Formal and Informal Seed Supply System in Pakistan

(A Perspective for Farmers Seed Rights)

Muhammad Boota Sarwar

msarwar80@hotmail.com https://www.facebook.com/BootaSarwar Cell: 03003003405

Acronyms
AARI: Ayub Agriculture Research Institute ADA: Agriculture Development Authority AVRDC: Asian Vegetable Research and Development Center CBD: Convention on Biological Diversity CEMB: Center of Excellence for Molecular Biology CGIAR: Consultative Group on International Agriculture Research 7. CIMMYT: International Center for Wheat, Maize and Triticales 8. FAO: Food and Agriculture Organization 9. FSCD: Federal Seed Certification Department 10. FSC&RD: Federal Seed Certification & Registration Department 11. GDP: Gross Domestic Production 12. IBGE: Institute of Biotechnology and Genetic Engineering 13. ICARDA: International Center for Agricultural Research in the Dry Areas 14. IRRI: International Rice Research Institute 15. ITPGRFA: International Treaty on Plant Genetic Resources for Food and Agriculture 16. KIBGE: Karachi Institute of Biotechnology and Genetic Engineering 17. NIBGE: Nuclear Institute of Biology and Genetic Engineering 18. NSRD: National Seed Registration Department 19. 20. NARC: National Agricultural Research Center 21. NCVT: National Coordinated Varietal Trial 22. NSC: National Seed Council 23. NWFP: North Western Frontier Province 24. NUYT: National Uniform Varietal Trial 25. OECD: Organization for Economic Cooperation and Development 26. PADSC: Punjab Agricultural Development and Supply Corporation 27. PAEC: Pakistan Atomic Energy Commission 28. PARC: Pakistan Agricultural Research Council 29. PCCC: Pakistan Central Cotton Committee
1. 2. 3. 4. 5. 6. 2

30. PSC: Punjab Seed Corporation 31. SASO: Sindh Agricultural Supply Organization 32. SSC: Sindh Seed Corporation 33. TRIPS: Trade Related Intellectual Property Rights 34. UAF: University of Agriculture Faisalabad 35. UN: United Nations 36. UNEP: United Nations Environment Program 37. WPADC: West Pakistan Agricultural Development Corporation 38. WTO: World Trade Organization

CONTENTS
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Sr. Topic No. 1 Background a) Introduction b) Agriculture Sector c) Traditional Breeding and Seed Saving 2 Institutional Mapping of Seed System a) Plant Breeding Research b) Variety Registration and Release c) Seed Certification and Regulation d) Categories of Certified Seed e) New Legislation on Seeds Role of Public Sector in Seed Supply System: a) Punjab Seed Corporation b) Sindh Seed Corporation c) Agriculture Development Authority, NWFP d) Balochistan Agriculture Department e) Performance of Public Sector Role of Private Sector in Seed Supply System: a) Performance of National Seed Companies b) Performance of Multinationals Procedure for Registration of Companies to do Seed Business Import of Seed Export of Seed Malpractices in Seed Business Small Farmers and Seed Business Matrix of Seed Market in Pakistan: local production, seed imports and farmers seed saving Seed Banks or Gene Banks TRIPS Agreement and Seed Supply System:

Page No. 08 08 11 13 15 16 17 17 18 19 19 20 21 21 23 24 26 28 29 32 33 34 35 42 45
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5 6 7 8 9 10 11 12

a) b) c) d) 13 14

Legal Status of TRIPS Agreement Obligations under Article 27.3(b) of TRIPS Micro-organisms and Microbiological Processes Contradictions between TRIPS, CBD & ITPGRFA

45 46 47 48 53 53 57 59 60 60 61 62 64 65 67 69 70 71 74 77 78 85 88 90 95 97 122 133

Upcoming Legislation on Seeds in Pakistan: a) Main Features of Draft Plant Breeders Rights Act b) Main Features of Draft Seed (Amendment) Act Issues Related With Seed System in Pakistan: 1. Demand and Supply of Seeds 2. Market Price of Seeds 3. Impact of Seed Laws 4. Over-Dependence on Import of Seeds 5. Biotechnology and Genetically Modified Seeds 6. Indigenous Research and Institution Building 7. TRIPS and Biodiversity Conclusion: Policy Options for Seed System REFERENCES Annex-I: Food Imports and Exports (2003-04) Annex-II: List of Agriculture Research Institutes Annex-III: Format of Feasibility Report for Registration of Seed Companies Annex-IV: Diagram Showing Components of Variety Development, Evaluation and Release Annex-V: Seed Procurement and Distribution during 1993-94 to 1999-2000 Annex-VI: Import of Vegetable Seeds during 1996-97 to 1999-2000 Annex-VII: Status of Biotechnology and Biosafety Regulation in Pakistan Annex-VIII: Brief: Ad Hoc Intergovernmental Task Force on Food Derived from Biotechnology Annex-IX: Legal Instruments for Implementation of Seed Act, 1976 Annex-X: Draft Plant Breeders Rights Act (as on 7-8-2006) Annex-XI: Draft Seed (Amendment) Act (as on 23-8-2006) Annex-XII: Seed Act, 1976

15 16 17 18 19 20 21 22 23 24 25 26 27 28

LIST OF TABLES
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Sr. TITLE Page No. No. 1 Land Use and Cultivated Area 09 2 Farm Size 09 3 Crop varieties registered and released up to 16 November, 2006 4 Processing Capacity of PSC 19 5 Seed Processing Capacity of SSC 20 6 Seed Processing Capacity available with 20 Public Sector in NWFP 7 Seed Processing Capacity available with 21 Public Sector in Balochistan 8 Public Sector Seed Supply as Percentage of the 22 Total Estimated Seed Requirement 9 Province Wise Periodic Induction of Private Seed 24 Companies 10 Available Capacity and Processing Units with National 24 Seed Companies 11 Seed Procurement and Distribution by National Seed 25 Companies, 1999-04 12 Available Seed Processing Capacity with Multinationals 27 13 Performance of Multinational Seed Companies as 27 Percentage of Total Seed Requirement 14 Seed Imports of Various Seeds and value, 2000-03 30 15 Total Seed Imports of Pakistan (Value) 30 16 Prices of Imported Hybrid vs. Local Hybrid Seed 31 17 Import value of various seeds; 2002-03 to 2005-06 31 18 Price of imported seed in Rupees per KG during the year 32 2002-03 to 2005-06 19 Procurement and distribution of various crop seeds, 35 2003-04 20 Seed Requirement and Availability of Different Crops for 36 2004-05 21 Vegetable Seed Requirement and Availability (2001-05) 37 22 Sunflower Seed Requirement and Availability 2002-05 37 23 Maize Seed Requirement and Availability 2002-05 38 24 Potato Seed Requirement and Availability 2002-05 38 25 Import of Fodder and Forage Seeds, 2002-05 39
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26 27 28 29 30 31

Import of Various Seeds during the Year, 2005-06 Total Seed Market of Pakistan, 2004-05 Prices of Local Seeds, 2002- 05 Seed Import Price (C&F) and Sale Rate (Rs/Kg) for 2004-05 Germplasm Status of PGRI Gene-bank Contradictions between TRIPS, CBD and ITPGRFA

39 40 41 41 43 51

Background
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Introduction: Geographical location of Pakistan is between 23 and 37N latitude and 61 and 75 East; bordered in the North West by Afghanistan, in West by Iran, in North by China and in East by India and in the South by Arabian Sea. Administratively the country comprises four Provinces i.e. Punjab, Sindh, NWFP and Balochistan. In addition to these four Provinces, state of Azad Jammu and Kashmir, Northern Areas and several Provincial and Federally Administered Tribal Areas are located in North West. The landscape of the country has seven major distinct physical regions:1. 2. 3. 4. 5. 6. 7. The Northern High Mountainous Region. The Western Low Mountainous Region. The Salt Range or Potohar uplands. The Plateau of Balochistan. The Upper Indus or Punjab Plains. The Lower Indus or Sindh Plains. The Coastal Area.

The Himalayas and Kashmir mountains are main source of irrigation water. It is the largest integrated irrigation network in the world serving 13.8 million hectare of contiguous cultivated land fed by the water of Indus River and its tributaries. Agriculture mostly depends on irrigation from Canals (70%) and tube wells (27%). The rest area is rain-fed. Agriculture Sector: Pakistan has a geographical area of 79.61 million hectares; out of this 59.44 million hectare is reported. Table-1 shows the land use and cultivated area is about 22.11 million hectares.

Table-1: Land Use and Cultivated Area LAND USE Total geographical area Total reported area Forest Not available for cultivation Cultivable waste Cultivated area AREA (Million ha) 79.61 59.47 4.04 24.32 9 22.11

Agriculture Statistics of Pakistan, 2002-03.

Table-2 reveals the fragmentation of land due to traditional inheritance has caused very small land holding i.e. 86 percent of farms have less than 5 hectares and only 9 percent farms have from 5 to 10 hectares. Similarly 44 percent of the area belongs to small holding i.e. less than 5 hectares. Table-2: Farm Size FARM SIZE Under 0.5 ha. 0.5 to under 1 ha. 1 to under 2 ha. 2 to under 3 3 to under 5 5 to under 10 10 to under 20 20 to under 40 40 to under 60 60 and above FARM NO. (%) 19 17 22 15 13 9 4 1 FARM AREA (%) 2 4 10 11 17 19 16 10 3 8

Agriculture Statistics of Pakistan, 2002-03.

The population of the country is165 million (with annual increase of 1.9%) and literacy rate is 48.7%; whereas 66.58% live in rural areas. Pakistan heavily depends on agriculture for most of its economic activities. Agriculture directly contributes 21.6% of GDP and provides jobs to 44.8% of the total labor force; whereas agriculture-based exports comprise 75.37% of the total exports, including primary agricultural commodities, textile products and leather goods.
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Despite the pivotal role of agriculture in Pakistans economy, it is amazing to note that the country is Gross Food-deficit (see Annex-I) and despite claims of poverty reduction to 23.9%, half of the population can not get adequate diet and is victim of various ailments linked with malnutrition and un-healthy food. Apart from the fact that the use of seeds of high yielding varieties, application of chemical fertilizers and pesticides and adoption of agricultural machinery has significantly advanced; the country is facing decline in agricultural production. According to Economic Survey of Pakistan (2006), production of major crops and forestry has decreased by 3% in cotton, 6.2% in sugarcane, 17.7% in bajra (pearl millet), 39.3% in gram, 7.4% in rape & mustard, 12% in pulses and 9.7% in forestry products whereas wheat crop shown meager growth rate of 0.4% and country remained dependent on imports to meet needs of edible oil, onion, potato, tomato etc. Only rice and maize performed well with growth rate above 10%. Cotton, Sugarcane, Wheat, Rice, Maize, Tobacco, Potato, Chili, Onion, Tomato, Rape & Mustard and Sunflower are main cash crops of Pakistan; whereas among fruit plants, Mango, Banana, Dates, Jujube (Ber), Guava, Citrus and Apple contribute significantly towards agricultural production. On animal husbandry side, Buffalo, Cow, Goat, Sheep, Poultry and Fisheries add much to food production. Growth in dairy production ultimately depends upon supply of fodder and forages and availability of grazing pastures. Food consumption patterns vary with the socio-economic classes of the population. The array of food items consumed by upper classes is altogether different from the items consumed by the lower classes. Therefore the Food Security issue, which predominantly is issue of resource poor classes, is not appropriately comprehended by the planners of upper class. They can not realize the immense role of wild & voluntary fruit plants, wild shrubs, weed plants and marginal crops like Lathyrus, Sorghum, Pearl millet, Guar, Sesame, pulses and Sweet-potato etc in meeting the nutritional needs of lower strata of rural population. The role of conservation of Biodiversity and Ecosystems is immense in this respect.

