
      if it is well situated and if there is not too much competition for the available space. Exclusive
      arrangements can always be made for the use of space.
      In addition to commercial advertising, retailers should be supplied with signs and crop
      boards. It is important that good sites are chosen which are highly visible and strategically
      placed to ensure maximum exposure.
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Packaging design
      Packaging is a form of advertising. Clear printing, the use of colour, brand or company
logo and well reproduced photographs or images are all important components of design.
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                                                  Lecture 32
                                              PRICING POLICY
      Seed pricing involves setting prices when a new product is launched or a new distribution
      channel is used. Also, decisions may need to be taken to change the price in response to
      competition and to the general market situation.
      In the public sector prices are often based on an economic pricing policy. Economic pricing
      considers the effect of seed price on the economy, taking into account the amount officials
      think farmers can afford to pay and the role of the seed industry in the development of
      agricultural production. Ideally, however, the public sector should follow a more commercial
      pricing policy which accounts for all costs and allows for an element of profit.
      Some objectives in government seed pricing could be:
            props maximization which will be the long-term target although there may be many
             other shorter term considerations which will influence pricing policy, such as increasing
             market share and gaining acceptance of new products
            price competition, may be achieved by setting a price that gives a competitive edge in
             the market place but may not be lower than that of a rival because other factors, such
             as service, will be contributing to a company's competitive advantage
            a yield 01? investment which must be at least as good as other uses for investors' funds.
      Pricing strategies
      Once a company's seed pricing objectives have been established, different pricing strategies
      must be considered. These include:
      Low price strategy
      Low price strategies are used where consumers respond very positively to small downward
      changes in price, but a company may not always gain from setting low prices as more efficient
      competitors may respond with similar price cuts. If the product is not particularly price
      sensitive then the net effect of a price reduction can simply mean a reduction in revenue. A
      company may be tempted to reduce its price where similar or substitute products are also sold
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or when there is an oversupply. However, seeds can become devalued by selling them cheaply
especially where there are real benefits associated with the product. Imported vegetable seeds
are often chosen by farmers in preference to locally produced varieties in the belief that they
are better because they are more expensive. It is therefore critically important to understand
the likely response of the farmer when adopting a low price strategy.
Market price strategy
Where a few large companies dominate supply, products tend to be similar (known in the seed
industry as "me-too" varieties) and the role of price tends to be neutral, i.e. a market price is
established.
High price strategy
This strategy can be used as a long- or short-term policy. In the case of the long-term policy the
company will have identified a market segment for a high quality, value-added product such
as graded and treated seed for precision drilling. A high price will reflect the exclusive image
or added value of the product. A short-term, high-price policy takes advantage of a new
product introduced onto the market, as may be the case with a new high-yielding variety
where supply is limited.
Pricing techniques
The important influences on pricing are cost, demand, prices of the product's main
competitors and short-term sales targets.
Cost-plus pricing
This method involves calculating the unit cost of a product and adding the appropriate profit
margin to give a base price which might then be altered in relation to prevailing market
conditions. While this seems a simple approach the fact that such pricing is production
oriented and may therefore not reflect what is happening in the market place, makes it risky. A
rigid application of cost-plus pricing may lead to price increases when demand is lower and
reductions when demand is strong. This is the opposite of what should normally be done.
Contribution pricing
This is a form of cost-plus pricing which involves separating the different products that make
up the product portfolio and allocating to them the direct costs associated with their
production. The price is determined at a level which will generate revenues in excess of these
costs, thereby contributing towards meeting business overheads. Individual products can be
analysed in terms of their ability to cover their direct costs and contribute to overheads.
Competitive pricing
Where there is market competition, costs cannot always be the determining factor in pricing.
Here the nature and extent of competition will have a major influence on the price. If a product
is faced with direct competition from similar products the price will be restrained. In contrast,
when a product is faced by indirect competition from products in different sectors of the
market there will be more scope to vary the price. This provides the possibility of using
different strategies.
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            All of these factors can be modified and there are many interactions between them that
      ultimately determine the size, viability and other characteristics of the seed industry. Figure 1
      provides a diagrammatic representation of this analysis, in which various influences on the
      seed sector are represented within the triangle formed by these three primary elements. Policy
      has been placed at the top because of the major impact it can have on technology and
      economics. At the centre lies the production environment, which forms the basis for
      agriculture, and which cannot be substantially modified, except by irrigation or protected
      cultivation.
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We should recognize seed policy as a major tool for change, but also accept that it cannot alter
certain physical and environmental factors and, in a free market, it will always interact with
technology and economics. In addition to the policy designed specifically for seeds, wider
social and environmental policies may also have an impact on the seed sector and these may
be driven by public awareness. For example, the current debate in Europe about the use of
genetically-modified crops is not primarily conducted on technical issues about seeds but on
wider environmental and food safety concerns. It has nonetheless had a major effect on the
seed industry.
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