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Problems in China's corn seed industry

Problems in China's corn seed industry

Updated: 2012-03-22 08:05

By He Na (China Daily)

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The area of Jilin sown with Pioneer 335 was about 140,000 hectares in 2008. By 2010, that figure had soared to 1.4 million hectares, accounting for more than 40 percent of the province's total corn fields.

Meanwhile, 2011 saw a sharp decline in the market share for domestic seeds. Zhengdan 958, a well-known local brand that accounted for 50 percent of the Jilin market, saw its share shrink to 10 percent.

"In terms of marketing, foreign companies don't enjoy more advantages than us, but technologically, they are far ahead of us. Generally, foreign seed companies reinvest 10 percent of their annual sales income in research, but the proportion in domestic companies is only 1 percent, or lower," said Luo Zhenfeng, deputy director the Jilin Academy of Agricultural Sciences.

"To solve the problem, we need to introduce brand-monopolization management to reduce the incidence of inferior seeds being sold as high-end products. But in the long term, the central government must give more support to, and accelerate the progress of, agricultural science and technology, to cultivate more talent," said Zhang Xue.

"Jilin province plans to establish several seed cultivation bases in the coming years. We hope to expand the market share of provincial self-cultivated corn seeds to 50 percent during the next five to 10 years," Ren Kejun, director of the Jilin Provincial Agricultural Association, said at a news conference on March 2.

However, experts warn that it will be difficult to solve the problem starting from a purely provincial level and have urged the central government to draw up policies designed to slow the pace of foreign seed companies entering China.

"Seed companies should establish close contact with institutes of scientific research, but in the long run, we must establish enterprises that will dominate in the field of scientific research," added Ding.


 

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