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Seed-embedded gene-technology was the dominant instrument of Corporate-sector led Green Revolution in sixties; whereas increased use of chemical fertilizers, pesticides and herbicides followed the pace of growth. The last four decades have witnessed the three-fold amplification in crop production; however the same was mostly offset by the rapid growth of the population and gross inequity in distribution of the benefits of higher level of production. Traditional Breeding and Seed Saving: Prior to Green Revolution the farmers had complete control on their planting material; they used to select the best performing plants from the crop field for next sowing; thus having active role in improvement of crop varieties through In-situ Selection-Breeding. As such traditional breeding was practiced by millions of farmers; it resulted in rich genetic diversity across the farmers fields. The crop bio-diversity was further enriched through informal seed exchanges among fellow farmers to meet deficit in seeding material. Such traditional regime ensured the Seed Security across the past centuries. During selection of seeding material for next sowing, rural women did equally participate in selection process whereas its threshing / ginning and storage was exclusive domain of women; they developed various traditional techniques of seed storage, designs of seed storage structures and practically used to construct such earthen structures. After all the Agriculture is invention of Women. But after sixties, the seed system gradually slipped from the hands of farmers as a consequence of introduction of high yielding varieties. Initially the public sector diluted tradition of farmers seed saving in wheat, cotton and rice; and subsequently corporate sector took over supply of seeds of above stated crops as well as supply of seeds of sunflower, canola, maize, fodder & forage crops and vegetable crops. However still more than 50% needs of planting material is met through traditional seed saving and exchange practices. Presently farmers purchase seed of wheat and rice from the market once and use the same for two or three generations by combining market-oriented system with traditional seed saving system and thereby save in cost of high yielding seeds. Whereas for cotton,
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sunflower, maize, potato, fodder & forage crops and for most of vegetable crops the general trend of farmers is to buy the seed from the market. However for chili, onion and all marginal crops like rape & mustard, pulses, condiments, non-traditional oilseed crops, commercial medicinal plants and for rice and wheat varieties of local preference, the farmers predominantly rely on traditional seed saving and exchange system. For supply of seeds and nursery plants of flowers and fruit plants, three seed systems are intermixed comprising seed saving / regeneration, buying from the market and purchasing from advanced farmers. In this background the detailed review of Farmers Seed Rights has been made in the perspective of new scenario of contending thrusts of WTO/TRIPS, UNEP/CBD and UN/FAO for protection of intellectual property rights, conservation of biodiversity and food security respectively. **********

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Institutional Mapping of Seed System 1. Plant Breeding Research: At independence Pakistan inherited only one agricultural education cum research institute, namely Punjab Agricultural College and Research Institute, Lyallpur established in 1909; that was subsequently bifurcated and upgraded to University of Agriculture Faisalabad (UAF) and Ayub Agriculture Research Institute (AARI), Faisalabad in 1961. Afterwards three agriculture research systems were established at Federal level namely; Pakistan Agriculture Research Council (PARC), Pakistan Central Cotton Committee (PCCC) and Pakistan Atomic Energy Commission (PAEC-Agriculture Division) with 7, 3 & 4 subordinate research institutes respectively. Whereas Punjab, Sindh, NWFP and Balochistan Provinces have their own research systems with 13, 5, 3 & 1 subordinate research institutes respectively. (See Annex-II for complete list) Presently there is no private sector agriculture research establishment in Pakistan; however some seed companies have initiated research activities and after enactment of Plant Breeders Rights Act, it is expected that private sector will increasingly invest in plant variety development research. Agriculture Universities at Faisalabad, Tando Jam, Rawalpindi, Peshawar; Gomal University, D. I. Khan (Faculty of Agriculture), Punjab University, Lahore (CEMB), Agriculture University Peshawar (IBGE), Sindh University (IBGE) and Karachi University (KIBGE) also do some research on agriculture. Last four institutes exclusively work on Biotechnology. Review of plant varieties released by the whole network of agricultural research in Pakistan show that basic breeding work has been done mostly in Cotton and Basmati Rice whereas for all other crops the varieties have been mostly selected from the material received from International Research Centers like CIMMYT, IRRI, ICARDA, AVRDC etc or from material introduced
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through commercial seed imports or from already available land races. Although some efforts were made by the public sector and multinationals to produce Hybrid Seed of few crops but soon after the efforts were abandoned and presently only small quantity of hybrid cotton seed is produced by a private local entrepreneur. Despite expanded network of research, huge army of scientists and annual investment of billions of rupees, the system is not delivering much; and gradual decline in research activities has been observed since eighties; mainly due to following reasons:
a) More and more funds were/are available for recruitment of

staff and purchase of equipments & vehicles but fewer funds were/are provided for training of professionals and operation of equipment. b) Lethargic and complicated procedures of administrative and financial decision making. c) Lack of transparency and accountability leading to ever increasing corruption. A categorical example is of development projects of research or agricultural services; where planning & finance establishments are concerned only with Fund Utilization and Expenses according to Rules and nobody asks for output or practical achievements of the project. The issues of plant breeders rights have further worsened the situation at public sector research institutes; CEMB and NIBGE have decided not to produce any public goods (free to use varieties) and have linked themselves with private sector in a joint-venture mechanism; whereas a trend is emerging in professionals working at some other research institutes to illegally pass on research products to the private sector. It is regretfully noted that whatsoever little work has been done by certain research institutes in respect of developing new elite genetic resources and biotech products is not available as public goods for further applied research by other research institutes or domestic private sector; blocking the dissemination of technology.
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2. Variety Registration and Release: Once a breeder selects a strain on the basis of varietal trials (Strain Trials) and zonal varietal trials (ZVT), he submits his breeding material to PCCC in case of cotton and to PARC in case of other crops. These bodies carry out NCVT and NUYT respectively at least for two years to examine the regional suitability and reaction to diseases and insects and other pests. These trials also help in evaluating the value for cultivation and use (VCU). Simultaneously the breeder provides the material to FSC&RD for registration. The confirmation of plant descriptions is mandatory under the Seed Act and is used for variety identification while carrying out certification at a later stage. This data is then submitted to the Federal Seed Registration Committee for registration by the FSC&RD. The registered varieties are eligible to be released for general cultivation and commercial production by the Provincial Seed Council (PSC). Once the above referred studies have been completed, the performance data are then submitted to the Provincial Seed Council for release. The Provincial Seed Councils release varieties for the respective Province but frequently it has been observed that the high yielding varieties are preferred by the farmers in other Provinces like onion variety Phulkara from Sindh widely grown in Punjab, cotton variety NIAB-78 and wheat variety Inqalab 91 are cultivated all over the country. In such cases the varieties have to be notified / allowed by the respective Provincial Seed Council. This system of variety release by PSC is highly useful for increasing farm production and profitability of the farmers in the Provinces having comparatively inadequate research and variety development facilities. The testing of varieties by the PARC and PCCC through NUYT and NCVT system may also provide the basis for making appropriate recommendations about regional suitability and more congenial adaptability areas. The graphical presentation of variety development and release system is provided at Annex-IV. The varieties registered and releases under the Seed Act are given in Table-3:15

Table-3: Crop varieties registered and released up to November, 2006

Crop Punjab Wheat 50 Cotton 54 Rice 17 Maize 8 Barley 3 Sugarcane 13 Oilseeds 14 Pulses 34 Fodder 19 Vegetables 29 Total 241 Sindh NWFP 18 17 11 5 4 4 1 60 26 1 6 10 2 14 20 16 6 11 112 Baloch- Islamistan abad 7 1 3 7 1 4 1 8 20 12 Private Total Sector 102 3 75 34 2 20 8 1 33 5 50 59 1 27 49 12 457

Source: Federal Seed Certification & Registration Department

3. Seed Certification and Regulation:

Seed Act, 1976 of Federal Government regulates variety registration & approval, seed certification and quality of seeds of notified varieties in the market; whereas The Seed Act, 1976 also established a National Seed Council (NSC) and Provincial Seed Councils. Seed regulation was at the Federal level through Federal Seed Certification Department and variety registration through National Seed Registration Department; both working under Federal Ministry of Food, Agriculture and Livestock. Subsequently in 1998, both the departments were merged to form Federal Seed Certification and Registration Department (FSC&RD). Legal instruments (rules & regulations) required for effective implementation of the Seed Act, 1976 are provided at Annex-IX. FSC&RD has well spread network in the country with headquarter at Islamabad and field stations at Peshawar, Mingora, D. I. Khan, Gilgit, Abbottabad, Lahore, Sargodha, Sahiwal, Khanewal, Multan, Faisalabad, R. Y. Khan, Bahawalpur, Bahawalnagar, Vehari, T. T. Singh, D. G. Khan, Bhakkar, Gujranwala, Hyderabad, Karachi, Sukkur, Sakrand, Mirpur Khas, Larkana, Quetta and Dera Allah Yar.

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National Seed Council (NSC) is headed by the Federal Minister for Food & Agriculture and composition of the Council is exclusively from among the public sector representatives. The NSC monitors execution of Seed Act, 1976, approve seed standards and procedures and advise Federal Government on policy issues related with seed supply system. Provincial Seed Councils have the responsibility of deciding which varieties should be allowed to be sold in respective Province. The Council is headed by the Provincial Minister for Agriculture (for the respective Province) and its composition is well balanced from Federal and Provincial representatives of the related departments and from representatives of private seed sector and growers. 4. Categories of Certified Seed: Certified seed may be of different quality categories; the highest category of certified seed is Pre-basic Seed with 100% genetic purity, the subsequent generation categories are Basic Seed, Certified Seed and Approved Seed with descending genetic purity and seed quality. Another category is Truthfully Labeled Seed that is actually eligible non-certified seed meeting minimum notified standards of germination and physical purity, without any guaranty of genetic purity or variety identity.
5. New Legislation on Seeds:

Two new legal instruments namely Plant Breeders Rights Act and Seed (Amendment) Act have been finalized for enactment by the Parliament; to make the legal structure in harmony with requirements of WTO/TRIPS and International Financial Institutions. The above referred legal instruments will have far reaching impact on structure of seed supply system and on farmers rights in respect of seed saving, seed exchange, seed marketing of land races, conservation of biodiversity, food security and in respect of community rights on genetic resources, traditional knowledge and geographical indications; that will be reviewed later in detail.

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Role of Public Sector in Seed Supply System West Pakistan Agricultural Development Corporation (WPADC) was established in 1961 to arrange for production and distribution of seed of improved varieties and it combined the role of seed production and its quality control. A seed certification organization was developed within WPADC to provide seed certification services. Government farms were used to produce seed of improved varieties of wheat, cotton, rice and maize. In 1972 WPADC was dissolved (after dissolution of One Unit) to establish similar Provincial organizations like PADSC in Punjab and SASO in Sindh to continue seed procurement and distribution; whereas quality control services were assigned to Federal Seed Certification Department. In 1973 the Government of Pakistan requested the World Bank to review the seed program. This led to a Seed Industry Project which was the basis of most of the current infrastructure of the seed industry and seed quality control in Pakistan. The Seed Act, 1976 established a National Seed Council (NSC) and Provincial Seed Councils. Seed regulation was to be at the Federal level through Federal Seed Certification Department and variety registration through National Seed Registration Department; both working under Federal Ministry of Food, Agriculture and Livestock. Subsequently in 1998, both the departments were merged to form Federal Seed Certification and Registration Department (FSC&RD). Provincial Seed Councils have the responsibility of deciding which varieties should be allowed to be sold in respective Province. Under new arrangements in 1976, PADSC and SASO were replaced by Punjab Seed Corporation (PSC) in Punjab, Sindh Seed Corporation (SSC) in Sindh, Agriculture Development Authority (ADA) in NWFP and Agriculture Department in Balochistan to continue seed procurement and distribution in respective Provinces; whereas under ASPL-II loan arrangement with Asian Development Bank, the Pakistan Government is bound to ensure that no new public sector seed corporation will be
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established in the country. (Source: Policy Matrix of ASPL-II, Finance Ministers Development Policy Letter No. 4898-FM/2001 dated November 16, 2001) Punjab Seed Corporation; Punjab Seed Corporation started functioning in 1976. Three seed processing plants were established initially at Sahiwal, Khanewal and Rahim Yar Khan. It started systematic seed production in 1983 after complete commissioning of processing plants. Later on processing capacity was enhanced to meet increased demand for quality seed (Table-4). Table-4: Processing Capacity of PSC Location of Seed Processing Capacity, Punjab Seed Plant Corporation, Punjab Cereals Cotton Ginning Total (tones) (tones) (tones) Sahiwal 24,000 24,000 Khanewal 24,000 10,000 34,000 Rahim Yar 24,000 6,700 30,700 Khan Piplan 600 600 Mobile Seed 14,400 14,400 Units Total: 92,400 16,700 109,700 The Punjab Seed Corporation had a big seed farm (6000 acres) at Khanewal, which has been reduced to 474 acres due to tenancy problems. Such crisis has seriously affected the basic and certified seed production of cotton and wheat crops. It has 512 acres farm at Sahiwal seed processing plant along with one tissue culture laboratory for potato seed production. The farm area at Piplan is reported to be 523 acres. Sindh Seed Corporation: The Sindh Seed Corporation established its solitary seed processing plant at Sakrand and cotton ginning unit at Tando Jam.
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Later on 11 mini seed processing units were obtained by Sindh Seed Corporation with total processing capacity of 11,400 tons. These mini seed processing plants installed at various stations. The total seed processing capacity of SSC is given in (Table-5).
Table-5: Seed Processing Capacity, Sindh Seed Corporation, Sakrand (MT) Location Wheat Cotton Rice Total Sakrand 10,000 5,400 1,600 17,000 Tando Jam 1,200 1,200 Dokri 1,200 1,200 Mini Unit 11,400 11,400 Total: 21,400 6,600 2,800 30,800

The Sindh Seed Corporation has total area of 5,945 acres at its farms at Sakrand, Setharja and Ghotki etc. Due to administrative difficulties, seed farms are not fully utilized for producing basic and certified seed. To make the Sindh Seed Corporation a viable organization it has been considered to restructure it by appointing some seed expert with managerial skills. Anyhow, it has ceased to function from 2001 to 2004. In 2005 Sindh Government initiated its revival; whereas Basic Seed production task has been assigned to Research System in the form of Foundation Seed Cell. Agricultural Development Authority (ADA) NWFP: In NWFP, ADA was given task for seed procurement and distribution in the Province. Since this organization was not equipped to undertake and organize seed production, therefore this function has now been handed over to the Department of Agriculture. The Department of Agriculture has seed farms covering 2,800 acres. Following seed processing facilities are available in the province.
Table-6: Seed Processing Capacity available with public sector in NWFP

