Volume 12, Number 12 February 18, 2005

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Pulse crop royalties aided

A new deal between the University’s Crop Development Centre (CDC) and the Saskatchewan Pulse Growers (SPG) is expected to have royalties from crops developed here but grown outside Canada flow back to the U of S to support new breeding programs.

CDC Director Rick Holm explained that previously, pedigreed seed of CDC pulse crop varieties sold into markets outside Canada generated no royalties. At the same time, the SPG held the worldwide distribution rights of all CDC pulse varieties in return for significant financial support for the centre, but does not market varieties outside Canada. To address this, the two organizations have agreed to assign international rights for specific varieties to outside companies that will collect royalties on seed sold outside the country.

It used to be that “pulse crop growers outside of Canada who compete with Canadian growers in domestic and export markets benefited from the improved varieties without contributing to the cost of development them,” said Holm in a news release. Now, the three companies that were selected through a tendering process will capture at least some of that previously lost revenue. He said the value of U.S. trade in CDC-developed pulse seed is unknown but the best hope for royalty recovery is in field peas, a crop that is very popular in the north-central and northwestern U.S.

Royalty revenue will, over time, support further pulse crop breeding and the development of market opportunities for Saskatchewan seed growers.

For more information, contact communications.office@usask.ca

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