CULTIVAR MANAGEMENT July 2018 SAMGA MANGO SYMPOSIUM CONTENTS Role - - PowerPoint PPT Presentation

CULTIVAR MANAGEMENT

SAMGA MANGO SYMPOSIUM

July 2018

CONTENTS

• Role of cultivar

management companies

• Why new cultivars & cultivar

development?

• What are royalties and why

you pay these?

• How should growers decide
• n new cultivars

CULTIVAR MANAGEMENT COMPANIES

• Manage new cultivars on behalf of the Owner
• Develop, test and evaluate cultivar
• Apply for registration of PBR or Patent (USA)
• Enforce PBR
• Develop and implement business plans, locally and worldwide
• Business models for each cultivar are developed in conjunction

with owner

• Match supply (plantings) with demand (fruit)
• Collection and payment of royalties to Breeders
• Build value for the variety for Growers through co-ordinated

marketing to do market development

WHY CULTIVAR MANAGEMENT COMPANIES?

Breeders don’t have the time or expertise to commercialise new cultivars. Protection and commercialisation of new cultivars requires:

• Applied technical evaluation
• Specialised legal knowledge of PBR and patent

law

• Proficient administration systems
• Good business skills
• Global representation and networks

PBR

The effect of the grant of a PBR is that any person wanting to undertake:

• Production or reproduction;
• Conditioning for the purpose of

propagation;

• Sale or any other form of

marketing;

• Stocking for any of the

purposes referred to above, of (1) propagation material; (2) harvest material, may only do so with permission from the PBR holder, i.e. through a granted license.

WHY NEW CULTIVARS?

• Growers and Markets seek new

cultivars

• Enhances competitiveness of

Growers and Marketers

• Retailers want to differentiate
• A new cultivar is an improvement of

current cultivars

• Yields
• Fruit size and colour
• Maturity period
• Lower seed content
• Better internal quality, etc.

CULTIVAR DEVELOPMENT

Conventional breeding:

• Open pollinated crosses
• Hand crosses
• Mutation breeding
• Hybrids and triploids
• High costs incurred by breeder and

cultivar management companies Natural mutations:

• Occur naturally without ‘human

intervention’

• Most commonly discovered on-

farm

• Still require years of development

and evaluation by cultivar management companies

• Relatively low costs

WHY ROYALTIES?

• 1. Recover the costs incurred by

Breeders in developing new cultivars

• 2. Incentive for Breeders to develop

new cultivars

• 3. Incentive for Growers to look for new

cultivars/mutations

• 4. Access to the latest cultivars from

around the world for Growers Plant Breeders (PBR) Act of South Africa allows:

• Promotion of innovation and value
• Breeders and Developers of new

cultivars to have ownership of their new cultivars; and

• To charge royalties on these

cultivars

ROYALTIES?

What are Royalties?

Payment for the right to grow (and sell the fruit of) a protected cultivar.

Types of Royalties

• Tree Royalty (Rand/Tree – once-off)
• Hectare / Production Royalty

(Rand/Ha/Year)

• Fruit Royalty ( % of FOB)

Duration of Royalties

Applied during the period of PBR grant

• f 25 years.

WHY ROYALTIES?

• 1. Recover the costs incurred by

Breeders in developing new cultivars

• 2. Incentive for Breeders to develop

new cultivars

• 3. Incentive for Growers to look for new

cultivars/mutations

• 4. Access to the latest cultivars from

around the world for Growers Plant Breeders (PBR) Act of South Africa allows:

• Promotion of innovation and value
• Breeders and Developers of new

cultivars to have ownership of their new cultivars; and

• To charge royalties on these

cultivars

MAKING CULTIVAR DECISIONS

• Know yourself.
• Understand the cultivars’

category and development stage.

• Do your own research.
• Count the Costs and Know

the Risks.

KNOW YOURSELF

UNDERSTAND THE CULTIVAR STAGE

• Experimental
• Potential
• Semi-Commercial
• Commercial

DO YOUR RESEARCH

• Interrogate the

cultivars

• wner/manager
• Visit trial sites and

commercial plantings (local and abroad) for 2 consecutive seasons.

COUNT THE COSTS AND KNOW THE RISK Higher risk, higher possible reward OR possible cost of failure. The final risk is yours.

SOUTH AFRICA | USA | EUROPE - MEDITERRANEAN | CHILE - PERU | AUSTRALIA | CHINA

THANK YOU