Processing Plants/Units PODP, Peshawar Agriculture Dept. Total:

Seed Processing Capacity 6,400 10,800 17,200

Fig. in MT Crops Cereals and Oilseeds -do-do-

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Department of Agriculture (DA), Balochistan: The Department of Agriculture, Balochistan could not develop a systematic seed program in spite of having seed farms covering about 6,500 acres of fertile land in different parts of the Province and having vegetable and cereals processing plants available for this purpose. They remained unutilized due to lack of an independent organization for seed production, procurement and distribution. Table-7: Seed Processing Capacity available in public sector, Balochistan Fig. in tons Location Crop Processing capacity Usta Muhammad Cereals 1,200 Usta Muhammad Vegetable 200 Gandhawa Cereals 1,200 Total: 2,600 The Taskforce on Seed submitted report to Prime Minister of Pakistan on 26.10.2004, either plant processing plant be sold or leased to private sector with the conditions that it will organize seed production in Balochistan. Overall the public sector has 159,700 MT processing capacity which can process up to 11 percent seed of the total estimated seed requirement i.e. 1.3 million tons. Performance of Public Sector: Except Punjab Seed Corporation, the remaining three public sector organizations i.e. Sindh Seed Corporation, Sindh, Agricultural Development Authority, NWFP and Department of Agriculture, Balochistan did not reveal the satisfactory performance either due lack of resources, lack of independent organization for seed purpose exclusively, managerial problems and weaker breeding program and inadequate supply of Pre-basic Seed from research system. The performance for procurement and distribution of the total estimated seed requirement as achieved by the public sector organizations is as given in Table-8 below:-

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Table-8:

Public Sector Seed Supply as Percentage of the Total Estimated Seed Requirement
PSC (Punjab)
Procurement Distribution

Crop seed

SSC (Sindh)
Procurement Distribution

ADA (NWFP)
Procurement Distribution

Dept. of Agri. (Balochistan)

Procurement Distribution

Wheat
2001-2002 2002-2003 2003-2004 11.22 9.29 9.25 9.72 8.34 7.51 3.37 1.09 0.57 2.25 1.09 0.57 7.51 7.80 4.17 7.09 9.70 4.17

1.20 0.49 0.64

1.11 0.49 2.14

Cotton
2001-2002 2002-2003 2003-2004 13.78 13.36 11.21 8.38 9.52 8.62 3.57 0.16 0.27 2.96 0.16 0.25 -

Paddy
2001-2002 2002-2003 2003-2004 7.08 5.21 8.86 5.74 4.10 7.56 0.79 1.56 1.39 0.72 0.84 0.96 10.12 15.00 13.68 5.37 15.00 13.36 2.24 1.10 1.50 2.24 1.10 1.50

Chickpea
2001-2002 2002-2003 2003-2004 0.36 1.73 1.42 0.20 1.32 1.42 4.41 10.47 12.96 4.41 7.88 12.96 -

Maize
2001-2002 2002-2003 2003-2004 0.89 0.58 1.24 0.89 0.58 0.18 1.48 1.61 1.36 1.48 1.60 1.91 -

Vegetable
2001-2002 2002-2003 2003-2004 10.09 7.75 6.56 10.09 7.75 6.56 1.28 1.28 1.44 4.83 4.91 1.44 4.83 4.91 0.02 0.24 0.25 0.02 0.24 0.25

Source: Federal Seed Certification & Registration Department

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Role of Private Sector in Seed Supply System Seed Act, 1976 of Pakistan was adapted from Seed Act, 1962 of India during the Bhutto-regime which focused much on Public Sector development and discouraged Private Sector capital formation; although there was no restriction on multinationals. Thats why the Seed Act, 1976 is silent on the issue of induction of Private Sector in seed business. However after placement of Zia-regime, the Government Policy shifted towards development of private sector. Accordingly with the proactive encouragement of FSCD, first domestic private seed company entered in the seed business during 1981 and by the end of eighties 8 private seed companies had initiated the business of seed production and distribution; all were in Punjab Province. Pace of private sector induction in seed business accelerated in nineties and by the year 2000, the number of private seed companies reached to 291; whereas up to 2005 the figure soared to 552 excluding four multinationals. Amongst the above referred 552 private seed companies 478 are based in Punjab Province (plus 4 multinationals), 48 in Sindh Province, 11 in NWFP, 5 in Balochistan Province, 5 in Islamabad (Capital Area) and one in Northern Areas. The additional 4 multinationals, are based in Punjab. Private sector of Punjab Province entered in seed business during 1981 whereas private sector of Sindh, Balochistan and NWFP Provinces joined the race in 1996, 1996 & 1998 respectively. Although Multinationals are doing business of agro-chemicals and seeds since long but as per official record Monsanto (including Cargill Seeds) was formally registered as seed company in 1984 and Pioneer Pakistan Seeds, Syngenta Pak Seeds and ICI Pakistan were registered as seed company in 1989, 1991 and 1996 respectively. The details of Private sector induction in seed business are provided below in Table-9:
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Table-9: Province Wise Periodic Induction of Private Seed Companies Province 1981-85 1986-90 1991-95 1996- 2001-05 Total 2000 Punjab 4 2 56 197 219 478 Sindh 0 0 0 22 26 48 NWFP 0 0 0 4 7 11 Balochistan 0 0 0 2 3 5 Islamabad 0 0 0 3 2 5 Northern 0 0 0 1 0 1 Areas Multi1 1 1 1 0 4 nationals Total 4 2 56 229 257 552
Source: National Directory of Seed Companies (2005) Published by Federal Seed Certification & Registration Department.

Performance of National Seed Companies: The national seed companies are playing significant role in distribution of various crop seeds. However, the seed programs of these companies are reported to be constrained due to insufficient Basic Seed supply from the public sector seed corporations, difficulties in transporting seed from one Province to the other and inaccessibility to bank credit. The available seed processing capacity with the national seed companies is given in (Table-10):
Table-10: Available Capacity and Processing Units with National Seed Companies Province No. of plants/units for Seed Processing/cotton ginning / cotton/cereals delinting capacity (MT) Punjab 166 439,920 Sindh 26 33,936 NWFP 2 2,800 Balochistan 1 800 Islamabad 1 400 Total 196 477,856

The national seed companies procured and sold the following quantities of various crop seeds as given in Table-11:

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Table-11: Seed Procurement and Distribution by National Seed Companies

Crop Estimated Seed Requirement (t) Quantity Procured (t) % Achieved Quantity Distributed (t) % Achieved

Wheat 2001-2002 890478 63117 7.078 63117 7.08 2002-2003 963672 59393 6.16 56804.35 5.89 2003-2004 981960 70312 7.16 74132 7.54 Cotton 2001-2002 60200 30657 50.93 22703 37.71 2002-2003 55880 28154 50.38 26408 47.26 2003-2004 59900 52538 54032 27421 45.78 Rice 2001-2002 42503 2464 5.79 1676 3.94 2002-2003 44500 3768 8.47 3136 7.05 2003-2004 40000 7673 19.18 5373 13.43 Maize 2001-2002 26628 114 0.43 114 0.43 2002-2003 37760 139 0.37 138.14 0.36 2003-2004 37782 113 .30 91 0.25 Mung-bean 2001-2002 4648 198 4.26 198 4.26 2002-2003 5228 409 7.82 196 3.75 2003-2004 5120 382 7.46 260 5.08 Sunflower 2001-2002 795 119 14.97 119 14.97 2002-2003 909 2003-2004 1730 4.17 0.24 4.17 024 Canola 2001-2002 246 136 55.28 136 55.28 2002-2003 450 2003-2004 506 Vegetables 2001-2002 6593 336* 5.09 336 5.09 2002-2003 5089 442.84 8.71 442.84 8.71 2003-2004 5089 678 13.2 678 13.32 (*In addition to the locally produced vegetables seeds, unregistered seed importers/companies imported 3553 tons, 3372 tons and 2680 tons of vegetable seeds during 1999-00, 2000-01 and 2001-02 receptively).

These companies contributed to the availability of 6-9 percent seed of the total estimated wheat seed requirement during the period 2001 to 2004. They met 39-50% requirements of cotton seed, 5.5 to 8.5 percent of rice, 5.5 to 7.8 percent of mung-bean and 1.3 to 8 percent of vegetable seed requirement. These companies demand that the import of those vegetable seeds which these companies have started producing locally may be discouraged and made subject to heavy import duty so that they can increase production to meet the local demand. Performance of Multinationals:
25

Four foreign seed companies i.e. M/s Monsanto Pakistan Agritech (Pvt.) Ltd., ICI Pak. Limited, Pioneer Pak. Seeds Limited and Syngenta Pak. Ltd; are working in Pakistan. These multinational seed companies mostly import hybrid seeds of corn, sunflower, fodders, canola, alfalfa, and sorghum. These companies have not yet started local research and development programs. The research and breeding activities of these companies are reported to be constrained due to absence of intellectual property rights and protection of their breeding material from piracy. The seed programs of Multinational seed companies have progressed slowly. M/s Monsanto (including Cargill Seeds) and Pioneer have played a key role in introduction of hybrids of corn and forage sorghum and M/s ICI have introduced canola hybrid seed in the country. M/s Monsanto in the past had procured and distributed seeds of cotton, wheat and paddy, but now have stopped production of wheat and paddy seeds since 2002-03. Monsanto previously exported wheat and paddy seed to Afghanistan, but it seems that with the change of top management, the seed production of crops like wheat and cotton etc have been dropped. M/s Pioneer which have a modern seed processing plant at Sahiwal to process cereals seeds, have also abandoned procurement and distribution of wheat seed which it carried out successfully in early 90s. The multinational seed companies now say that they do not find business of cotton and wheat seed profitable, although M/S Syngenta continue to procure cotton seed along with other crop seeds. M/S Lever Brothers who installed a modern seed processing plant near Manga Mandi, Lahore have closed their seed business since long and the seed plant is lying unutilized. Anyhow, in view of increasing acceptance of hybrid seed the multinationals have good prospects for expanding their seed business in the country. Similarly M/s Engro Chemicals also started seed business but stopped it after two seasons. The available estimated seed processing capacity with various seed companies and their performance is given in Table-12 and Table-13:-

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Table-12: Available Seed Processing Capacity with Multinationals

Company Name Pioneer Seeds Monsanto Pakistan Syngenta Total No. of Units 1 1 1 4 Seed processing capacity (t) 6400 4800 1800 13000 Seeds being processed Cereals Cereals Cereals, Cotton Seed

Table-13: Performance of Multinational Seed Companies as Percentage of Total Seed Requirement: Crop Procurement (%) Distribution (%) Wheat 2000-2001 0.13 0.13 2001-2002 0.19 0.18 2002-2003 0.11 0.11 2003-2004 0.10 0.10 Cotton 2000-2001 1.82 1.59 2001-2002 3.01 1.5 2002-2003 0.81 0.81 2003-2004 0.47 0.47 Rice 2000-2001 0.34 0.15 2001-2002 0.22 0.22 2002-2003 2003-2004 Maize 2000-2001 9.92 8.47 2001-2002 18.53 11.35 2002-2003 11.68 9.38 2003-2004 11.06 10.93 Fodder and Forages 2000-2001 4.31 4.38 2001-2002 3.05 5.48 2002-2003 2.68 2.68 2003-2004 3.71 3.18 Sunflower 2000-2001 100.0 47.0 2001-2002 6.06 12.83 2002-2003 30 30 2003-2004 36.42 36.42 [Source of Table no; 10, 11, 12 & 13: Federal Seed Certification & Registration Department] 27

Procedure for Registration of Seed Companies As has been explained earlier that Seed Act, 1976 is silent on the issue of registration of companies for doing seed business, therefore no rules have been notified for the purpose. However after policy shift in the Government, the MINFAL established Federal Committee on Agriculture (FCA) through administrative order to issue permit for doing seed business. A set of procedures have been developed by FSC&RD to facilitate work of FCA. According to the procedure, a company applying for Permit to do Seed Business must be already registered as a company either under Partnership Act or under Companies Registration Act; and submit its application to MINFAL along with Feasibility Report of the proposed business; that in turn should be developed in accordance with the criteria formulated by FSC&RD (see Annex-III). The Feasibility Report so provided by the applicant company is scrutinized by FSC&RD for confirmation to the criteria and if found satisfactory then the case is forwarded to the FCA for approval. After approval of the application by FCA, the MINFAL issues permit to do seed business. The procedure for induction of companies in to seed business is equally applicable to domestic and multinational companies and rules of business are same for all players. However the Department has registered the multinationals to do seed business on priority basis, and without asking them to deposit feasibility report. FCA has been entrusted to the function of cancellation of permits to do seed business in case any company is dormant for more than three years or deliberately violates Seed Act and Rules notified under the Act; but no multinational has been deregistered on the ground that it is not doing any seed production in Pakistan and simply import and distribute seeds in the country. The reason is simple; no law requires them to start seed production in Pakistan.

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Import of Seed There is no restriction on import of seed by anybody whether registered as Seed Company or not; except that varieties intended for import should be tested for adaptability by any relevant Government Agency prior to seed import; and seed so imported is cleared by Department of Plant Protection for quarantine; and by FSC&RD for standards notified under Truth-in-labeling Rules, 1991. Formal registration of varieties is not mandatory for seed imports. Prior to 1991 there was not even condition of adaptability trials or sampling and testing of shipments prior to release for seed imports. As seed imports were not regulated by any department, therefore there is no record available for the exact quantity of seeds imported and distributed by various importers prior to 1991. Although seed imports started in seventies and gradually its volume and scope expanded to present level. Even conduct of so called Adaptability Trials is neither technically adequate nor done in transparent way. The importer after getting Adaptability Certificate is free to import any thing on earth with true or false label of Adaptability Cleared variety; as no institution check for identity of imported seed except for its germination and physical purity under Truth-in-labeling Rules, 1991. So Pakistan is heaven for private sector seed importers; and thats why the private sector (local or multinational) does not seriously think for domestic production of seeds that can be substituted by seed imports. The Private Sector (local or multinational) presently either imports seed or manage production of seeds of mainly cotton, wheat and rice (excluding hybrid rice; that is imported) because import of cotton seed is banned under Quarantine Law; and import of wheat seed requires permission from MINFAL and non-hybrid rice seed is too costly to be profitably imported and distributed. This situation may be compared with the countries which export various seeds to Pakistan; none of OECD country or India allows
29

any seed import into their countries which is not formally registered in the country of destination; whereas OECD countries do not allow any seed which is not certified and identified. The following figures show the quantity and value of the imported seed as given in Table -14 and Table-15:Table-14:
Name of crop seed

Seed Imports of Various Seeds and value, 2000-2003

Quantity imported (MT) 2000-01 2001-02 2002-03 2636.30 3778.58 5117.70 4.84 805.10 5927.64 1928.87 25.00 35.97 0.60 14332.32 2451.63 4210.10 9929.43 87.00 1367.48 11383.91 Value (Rs. Million) 200020012002-03 01 02 315.71 301.48 394.17 20.86 113.80 443.67 435.87 26.68 462.55 201.12 0.87 38.63 240.62 237.10 2.88 5.67 0.18 901.73 453.39 6.03 53.17 512.59 487.25 6.65 59.00 0.17 0.02 1093.52

1. Vegetables 3371 2. Seed 829 Potato 3. Fodders -Berseem 10259 -Alfalfa -Sorghum 536 Total 10795 Fodders 4. Corn 3143 5. Paddy 3.10 6. Sunflower 357 7. Grasses 8. Flowers G. Total 184981.1

2568.20 496.02 63.00 0.192 302.89 71.22 0.62 0.02 18591.74 1369.49

(Note: Figures rounded of to the nearest decimal)

Table-15: Total Seed Imports of Pakistan (Value): 2001-2006

Sr. No. 1 2 3 4 5 Year Vegetable Seeds 316 394 434 600 800 Vegetable seeds % increase Over past year 24.68 10.15 38.25 33.33 26.60 Other Seeds 1,062 1,510 962 2,037 2,540 Other Seeds (Figures in Million Rupees) % Total % increase Seed increase Over past Imports Over past year year 1,378 42.18 1,904 38.17 -36.29 1,396 -26.68 111.75 2,637 88.90 24.69 3,340 26.66 Total 35.58 Seed 31.76 Imports

2001-02 2002-03 2003-04 2004-05 2005-06 Average Increase Per year

Note: Quantity of vegetable seed imports has jumped from 3,445 MT in 2000-01 to 6,526 MT in 2005-06.

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The figures of import of vegetable seeds during 1996-97 to 19992000 are provided at Annex-VI as background information. The above given crop seeds can be produced locally at least three to four times cheaper than the imported seed. The following Table-16 shows the comparative prices of the imported and the locally produced hybrid seed of various corps:
Table-16: Prices of Imported Hybrid vs. Local Hybrid Seed Crop Seed 2001-2002 Imported hybrid seed Maize Sunflower Canola Rs.275-300 per kg. Rs. 370-425 per kg Rs.450/- per kg Locally produced hybrid seed Rs.60-65 per kg Rs.120/- per kg Rs.120/- per kg

Due to lack of any policy initiative at the level of MINFAL or FSC&RD, the quantum and value of seed imports is rising year by year; mainly the hybrid seeds of various crops. Table-17 below provides an overview of rising seed imports during the period of 2002-03 to 2005-06: Table-17: Import value of various seeds; 2002-03 to 2005-06 (Figures in million Rupees) Crop 2002-03 2003-04 2004-05 2005-06 Vegetables 394 434 613 799 Sunflower 94 220 316 358 Maize 423 559 801 1,338 Potato 133 26 187 230 Berseem 474 180 636 223 Sorghum 56 60 50 111 [Source: Recalculation of figures in various FSC&RD data by the author] Similarly the import price of various seeds show ascending trend and increasing profits of seed exporting multinational companies, as given in Table-18 below:

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Table-18: Price of imported seed in Rupees per KG during the year 2002-03 to 2005-06 Crop 2002-03 2003-04 2004-05 2005-06 Sunflower 190 201 219 275 Maize 120 150 184 220 Potato 31 32 37 42 Berseem 49 50 Sorghum 33 66

To alleviate this alarming situation, present Government has approved a development project entitled Establishment of Facilitation Unit for Participatory Vegetable Seed and Nursery Production with the cost of Rs. 497 million to introduce commercial scale hybrid seed production of vegetable crops, with the collaboration of private sector which will invest Rs. 622 million in the project as collateral cost. Export of Seed Seed Act, 1976, Rules made under the Act and Trade Policy are silent on the issue of seed exports. Formal seed sector normally do not export seeds except that some quantity was exported under UN Food Assistance Programs; however informal seed sector is said to regularly export seed to Afghanistan; generally imported seed is re-exported. Federal Seed Certification and Registration Department is executing many development projects with the cost of tens of million rupees to upgrade its services and equip the labs with latest equipments and facilities of international standard; to accredit its seed testing facilities under ISO-17025 and to get membership of International Seed Testing Association (ISTA); to support seed exports.

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Malpractices in Seed Business Private Sector seed companies are involved in large scale marketing of seeds of un-approved varieties and illegal Bt-cotton seed (even with various branded names). The malpractice in seed business is so rampant that one need cast no more than a passing glance at any seed market to detect the illegal marketing everywhere. According to unconfirmed reports, persons from various research institutes have also joined hands with private seed companies in promoting distribution of seed of un-approved varieties of cotton and wheat. The increasing trend of marketing of seed of un-approved varieties in general and specifically of cotton and wheat has resulted in gradual decrease in production and marketing of Certified Category Seed despite expanding seed market. This situation had forced the Federal Seed Certification and Registration Department to introduce a new category Approved Seed as lower quality certified seed to facilitate the private sector and keep the figures of certified seed availability up to mark. Despite all sort of arithmetic, it is the fact that seed availability figures are always based on quantity of seed tested and certified in various categories. Part of the certified quantity of seed is never purchased by the seed companies and during three consecutive years companies are facing escalating problem of left-over stocks of Certified Seed; although no company will confess it openly due to marketing strategy considerations. The main factor working behind the crisis is increasing seed marketing of un-approved varieties. As already mentioned and in spite of formalities of adaptability test and testing of imported seed consignments prior to release from the port; the seed importers are successful in importing and distribution of seed of un-adapted varieties and seed with poor germination. Various inquiries held for the import of poor-quality seed of hybrid-rice, sunflower, pearl-millet etc could not change the situation; as nobody is interested in taking action against collaborators in the enforcement system.

33

Small Farmers and Seed Business Limited success of public sector in delivering seed to small farmers in remote areas, and lack of commercial interest on the part of large seed companies, it seems that small and location specific enterprises may be the best option for fulfilling the role small scale enterprises through community based interventions have been started in NWFP, Northern Areas and Punjab. It has created sufficient interest in the community for seed enterprises. Policy intervention should provide adequate and continuous support to protect the interest of both producers and seed users till the favorable environment is created to make small scale seed enterprises sustainable. Presently all the focus of public and private sector research is on producing crop varieties best suited and high yielding under optimum conditions of land and inputs. There is dire need of re-orientation of public sector research for evolving varieties best suited for marginal lands, lands with low availability of water / rain-fed and for resource poor farmers who can not afford costly inputs. A farmers participatory research approach is the best way to move in this direction. As most of the planting needs of various seeds are met through farm-saved seed and the position is not going to change in near future; therefore policy makers should focus improvement of quality of farm-saved seed to improve farm incomes and national production. Punjab and Sindh Governments have taken some steps in this direction by extending seed processing facilities to the farmers; but still much needed to improve genetic quality of farm-saved seeds. However the upcoming legislation on seeds will not leave any space for such farmer-friendly initiatives aimed at improving quality of farmsaved seeds and promotion of agro-biodiversity at farm level. Relevant Federal and Provincial Government departments, NGOs and community organizations; all can play role in training of farmers for improved seed-saving practices.

34

Matrix of Seed Market in Pakistan [Local Seed Production, Seed Imports and Role of Farmers Seed Saving] Market of quality seeds and appropriate varieties is increasing in Pakistan by the passage of time and with the increase in awareness of the farmers for new realities of commercial agricultural production. The requirement of seeds, procurement and distribution of various seeds is detailed in Table-19 for the year 2003-04 and in Table-20 for the year 2004-05.

Table 19: Procurement and distribution of various crop seeds, 2003-04

Crop Wheat Gram Cotton Paddy (Fine) Paddy (coarse) Maize Mungbean Fodder & Forages Vegetable Sunflower Canola Potato Total Est. seed req. 981,960 42,530 59,900 18,000 22,000 37,782 5,120 17,000 5,089 1,730 506 203,600 Procurement MT (%) 143,977 1,337 37,923 6,971 3,248 5,298 770 5,604 4,021 1,097 126 1,920 15 3.1 63.3 39 15 14.02(8.4%*) 15 33(32%*) 79(62%*) 63 (15.35%*) 0.94 Distribution MT (%) 135,513 1,337 31,619 5,155 2,392 5,298 583 5,263 3,499 1,097 126 1,054 192,936 14 3.1 53 29 11 14.02 11.39 31 69 63 25 0.52 14

Total: 1,395,217 212,243 15 * Imported seed percentage is given in parenthesis.

[Source: Federal Seed Certification & Registration Department] Note: The difference between figures of procurement and distribution illustrate the extent of left-over stocks of certified seed despite rising demand; mainly because of ever-increasing marketing of un-identified seeds.

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Table 20: Seed Requirement and Availability of All Crops for 2004-05
(Figures in MT)
CROP Estimated Seed Requirements Wheat 981,960 64,200 39,184 Fine Coarse Total Maize Potato Gram Mung Vegetable 37,708 274,250 7,908 5,120 5,270 Paddy SEED AVAILABILITY Public Sector 71,297 4,450 2,430 1,013 3,443 353 1,025 585 109 408 6.93% 6.20% 2.58% 8.80% 0.94% 0.37% 7.40% 2.13% 7.74% Private Sector Total

7.26% 122,147 12.44% 193,444 19.70% 36,306 56.55% 40,756 63.48% 5,866 14.97% 2,217 5.65% 8,296 21.17% 3,230 8.24% 6,335 16.80% 6,053 2.20% 608 7.69%

Cotton

8,083 20.62% 11,526 29.41% 5,982 15.86% 5028 23 330 1.83% 0.29%

6.44% 439.00 8.57%

4676 88.74% 5084.50 96.48%

Source: Federal Seed Certification & Registration Department Table-19 and Table-20 show that seed availability of various categories of Certified Seed in respect of wheat, cotton and paddy (course) has changed from 15%, 63.3% and 15% in 2003-04 to 19.7%, 63.5% and 8.2% in 2004-05 respectively; but despite all good efforts, 80%, 36% and 92% of planting needs of wheat, cotton and paddy (course) seed respectively have to be met through supplies of either un-certified (informal seed) or through farmsaved seed. The above estimates for role of informal seed sector are conservative; ignoring the sizeable quantity of left-over stocks of certified seed. The figures of seed procurement and distribution during 1993-94 to 1999-2000 are provided at Annex-V. Over-all figures are evidence for that at least 84% of seed supplies are coming from fake-seed business or from farmsaved seed. The situation further illustrate the role of quality of farm-saved seed in ensuring seed-security and food-security and in enhancing national agricultural production. It further demonstrates the potential deleterious impact of up-coming skewed seed laws.

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The Estimated Seed Requirement and Seed Availability figures for last five years regarding seeds of vegetables, sunflower, maize, potato and forage/fodder crops are given below in Table-21, Table22, Table-23, Table-24 and Table-25 respectively. Table 21: Vegetable Seed Requirement and Availability (2001-05) Year Estimated Seed Requirement (MT) Seed Availability in MT Local Imported Total Value of Imported Seed Million Rs.

2000- 5085 211.90 3,445.72 3,657.62 314.68 01 (4.16%) (67.76%) (71.92%) 2001- 5150 592.82 2,635.20 3,228.02 309.81 02 (11.51%) (51.16%) (62.67%) 2002- 5156 646.50 2,450.63 3,087.13 393.97 03 (12.53%) (47.52%) (60.05%) 2003- 5268 861.06 3,151.32 4,012.38 434.13 04 (16.34%) (59.82%) (76.16%) 2004- 5270 408.00 4,676.60 5,084.60 612.94 05 (7.74%) (88.74%) (96.48%) Source: Federal Seed Certification & Registration Department
Table 22: Sunflower Seed Requirement and Availability 2002-05

Year Estimated Seed Requirement (MT) 2002-03 2003-04 2004-05 1612 1730 1730

Seed Availability in MT

Local 7.88 4.00 --

Imported 468.00 1,093.00 1,438.30

Total 475.88 (29.52%) 1,097.00 (63.41%) 1,438.30 (82.90%)

Value of Imported Seed Million Rs. 94.40 220.20 316.20

Source: Federal Seed Certification & Registration Department

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Table 23: Maize Seed Requirement and Availability 2002-05 YearEstimated Seed Requirement (MT.) 200203 200304 200405 37760 37782 37708 Seed Availability in MT Value of Imported Seed Total 5,000.00 (13.24%) 5,298.00 (14.02%) 6,003.65 (15.92%) Million Rs. 423.5
@ Rs 120 Per KG

Local 1,470.78 (3.90%) 1,572.00 (4.16%) 1,651.65 (4.38%)

Imported 3,529.22 (9.34%) 3,726.00 (9.86%) 4,352.00 (11.54%)

558.9
@ Rs 150 Per KG

800.7
@ Rs 184 Per KG

Source: Federal Seed Certification & Registration Department Table 24: Potato Seed Requirement and Availability 2002-05 Year Estimated Seed Requirement (MT.) 200203 200304 200405 289500 274300 274300 Seed Availability in MT Local 818.2 (0.28%) 1,115 (0.41%) 1,025.9 (0.37%) Imported 4,210.42 (1.45%) 805.4 (0.29%) 5,027 (1.83%) Value of Imported Seed Total Million Rs. 5,028.62 133.28 (1.73%) 1,920.4 (0.70%) 6,052.9 (2.20%) 26.10 186.80

Source: Federal Seed Certification & Registration Department

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Table 25: Import of Fodder and Forage Seeds, 2002-05 Figures in MT, Value in parenthesis (million US dollars) YEAR ALFALFA BERSEEM SORGHUM 2002-03 TOTAL

87 9,929 1,367 11,383 (0.105) (7.9) (0.932) (8.9) 2003-04 5.0 4,348 1,203 6,325 (0.017) (3.0) (1) (4.0) 2004-05 0.0 12,503 1,395 13,898 (0.0) (10.6) (0.836) (11.4) Source: Federal Seed Certification & Registration Department Table-26: Import Summary of Various Crops in Pakistan during the Year, 2005-06 Sr. Name of Crop Seed Import Seed Import No. Quantity MT Value million Rs. 1. Vegetables 6,524 799 2. Maize 7,444 1,338 3. Rice (Hybrid) 360 40 4. Forages 9,751 343 a) Berseem 5,740 223 b) Sorghum 3,925 111 c) Others 86 9 5. Sunflower 1,618 358 6. Canola 18 4 7. Potato 6,511 230 8. TOTAL 32,226 3,112 Most of the seeds imported pertain to vegetables, sunflower, maize, potato and forage/fodder crops and relevant rising import values are given above in Table-19, Table-20, Table-21, Table-22 and Table-23 respectively. The value of seed imports in the year 2004-05 for vegetables 612.94 million, for sunflower 316.20 million, for maize 180.00 million, for potato 186.80 million and for forage crops 684 million (all figures in rupees) are annually going up at the average rate of more than 30% (see Table-15).

39

The value of seed imports was in the year 2005-06 for vegetables 799 million, for sunflower 358 million, for maize 1,338 million, for potato 230 million and for forage crops 443 million (all figures in rupees) further confirm the trend; and heavy reliance on seed imports. A comprehensive over-view of seed market size of Pakistan is given below in Table-25 which shows great potential for expansion of seed business and/or for increasing seed imports. Table 27: TOTAL SEED MARKET, 2004-05
YEAR Estimated Seed Requirement (MT) 994,800 64,200 39,184 37,708 17,000 41,520 1,730 5,270 506 274,250 1403294 * Imported seed Imported Seed (MT) 4,318 13,898 Price (Avg.) (Rs/Kg) 14 30 19 275-330 49 Market Size Million Rs 13,927.2 1926 744.5 10,369.7 691 Market Size Million US $ 232.12 32.1 12.40 173 11.4 11.8 6.34 11.13 4.85 128.9 624

WHEAT COTTON PADDY *MAIZE *FODDER & FORAGES GRAM *SUNFLOWER *VEGETABLE *CANOLA *POTATO TOTAL

18 707.3 1,434 220 381 4,632 126.8 668.24 13 575 291 5,027 38 7,737 18,954 34086.92 Source: FSC&RD, Islamabad

Table 28: PRICES OF LOCAL SEEDS, 2002- 05*

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Sr. CROP 1 2 3 4 5 6 7

SALE PRICE (Rs./Kg) 2002-03 2003-04 2004-05

Wheat 12.00 12.50 15.00 Cotton Fuzzy 30.00 41.00 37.50 Cotton Delinted 43.00 52.50 48.00 Paddy Course 13.50 13.50 16.00 Paddy Fine 25.00 26.00 27.50 Gram 31.50 18.00 21.00 Mung 25.00 25.00 25.00 *Source: Punjab Seed Corporation, Lahore

Table 29: Seed Import Price (C&F) and Sale Rate (Rs/Kg) for 2004-05 CROP IMPORT EXPENDITURE TOTAL SALE LOCAL PRICE BY IMPORTER PRICE PRICE (Rs./Kg) (13%) (Rs/Kg) (Rs/Kg) 184 23.92 28.47 4.94 37.18 6.37 4.29 207.92 247.47 42.94 323.18 55.37 37.29 325-330 18-20 450-475 64-68 575 100 70 50-60 22-26 26-28

Maize

Sunflower 219 Potato Canola Berseem Sorghum 38 286 49 33

Source: Federal Seed Certification & Registration Department

Seed Banks or Gene Banks in Pakistan

41

Plant Genetic Resources Institute (PGRI) of Pakistan Agricultural Research Council has a mandate to explore, conserve, evaluate and document the plant biodiversity of Pakistan for the benefit of our future generation. The institute also has a mandate to support national crop improvement programs in the form of required germplasm and act as a trustee of genetic resources of cultivated plants and their wild relatives. The Institute has linkages with National Crop Coordinators, Agricultural Research Institutes /Universities and other NGOs working for biodiversity conservation. The Institute works in close collaboration with International Research and Development Organizations to implement work plan. It was established in 1993 with the financial and technical assistance from Japan International Cooperation Agency (JICA). It comprises of six laboratories i.e. Plant Exploration, Seed Preservation, In vitro Preservation, Germplasm Evaluation, Plant Introduction & Seed Heath, Herbarium and Documentation. In addition to the above there are six glass houses, seed threshing /processing room, soil sterilizer, plant incinerator, insecticide/pesticide store and two standby electric generators. The germplasm collection and conservation is meaningless if it is not properly evaluated for the traits of interest. Almost 95% germplasm of cereals and legumes have been evaluated for various agromorphological and genetic traits. Lines moderately tolerant to salt and leaf folder (Cnaphalocrocis medinalis) in rice, early maturity and short stature in barley, good quality with 5 +10 allelic combination in wheat, powdery mildew resistance in pea, and tolerant to mung-bean yellow mosaic virus in mung bean and black gram has been identified for utilization in the breeding programs. SDS-PAGE, Isozyme, and DNA analysis are used to evaluate genetic diversity in different crop species. PGRI is now upgraded and renamed as National Institute of Agricultural Biotechnology and Genetic Resources (NIABGR) Under NARC. However NIABGR is not involved in conservation of genetic resources of cotton; which are being maintained by CCRI, Multan and by CCRI, Sakrand of PCCC. Table 30: Germplasm Status at PGRI Gene-bank
42

S#

Crops

Total 10312 2767 207 130 1274 540 2957 545 866 1007 19 5290 2243 90 808 643 799 212 109 172 66 148 2468 1003 754 133 143 362 73 4981 341 357 1481 1024 1778 23051

Cereals: 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 28 29 30 31 Wheat (Triticum aestivum) Durum wheat (Triticum durum) Wheat (Wild species) Barley (Hordeum vulgare) Oats (Avena sativa/fatua) Rice (Oryza sativa) Maize (Zea mays) Sorghum (Sorghum bicolor) Millets (Pennisetum glaucum)/related spp. Buckwheat (Fagopyrum esculentum) Food Legumes: Chickpea (Cicer arietinum) Chickpea (wild Cicer) Lentil (Lens culinaris)/its wild relatives Mung-bean (Vigna 43adiate) Mash-bean (Vigna mungo) Cowpea (Vigna unguiculata) Lobia (Phaseolus vulgaris) Vicia species Moth (Vigna acontifolia) Matri (Lathyrus species) Oilseeds Oilseed Brassica Groundnut (Arachis hypogaea) Soybean (Glycine max) Sunflower (Helianthus annuus) Safflower (Carthamus tinctorius) Sesame Others Fodder & Forages Fiber Crops Vegetables Fruits Medicinal Plants G. Total

Source: Website of NARC at www.parc.pk.gov/pgri.html

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Central Cotton Research Institute (CCRI), Multan of Pakistan Central Cotton Committee (PCCC) maintains the genetic resources of cotton, including American Cotton, Desi Cotton, Egyptian Cotton and wild relatives of cultivated cottons. Presently 1,600 accessions have been conserves at CCRI, Multan with detailed characterization. These accessions include local varieties and international collections. Apart from main seed banks described above, all research institutes and research stations maintain germplasm of small size without detailed descriptions. Despite the above stated network of research system for collection and conservation of genetic resources, there is no facility in the country from where farmers can get seed of Land Races or Farmers Varieties of various crops to meet their planting needs. Private seed companies produce only seed of notified varieties; therefore there is dire need of such seed banks on community level or it may be organized by any NGO which can produce stock and distribute seeds of farmers varieties and land races; to promote sustainable conservation of biodiversity for food and agriculture. There is also need of another kind of seed banks on Provincial or National level which work as seed reservoirs to meet emergency requirements in case of natural calamities or crop failures. Such arrangements are practiced, to some extent, by Indian Ministry of Agriculture; which also give subsidy on seed transportation to remote and isolated areas, out of the reach of commercial seed distribution.

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TRIPS Agreement and Seed Supply System

1. Legal Status of TRIPS Agreement:

WTO agreement on Trade Related Aspects of Intellectual Property Rights (TRIPS) includes protection of life forms through patents and/or through sui generis system. The relevant Articles of the Agreement are reproduced below for further discussion: Article 27.2: Members may exclude from patentability inventions, the prevention within their territory of the commercial exploitation of which is necessary to protect ordre public or morality, including to protect human, animal or plant life or health or to avoid serious prejudice to the environment, provided that such exclusion is not made merely because the exploitation is prohibited by their law. Article 27.3: Members may also exclude from patentability: (a) diagnostic, therapeutic and surgical methods for the treatment of humans or animals; (b) plants and animals other than micro-organisms, and essentially biological processes for the production of plants or animals other than non-biological and microbiological processes. However, Members shall provide for the protection of plant varieties either by patents or by an effective sui generis system or by any combination thereof. The provisions of this subparagraph shall be reviewed four years after the date of entry into force of the WTO Agreement. As the revision of subparagraph 27.3 (b) is part of the TRIPS Agreement and that despite the mandatory implication of word shall be reviewed the revision so far has not been materialized, therefore the legality of the referred subparagraph is questionable; and the subparagraph need not hasty compliance by the developing countries the affected party. The matter of review of the subparagraph was taken up during Doha Ministerial Conference of WTO (Fourth Session November 9-14, 2001) and the relevant decisions are reproduced below as ready reference:

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Paragraph 19: We instruct the Council for TRIPS, in pursuing its work programme including under the review of Article 27.3(b), the review of the implementation of the TRIPS Agreement under Article 71.1 and the work foreseen pursuant to paragraph 12 of this Declaration, to examine, inter alia, the relationship between the TRIPS Agreement and the Convention on Biological Diversity, the protection of traditional knowledge and folklore, and other relevant new developments raised by Members pursuant to Article 71.1. In undertaking this work, the TRIPS Council shall be guided by the objectives and principles set out in Articles 7 and 8 of the TRIPS Agreement and shall take fully into account the development dimension. (WTO document no. WT/MIN(01)/DEC/1, 20 November 2001) Again to highlight the legal requirement of the above said review, the Permanent Mission of Brazil, on behalf of Brazil, China, Cuba, Dominican Republic, Ecuador, India, Pakistan, Thailand, Venezuela, Zambia and Zimbabwe, has deposited a text on The Relationship Between the TRIPS Agreement and the Convention on Biological Diversity (CBD) and the Protection of Traditional Knowledge (IP/C/W/356) on June 21, 2002 with Council for Trade Related Aspects of Intellectual Property Rights (TRIPS) of WTO.
2. Obligations under Article 27.3(b) of TRIPS Agreement:

Even if Article 27.3(b) is considered as such, without contesting its legal status, the subparagraph indicates that;
a) Micro-organisms are patentable; b) Non-biological and microbiological processes are

patentable; c) Members shall provide for the protection of plant varieties either by patents or by an effective sui generis system or by any combination thereof; d) Animals need not any protection; e) Essentially Biological Processes need not any protection. The Agreement is silent on the issue of defining the term microorganism and the countries can exclude DNA, DNA-fragments and
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individuals genes from the definition of micro-organism and refuse their patenting. Similarly the Agreement is silent on the issue of defining the term plants and the countries may restrict the term plants exclusively to Kingdom Plantae and may exclude species of Kingdom Protista and Kingdom Fungi from patent protection. The Article 27.3(b) do not provide for any obligation of the countries to introduce the concept of Essentially Derived Variety in legal instruments of Plant Breeders Rights or Plant Variety Protection; as the referred concept converts a sui generis system to nearby a patent. The Article 27.3(b) also do not provide for any obligation of the countries to join UPOV a corporate club- which is another backdoor mechanism to force developing countries to opt for patent-like sui generis system. The Article 27.3(b) also do not provide for any obligation of the countries to provide protection beyond 20 years, as provided by Article 33 of TRIPS Agreement. Apart from the above stated flexibilities of the Article 27.3(b), the subparagraph has to be read with Article 27.2 which provides additional flexibility for national legislation.
3. Micro-organisms and Microbiological Processes:

Micro-organisms are unicellular organisms like bacteria or subcellular organisms like viroids and viruses; and many such microorganisms perform very useful functions in the intestines of humans and other mammals, in plant roots, in the soil and in the whole range of Eco-system; through breaking large molecules into easily digestible simpler ones, through decomposing toxic compounds, and by fixing nitrogen in soil or plant-roots to provide extra nutrition for plant growth.

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Similarly micro-organisms are the real producers of many industrial and food products like alcohol, yogurt, vinegar, Bt-toxin etc. Therefore micro-organisms should be considered as integral part of the Eco-system; and Biological Heritage of any particular region. The patenting of micro-organisms genetic resources as such or with slight modification is immoral, unjustified and in contradiction with very objective of the Convention on Biological Diversity (CBD). Likewise microbiological processes are also Essentially Biological Processes and any discrimination among both notions is superficial and unscientific; and just a trick of words to advance corporate interests. Accordingly next legally binding review of Article 27.3(b) should include the exclusion of micro-organisms and microbiological processes from the patent protection.
4. Contradiction between Article 27.3(b) of TRIPS and CBD of

UNEP and ITPGRFA of FAO:

Pakistan is signatory to CBD and ratified it on July 26, 1994. The Convention establishes three main goals: the conservation of biological diversity, the sustainable use of its components, and the fair and equitable sharing of the benefits from the use of genetic resources.

One of the three objectives of the Convention on Biological Diversity, as set out in its Article 1, is the fair and equitable sharing of the benefits arising out of the utilization of genetic resources, including by appropriate access to genetic resources and by appropriate transfer of relevant technologies, taking into account all rights over those resources and to technologies, and by appropriate funding. A framework for the implementation of this third objective of the Convention with regard to access to genetic resources and benefitsharing is provided in Article 15 of the Convention. In addition, Article 8(j) contains provision to encourage the equitable sharing of

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the benefits arising from the utilization of knowledge, innovations and practices of indigenous and local communities. These provisions are also linked to the provisions on access to, and transfer of technology (Article 16), exchange of information (Article 17), technical and scientific cooperation (Article 18), the handling of biotechnology and distribution of its benefits (Article 19, paragraphs 1 and 2), and financial resources and financial mechanism (Article 20 and Article 21). Commission on Genetic Resources for Food and Agriculture (CGRFA) was originally established in 1983 as the Commission on Plant Genetic Resources, by the FAO Conference, (Resolution 9/83), to deal with issues related to plant genetic resources. In 1995, its mandate was broadened (Resolution 3/95), to cover all components of agro-biodiversity of relevance to food and agriculture. It was then renamed as the Commission on Genetic Resources for Food and Agriculture (CGRFA). The CGRFA facilitates and oversees cooperation between FAO and other relevant intergovernmental and non-governmental bodies, including, the Conference of Parties (COP) to the Convention on Biological Diversity (CBD), the International Plant Genetic Resources Institute (IPGRI) and the UN Commission on Sustainable Development (CSD). After seven years of negotiations, the FAO Conference (through Resolution 3/2001) adopted the International Treaty on Plant Genetic Resources for Food and Agriculture, in November 2001. This legally-binding Treaty covers all plant genetic resources relevant for food and agriculture. It is in harmony with the Convention on Biological Diversity (CBD); although limited in scope. The Treaty (ITPGR) is vital in ensuring the continued availability of the plant genetic resources that countries will need to feed their people. We must conserve for future generations the genetic diversity that is essential for food and agriculture. In adopting the agreed text of the Convention on Biological Diversity (CBD) in May 1992, countries also adopted Resolution 3 of the
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Nairobi Final Act, which recognized the need to seek solutions to outstanding matters concerning plant genetic resources, within FAOs forum, in particular:
a) access to ex situ collections not addressed by the

Convention, and b) the question of Farmers Rights World Intellectual Property Organization (WIPO) has established Inter-governmental Committee on Intellectual Property and Genetic Resources, Traditional Knowledge and Folklore (WIPO/GRTKF/IC) to support work of CBD and CGRFA. The implementation status of CBD and ITPGRFA is not the scope of this paper however implementation of TRIPS Agreement is presently not possible without contradicting the objectives and provisions of both above referred Treaties; which are equally binding legal instruments of UN. As a matter of fact the TRIPS Agreement in general and Article 27.3(b) in particular is an instrument for advancing vested interests of the multinational corporations; whereas CBD in general and ITPGRFA to some extent reflects the serious concerns for the future of man-kind and food security for all; thus the later treaties are a defense of common men of developing countries. The only practical way for developing countries is to firmly push for review of TRIPS agreement to make it in harmony with objectives and provisions of CBD. The TRIPS, CBD and ITPGRFA are compared in the Table-28 to explain main contradictions between these instruments in respect of influencing the seed supply system.

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Table 31: Contradictions between TRIPS, CBD and ITPGRFA

Sr. TRIPS No. 1. Primary objective of the TRIPS is to protect Corporate Intellectual Property. 2. Main thrust of TRIPS is to establish and maintain total control of powerful vested interests on Genetic Resources and Traditional Knowledge. CBD Primary objective of the CBD is to protect the Biodiversity for future of man-kind. Main thrust of CBD is to establish and maintain control of countries and communities on Genetic Resources and Traditional Knowledge. Requires disclosure of origin of genetic resources or traditional knowledge utilized for development of all the inventions. ITPGR Primary objective of the ITPGRFA is to promote Food Security. ITPGRFA is a compromise formula in between TRIPS and CBD to restrict the scope of main issue to genetic resources for food and agriculture. Requires disclosure of origin of genetic resources or traditional knowledge utilized for development of the inventions with a limited scope of only plant genetic resources for food and agriculture.

3.

Patents or otherwise protection of life forms do not require disclosure of origin of genetic resources or traditional knowledge utilized for development of the inventions including plant varieties and industrial products; except disclosure for already patented / protected material. No concept of Prior Informed Consent (PIC) or Benefit Sharing in respect of genetic resources or traditional knowledge utilized for development of the inventions; except for already patented / protected material. No concern for conservation and promotion of Biodiversity.

4.

Requires Prior Informed Consent (PIC) or Benefit Sharing in respect of all genetic resources or traditional knowledge utilized for development of the inventions. Focus on conservation and promotion of Biodiversity.

5.

Prior Informed Consent (PIC) or Benefit Sharing in respect of genetic resources or traditional knowledge utilized for development of the inventions to the extent of plant genetic resources for food and agriculture. Focus on conservation and promotion of plant genetic diversity for food and agriculture. 51

6. 7.

Very limited concept of Farmers Rights for seed saving. No concept of Farmers Rights for seed exchange or sale. No concept of Farmers Rights as Traditional Breeders. Encourages litigations against farmers for involuntary contamination of fields with protected varieties.

Fully insist on Farmers Rights for seed saving. Fully insist on Farmers Rights for seed exchange and sale. Fully insist on Farmers Rights as Traditional Breeders. Discourages litigations against farmers for involuntary contamination of fields with protected varieties. Encourages genetic diversity of crops to provide for future needs and natural evolution. USA is not party to CBD.

Fully insist on Farmers Rights for seed saving. Fully insist on Farmers Rights for seed exchange and sale. Fully insist on Farmers Rights as Traditional Breeders. Discourages litigations against farmers for involuntary contamination of fields with protected varieties.

8.

9.

10.

Tends to destroy genetic diversity of crops.

Encourages genetic diversity of crops to provide sustainable base for food security. USA is not party to ITPGRFA.

11.

USA is not only party to TRIPS but also is main pushing force, through bilateral agreements, to convert sui generis into a patent-like system. TRIPS Agreement has teeth for enforcement through multilateral and unilateral measures.

12.

CBD has no teeth; USA and Corporate Interests are trying hard to convert CBD into a forum of unending debates.

ITPGRI has no teeth; USA and Corporate Interests are trying hard to convert ITPGRFA into a forum of unending lip-service.

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Upcoming Legislation on Seeds in Pakistan As stated earlier two new legal instruments namely Plant Breeders Rights Act and Seed (Amendment) Act have been finalized for enactment by the Parliament; merely to make the legal structure in harmony with requirements of WTO/TRIPS and International Financial Institutions; with no regard of national interests and fate of small farmers under such callous legislation. The above referred legal instruments will have far reaching impact on structure of seed supply system and on farmers rights in respect of seed saving, seed exchange, seed marketing of land races, conservation of biodiversity, food security and in respect of community rights on genetic resources, traditional knowledge and geographical indications. 1. Main Features of Draft Plant Breeders Rights Act, 2006: 1. The Draft PBR Act, 2006 (hereinafter called the Draft) seems prepared keeping in view only the requirements of Article 27.3(b) of the TRIPS Agreement of WTO and ignoring the obligations of Pakistan as signatory to Convention on Biological Diversity (CBD) under UNEP and obligations of Pakistan as signatory to International Treaty on Plant Genetic Resources for Food and Agriculture (ITPGRFA) under UN-FAO. 2. The Draft does not recognize the notion of Farmers Rights as provided in CBD and ITPGRFA (except perhaps at one place) and mentions only Farmers Exemptions and Scientists Exemptions. The replacement of Rights of farmers or community of farmers by certain Exemptions or Concessions is root cause of all distortions in the Draft Document in favor of Corporate Interests and against Farmers Interests. 3. Whereas Indian Plant Variety Protection and Farmers Rights Act, 2001 accepts the notion of Farmers Rights in conformity with CBD and ITPGRFA; in title as well as in the text.

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4. Clause (m) of Section 2 of the Draft declares its scope to include living organisms of Kingdom Plantae and does not include living organisms of Kingdom Fungi and Kingdom Protista. However this concession is withdrawn through Seed Act, 1976 by defining Seed as including Fungi. 5. Role of Farmer as Traditional Breeder has been approved by definition of the Breeder to include the Farmer (clause b of Section 2 of the Draft) but the same has been withdrawn by introducing notion of Essentially Derived Variety (clause g of Section 2 of the Draft). Further, there is no provision in the Draft for materializing such role of the Farmer. 6. The clause (a) of Section 4 of the Draft assigns promotion of Farmers Rights as one of the functions of the Registry (clause iv of Section 6 includes it in functions of the Registrar); however the text of the Draft do not disclose about which farmers rights the Registry or Registrar will protect; and simply states that the Registry will do (in this respect) what it thinks fit.
7. The clause (d) of Section 4 of the Draft tells about cataloguing

of Farmers Varieties and Land Races as common knowledge varieties but the definition of such varieties is not provided anywhere in the text of the Draft. Neither it is clear that which agency will ensure for completeness of such catalogue nor it is clear that what benefits will accrue to farmers or communities through such catalogue.
8. The clause (f) of Section 4 of the Draft declares it a function of

the Registry to record the contribution of any person at any time in the evolution or development of any plant variety; but ignores the contribution of farmers in development of all present day varieties. 9. The clause (c) of Section 7 of the Draft seems over-acting as the Registry or Registrar is not Enforcing Agency and all Infringement Cases have to be addressed by only the concerned High Court as provided in Chapter VIII of the Draft. There is no concept of PBR Inspector in the Draft.

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10. There is no provision for registration of Farmers Varieties, Land Races and Extant Varieties (beyond 20 years of release) as Public Domain Varieties to make any gain of notion of Essentially Derived Variety in case of utilization of such material by Corporate Sector for developing new varieties. Such provision is provided in Indian PVPFRA.
11. The notion of Essentially Derived Variety only provides

protection to Corporate Sector by restricting traditional variety improvement work of the farmers; and subsequent breeding work of the scientists, as all further developed varieties may be easily proved to be Essentially Derived Variety and thus prohibited. 12. The work of farmers and local scientists is further restricted by the Sub-section (7) of Section 16 of the Draft; as they have to make further improvement only on the basis of existing material and knowledge.
13. However clause (f) of Section 18 of the Draft requires

declaration of complete identification data of the parental lines from which the variety has been derived along with the geographical location in Pakistan from where the genetic material has been taken setting forth its novelty, parentage/pedigree, breeding history and a drawing or photograph to understand and evaluate the novelty of the variety. It is clear from the underlined quote from the Draft that such declaration is only for establishing novelty and not for establishing any Right of the Farmers or Community. 14. In case a Breeder develops plant variety through selection from any Farmers Variety, Land-races or Genetic Resources of a Community / Region, then it should be treated as Essentially Derived Variety in accordance with the logic of the Act and farmers / community should be entitled for benefit sharing; but the Act is silent on the issue.
15. Clause (c) of Sub-section (2) of Section 22 allows opposition of

protection of any variety on the basis of not in public interest but definition or scope of public interest is not
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provided anywhere in the text of the Draft; and how this clause may be utilized in the real public interest. 16. Section 23 provides for the detail of exercising the notion of Essentially Derived Variety which is invention of Corporate Sector and has been inserted in Patent Instruments of Industrialized countries and in UPOV-1991 Act; otherwise not present in UPOV-1978 Act. This notion not only restricts work of farmers and scientists but provides an efficient tool to prolong the protection life. When protection life of one variety nears to end, the Corporate Sector comes up with an Essentially Derived Variety and thus further extends the life of protection. This process is repeated again and again and so the protection under Patent or PVP never ends. 17. Clause (c) of Section 25 of the Draft warns and declares planting (multiplication) of seed of protected variety by any farmer who received such seed from a neighbor, as crime; and thus the exemption given to farmers in Section 35 of the Draft becomes restricted in respect of sharing, exchange and sale of produce of the protected variety and does not allow replanting of such material; as the Section 35 is silent on replanting of protected material got from the neighbor-farmer. 18. Exemption of scientific research work provided in Section 28 of the Draft is superficial as it only allows the research work but does not allow commercialization of fruit of the research work; as exemption for commercialization of research is not provided in Section 28 and as the same is restricted by the notion of Essentially Derived Variety.
19. Section 41 of the Draft links PBR Act with Seed Act; therefore

the Draft may be read with Seed Act, 1976 as well as with Draft Seed (Amendment) Act, 2006 for developing comprehensive scenario of full consequences. The proposed PBR Act read with proposed Seed (Amendment) Act declares any effort for Biodiversity Conservation as heavily punishable crime, as detailed below:

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2. Main Features of Draft Seed (Amendment) Act, 2006:

1. In contrast to the definition of seeds (to be regulated) provided

in Seed Act, 1976 that comprise only Food and Fodder crops; the definition of seeds provided in Draft Seed (Amendment) Act, 2006 (hereinafter called new Draft) is all embracing to include plants of field crops, vegetable crops, fruits, spices, medicinal herbs, flowers, shrubs, forest trees, other plant species and mushroom spawn (fungi) used for sowing or planting.
2. Clause (z) of Section 2 of the new Draft declares any seed that

is not registered under the Act, as Misbranded.

3. Whereas clause (dd) of Section 2 of the new Draft defines

seed business as any commercial operation involving production, processing, conditioning, packaging, distribution, import and export of seeds.
4. Clause (iii) of Section 23 [Penalties] of the new Draft declares

punishable the imports, sells, holds in stock or exhibits for sale or barter; and/or otherwise supplies any seed of any kind or plant variety which is not a registered plant variety.
5. The above referred Section 23 also explains penalty as; for the

first offence with imprisonment up to three months or with fine not exceeding twenty five thousand rupees and for every subsequent offence with imprisonment for a term up to six months or with fine not exceeding two hundred thousand rupees or both and the seed shall be forfeited to the Federal Government. 6. The so-called Farmers Exemption and Scientists Exemption mentioned in Draft Plant Breeders Rights(PBR) Act, 2006 has been expunged from new Draft Seed (Amendment) Act, 2006; thus nominal concession given to farmers with one hand has been withdrawn with other hand. [It may be recalled that last Section of PBR Act links PBR with Seed Act.]

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7. A relaxed system of registration for imported seed is provided in clause (c) of Section 29 of new Draft to facilitate Foreign Corporate Sector.
8. Clause (a) of Section 31 of new Draft declares that; No person

shall sell crop seeds at any place except under the terms and conditions of dealership license granted to him under this Act. 9. Section 32 of new Draft further declare that; No person shall: a) conduct seed business in Pakistan unless such person is registered to do so under section 30 or section 31of this Act. b) imports, sale, stocks or exhibit for sale, barter or otherwise supplies any seed of any variety which is not registered under this Act for cultivation in Pakistan; or c) import, sale, stocks or exhibit for sale, barter or otherwise supplies any seed of any variety deemed to be misbranded.
10. Section 34 of new Draft provides for Compensation to Farmer;

Where the seed of a registered plant variety is sold to a farmer, the producer, distributor or vendor, as the case may be shall disclose the expected performance of such kind or plant variety to the farmer under given conditions, and if, such registered seed fails to provide the expected performance under such given conditions the farmer may claim compensation from the producer, distributor or vendor.
11. Paragraph 1-9 when read together it may be concluded that the

Farmer will not have any seed rights (to save and exchange seeds), a last tool of small farmer to continue farming and help fellow small farmer in producing food for him and his children.
12. Any Farmer or Community Organization found guilty of any

effort to conserve Biological Diversity of any plant (may be a medicinal plant) or found indulged in Farmers Traditional Breeding will be liable to heavy punishment as per new Draft. Issues Related With Seed System in Pakistan
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1. Demand and Supply of Seeds: Estimated seed requirement of main crops have been provided in Table-20 however the market demand is yet not equal to real needs; although it is increasing every year. As compared to actual planting needs, the present market demand is; for cotton 90%, sunflower 100%, maize (grain-purpose) 100%, wheat 20%, rice 20%, vegetables 96%, potato 100%, sugarcane 5%, fruit nurseries 50%, flower seeds 30% and for forage seeds 30%. Whereas for other marginal crops like pulses, traditional oilseed crops, sorghum & millet (grain-purpose), castor, guar, condiments, forestry and medicinal plants; the market demand is less than 10%. The balance seed needs are met through informal seed supply system; that comprise informal seed and nursery business, cotton ginning factories, sugar mills, farmer-to-farmer seed exchanges and through on-farm seed saving. When market demand is compared with seed availability figures (Table-20), it shows that seed supplies of wheat, rice, sunflower, maize, forage and vegetable seeds are satisfactory; whereas seed supply of cotton, pulses and marginal crops is far below the market demand and certainly one of the main reasons of low productivity. It further illustrates heavy dependence on seed imports of sunflower, maize, vegetable and forage crops. The core reason for over-dependence on import of above referred seeds is lack of Hybrid Seed production technology in the country; due to long negligence of policy makers in this respect. The difference between actual planting needs and market demand of various seeds (nearby 50%), indicates on the one hand the low level of seed-awareness and on the other hand the continued confidence of farmers on farm-saved seeds. 2. Market Price of Seeds:
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The review of market prices of locally produced seeds (Table-28) show gradual increase of seed prices but that is mainly due to increase in market price of the relevant crops and some increase in production and transportation costs; rather than any monopoly impact. More than 500 local seed companies are active in domestic production and distribution of seeds using primitive technology; thus market competition is strong. However, despite the above stated fact, resource-poor farmers are unable to purchase seed from the market due to high prices of certified seeds available in the market as compared to cost of farmsaved seeds; as no specialized technology is involved in seed saving of non-hybrid crops. Whereas when we look at price comparison of imported hybrid seeds with locally produced hybrids (Table-29) or trend of increasing prices across the years (Table-18) or wide difference between import price and market price (Table-16); it becomes evident that monopoly of multinationals on production and distribution of hybrid seeds is key reason of price hikes; that will become even more manifest after promulgation of new Seed Laws; through enforcement of intellectual property rights and through new restrictions on seed-saving and exchange. 3. Impact of Seed Laws: As describe earlier in the relevant chapter, the enactment of Plant Breeders Rights Act and Seed (Amendment) Act will impose new terms and conditions on formal seed supply system and farmers traditional practices of seed saving and seed exchange. The new regime will increase the cost of seed production in the formal seed sector; mainly due to IPR cost and enhanced documentation requirements. Whereas farmers will have to face following problems: a) Farmers will have only a restricted permission of seed saving for their planting needs.

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b) Farmers will not have right to exchange seeds among fellow farmers. c) Farmers, community organizations and NGOs will not be permitted to distribute seeds of land races or farmers varieties; to promote biodiversity and sustainable production. d) Seed prices will increase tremendously with the gradual monopolization of seed business. e) Farmers will be consistent victim of litigations for involuntary contaminations of their fields with protected varieties. 4. Over-Dependence on Imported Seeds: The over-dependence of Pakistani farmers on imported seeds poses many problems in respect of sunflower, rice, maize, sorghum (fodder) and vegetable crops. The experience has shown following complications of reliance on imported seeds:
a) Heavy and rising cost of seeds; 4-5 times more than the local

production cost.
b) Monopolization of seed supplies; and consequential problems. c) Inconsistency and lack of flexibility in seed supplies in accordance

with the national needs; ensuing lack of seed security.

d) Sometimes the imported seeds are not adapted to local

environment; resulting in huge losses to the farmers. A categorical example is import of seed of sunflower hybrid Samsun-51 by M/s Rainbow Agribusiness, Karachi in he year 2005 and distribution in Badin and Thatta districts; resulting in huge yield losses.
e) Sometimes the imported seeds are not of good quality; especially

the poor germination of seeds results in reduced yields or may require re-sowing. Categorical examples of poor germination are recent import of seeds of hybrid rice by M/s Guard Seeds and distribution in Shikarpur district, and import of seeds of hybrid sorghum by M/s Pioneer Seeds and distribution in Layyah and Bhakkar districts; resulting in large scale complaints.

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5. Biotechnology and Genetically Modified (GM) Seeds: Advancement in the field of Biotechnology, in recent years, has opened new avenues for crop production and production of pharmaceuticals. Biotechnology based seed products, commonly known as Genetically Modified or Genetically Engineered seeds have come up as new solutions for protection of plants against insects, diseases, weeds and ageing; rather than directly contributing in enhancement of yields. Although it is not appropriate to oppose each new advancement in science; but Genetically Modified seeds have unique combination of hereditary material from un-related species that never occur in natural conditions; and thus have many unknown features. It is logical to assess potential risks for plant, animal and human health or ecosystem before commercialization of such unique seeds. Pakistan Government being signatory to Cartagena Protocol has assigned the function of regulating the biotechnology products to the Ministry of Environment; that has promulgated and notified Bio-safety Guidelines-2005 and Bio-safety Rules-2005 to regulate genetically modified products. Presently the Ministry of Environment do not has any technical infrastructure for multiple risk assessment involved in genetically modified products; although the Ministry has yet not cleared any genetically modified product for commercial release, despite much pressure from high-ups. Issues related with Biological Diversity and Biotechnology are new for the Ministry of Environment and it is trying to build institutional capacity to deliver in respect of the obligations under the Convention on Biological Diversity (CBD) in the national interest. As most of the advancement of applied biotechnology has proceeded in the private sector so multinationals are confident that combination of intellectual property rights and biotechnology in the field of seed industry will ultimately strengthen their monopolies in seed business; and resulting multifold profits.

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The Status of Biotechnology and Biosafety Regulation in Pakistan is provided as Annex-VII; that show a weak position of Pakistan in this respect. Whereas to have a birds eye view of international and Pakistans status in respect of food laws, the Brief on Ad Hoc Intergovernmental Task Force on Food Derived from Biotechnology is provided as Annex-VIII; that illustrate the complicity and sensitivity of the issue. While human society still interlocked with multiple issues related to commercialization of biotech products, especially genetically modified organisms; the science has jumped to even more complex technology Nanotechnology- that combines extreme forms of genetic engineering, computer programming and molecular physics at nano-scale (molecular level). Over the next two decades, the impacts of nanotechnology on farmers and food will exceed that of farm mechanization or of the Green Revolution; that could reinvigorate the battered agrochemical and agbiotech industries, igniting a still more intense debate this time over atomically-modified seeds and foods. No government has developed a regulatory regime that addresses the environmental or societal impacts of the nanotechnology. A handful of food and nutrition products containing invisible, unlabeled and unregulated nano-scale additives are already commercially available. Likewise, a number of pesticides formulated at the nanoscale are on the market and have been released in the environment. Oak Ridge National Lab of US Department of Energy has already developed nanotechnology based techniques for genetic engineering; that involves use of nano-fibers instead of using traditional controversial techniques; and Atomically-Modified seeds will be ready for commercialization within couple of years. Nanotech Seeds will have far deeper and powerful impact on environment and will entirely change the culture of crop production, especially in respect of industrial crops like cotton, coffee, rubber, sugarcane, sugar-beet etc; and production of pharmaceutical products through pharming.

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6. Indigenous Research and Institution Building: Seed is basic technology that sets the potential of plant growth and crop yields; and other inputs and environmental factors contribute in materializing this potential. Level of seed technology available to the common farmers and security of seed supplies predetermine the level of food security and national agricultural production. Therefore indigenous research and institution building has tremendous role to play in this respect. As a matter of common knowledge the Corporate Sector is interested only in such Technology Research and such Technology Business and support such Business Policies that pay back in terms of big corporate profits; and seed business is no exemption. Naturally their focus is rich farmer who has fertile land and capable of providing optimum inputs to benefit from the costly seed-technology. So it is the obligation of the National Government to take care of the resource-poor small farmers living on marginal lands; and of over-all national production for food security and sustainable agriculture; through policy options and policy interventions. Such national objectives could not be materialized without public-sector institution building; and without facilitating capacity enhancement of domestic seed industry. From the viewpoint of indigenous research for development of new varieties and new production technologies and development of sound seed system; the Agriculture and other National Universities as well as Federal Research Systems like PARC, PCCC and Agriculture Research Institutes of PAEC were supposed to conduct basic research, conserve elite genetic resources, generate novel genetic materials (including biotech products) and evaluate and screen new varieties to facilitate applied and more practical research by Provincial Research Systems. Whereas Federal regulatory departments like FSC&RD and Department of Plant Protection were expected to regulate quality of seed products and facilitate related services for development of healthy seed industry. However despite huge annual investment on Federal system of research, regulation and services, very little is coming out to facilitate
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Provincial Research Systems which are further constrained by nonavailability of operational funds and ever-increasing political interference. Presently the whole agricultural research system in Pakistan is atomized and isolated; and technologies and materials produced by one institute is not readily available as public goods for further research and development by other research institutes or indigenous private sector; that has further paralyzed the research activities in the country which are already at minimal level. Similarly none of the services offered by Federal Organizations or Universities is accredited or conducive to development of seed industry in private sector. The situation requires policy intervention and there is dire need for restructuring of the whole research and seed system with clear objectives of accelerated development of public goods in terms of advanced technologies, new materials and accredited services for fast growth of seed industry in the country to cater needs of both the resourceful and resource-poor farmers; for sustainable agricultural production. 7. TRIPS and Biodiversity Considerations: Although, as already explained elsewhere, TRIPS and Biodiversity Conservation have certain inherent contradictions but situation in Pakistan is further confused due to below given situation. Presently Federal Ministry of Food, Agriculture and Livestock (MINFAL) is taking care of the variety development and seed system including protection of intellectual property rights related with plant varieties; whereas Federal Ministry of Environment is involved in controlling the environmental pollutions and conservation of biodiversity. The dilemma is that the biodiversity is more related with food and agricultural systems and with sustaining of livelihood which is subject of MINFAL and for which the Ministry of Environment has least institutional capacity to embark on. Therefore only a strong institutional linkage among both the above referred ministries is needed to properly handle diverse issues related with conservation and sustainable utilization of biological diversity.
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Besides the above stated complication, the true economic and social significance of biodiversity for sustainable food and agricultural production and its potential for rural development through non-wood forestry production (including medicinal plants) is not appropriately conceived by MINFAL. Both the above given factors have resulted in immense perplexity; lack of thrust for any national legislation for conservation and enrichment of biological diversity or for protecting national / community rights on domestic genetic resources by the Ministry of Environment; and promulgation of seed laws in total negation of objectives of biodiversity conservation by the MINFAL. Although some efforts have been made by certain institutions for documentation of information on Flora of Pakistan and genetic diversity mostly with the active involvement of Foreign Governments and Foundations; mainly interested in information and collection of available biodiversity for their own appropriation, rather than conservation of biodiversity in Pakistan; because India refused to allow such mysterious Foreign Funded Projects to explore biodiversity in their country. However there is no comprehensive national program for conservation and sustainable utilization of national biodiversity in the best national interests and to promote rural development through it. It is apprehended that such alarming situation will result in rapid degradation of biodiversity, bio-prospecting and biopiracy by the Multinational Corporations at the expense of huge national economic losses and deprivation of rural populations from the potential benefits arising from the sustainable utilization of biodiversity. Appropriate conception and awareness of immense economic and social value of conservation and sustainable utilization of national biodiversity among the civil society and general masses; and accordingly active involvement may convince the policy makers to take proper measures for altering the scenario in favor of national development.

66

Conclusion Remarks and Policy Suggestions

1. Formal seed sector provides only small portion of traditional

seeds of wheat, rice, and other cereal crops, pulses, rape & mustard, forage crops, sugarcane and many of the marginal crops; and farmers meet the planting needs through farm-saved seeds. Legal and institutional support to farmers in improving seed-saving practices will significantly increase income of small farmers and enhance national yields. 2. All restrictions on farmers traditional seed saving and seed exchange practices should be removed to facilitate rapid dissemination of new technologies.
3. Legal and institutional restructuring for appropriate quality

regulation of imported seeds and seeds distributed by formal sector will certainly increase production of Certified Seeds and boost up local seed industry. Only certified seed of registered varieties should be allowed for domestic marketing and for imports.
4. Except for major crops of economic importance, seed business

of all other species should be de-regulated to provide space for promotion of biodiversity and for making the seed regulatory services more focused and effective.
5. Farmers Organizations, NGOs and Community Organizations

may be encouraged and assisted to manage local seed production and distribution of registered varieties for specific zones, not covered by the formal seed sector; like rain-fed areas, arid-zones, areas depending exclusively on flood water, Dobari-areas and remote-backward areas. The above referred organizations may also be encouraged to distribute seeds of land-races and farmers varieties to cater needs of niche markets.
6. Over-dependence on imports of Hybrid Seeds and even of

Open-Pollinated seeds (like Berseem, Tomato and Okra etc) is creating many problems and is risk for Seed Security and
67

Food Security. The situation can be changed easily if policy intervention is made to encourage development of Hybrid Seed Technologies and local production of such seeds.
7. New technologies and elite genetic materials including biotech

products developed by one research institute should be made available to all other research institutes and domestic private sector for accelerated pace of variety development; through policy intervention. There is no other way for making break through in production of hybrids and high-tech seeds.
8. Import price as well as retail price of imported hybrid seeds are

far above the production cost; and are good example of price hikes under monopoly controlled production and marketing system. A fast track approach is needed to introduce and commercialize domestic production of hybrid seeds; to ensure seed security and food security. 9. Upcoming Seed Laws, Plant Breeders Rights Act and Seed (Amendment) Act, may be revisited to harmonize them with the needs of small farmers, objectives of sustainable agricultural production, conservation of valuable biodiversity and with national rights on genetic resources; and let the farmers and the nation not bear huge future losses due to bad laws. 10. Use of biotechnology for improvement of seeds is necessary to sustain competitiveness in domestic and international markets; but it should not be on the cost of human, animal and plant health and multiple damages to the environment. Ministry of Environment should expedite institution building process for swift and transparent evaluation of genetically modified seeds.
11. The key to resolve multidimensional issues is bold steps for

complete restructuring and upgrading of present institutions (that are gradually decaying) and development of high-tech and accredited institutions in respect of research, regulation and services related with seed industry and business.

68

REFERENCES
1. Ali Imran, Professor and Ali Muhammad Syed; A NOTE ON THE

SEED BUSINESS IN PAKISTAN, 2004; published by Lahore University of Management Sciences (LUMS). 2. Convention on Biological Diversity (CBD) at www.biodiv.org 3. Food and Agriculture Organization (FAO) of United Nations at www.fao.org 4. Hussain, S. A. and Bhutta, A. R; Seed Industry of Pakistan, 2002: published by Federal Seed Certification & Registration Department, Islamabad. 5. Federal Seed Certification & Registration Department, Government of Pakistan: National Directory of Seed Companies, 2005. 6. Federal Seed Certification & Registration Department, Government of Pakistan: Various Progress Reports. 7. Federal Seed Certification & Registration Department, Government of Pakistan: Official Website at www.pakistanseeds.gov.pk 8. Ministry of Finance, Government of Pakistan: Economic Survey of Pakistan, 2006. 9. Ministry of Finance, Government of Pakistan: Policy Matrix of ASPLII, Finance Ministers Policy Development letter no. 4898-FM/2001 dated November 16, 2001. 10. Ministry of Food, Agriculture & Livestock, Government of Pakistan: Agricultural Statistics of Pakistan, 2002-03. 11. Ministry of Food, Agriculture & Livestock, Government of Pakistan: Agricultural Statistics of Pakistan, 2003-04. 12. Pakistan Agriculture Research Council: Official Website at www.parc.gov.pk 13. Punjab Seed Corporation, Lahore: Various Progress Reports. 14. World Bank: Intellectual property rights: designing regimes to support plant breeding in developing countries, 2006. 15. World Bank: Intellectual property rights for plant breeding and rural development: challenges for agricultural policy-makers, 2006. 16. World Bank: Intellectual property rights in the breeding industry: farmers' interests, 2006. 17. World Bank: Public research in plant breeding and intellectual property rights: a call for new institutional policies, 2006. 18. World Trade Organization: Agreement on Trade Related Aspects of Intellectual Property Rights (TRIPS). 19. World Trade Organization: Document no. WT/MIN(01)/DEC/1, 20 November, 2001.
69

Annex-I

Pakistan: Food Import and Export (2003-04)

Quantity Value Remarks 000MT M Rs Rice Basmati 816.3 24284.2 Export Other 1006.4 12250.5 Export Total 1822.7 36534.7 Export Horticultural Fruits 354.4 5912.7 Export products Vegetables 162.5 1478.5 Export Juices 10.3 323.7 Export Legumes 102.1 1923.7 Export Flowers 0.2 10.1 Export Total 629.5 9648.7 Export Wheat Grain 42.9 347.0 Export Flour 291.8 2486.6 Export Total 334.7 2833.6 Export Spices/Chili 15.5 1100.4 Export Nuts/kernels 19.4 645.6 Export Export G. Total 2821.8 5076.3 Edible oils Soybean 80.8 2622.8 Import Palm oil 1280.0 35294.4 Import Total 1360.8 37917.2 Import Milk/products 9.34 682.162 Import Wheat 108.0 1355.1 Import Pulses 261.4 4312.2 Import Dry Fruits 66.1 1055.3 Import Sugar refined 11.4 188.5 Import Spices 72.0 2348.7 Import Oilseeds 183.6 3508.0 Import Import G. Total 51367.16 Net Food Balance -46290.86 +449.16 Import of seed 14.834 2537 Source: Agricultural Statistics of Pakistan (2003-04) Published by Federal Ministry of Food, Agriculture & Livestock. Crop Category

70

Annex-II

Agriculture Research Institutes in Pakistan

Federal Institutes
A: Pakistan Agricultural Research Council (PARC), P.O. Box 1031, G-5/1, Islamabad. Tel: ++92-51-9203071-75; Fax: ++92-51-9202968; E-mail: siu@dsinarc.isb.sdnpk.org ; Website: http://www.parc.gov. pk
1.

National Agricultural Research Center (NARC), P.O. Box 131, Park Road, Islamabad 44000. Tel: ++92-51-9255012; Fax: ++92-51-9255034; E-mail: mail@dg-narc.sdnpk.undp.org ; Website: http://www.parc. Gov. pk

Research Setups at NARC 1 2. 3. 4. Animal Sciences Institute Crop Sciences Institute Farm Machinery Institute Horticultural Research Institute Institute of Plant & Environmental 5. Protection Institute of Agri. Biotechnology & 6. Genetic Resources Institute of Natural Resources & 7. Environmental Sciences 8. Social Sciences Institute 9. Training Institute 10. Technology Transfer Institute 11. Water Resources Research Institute 12 Scientific Information
2. 3.

Southern Agriculture Research Center (SARC), Karachi Arid Zone Research Center (AZRC), Brewery Road, P.O. Box. 63, Quetta 87300; Tel: ++ 92-81-853620; Fax: ++92-81-853620; E-mail:
aridzone@agric.qta.sdnpk.org

4. 5. 6. 7. 8.

Technology Transfer Institute (TTI), Tando Jam Sugar Crops Research Institute (SRI), Makli, Thatta, Tel: 092-29770524, 770267 National Tea Research Institute (NTRI), Shinkiari, Mansehra. Tel: 092987-7125 & 7525 Himalayan Agricultural Research Institute (HARI), Kaghan Karakoram Agricultural Research Institute for Northern Areas, (KARINA), Gilgit

71

B. Pakistan Atomic Energy Commission, Islamabad: 6. Nuclear Institute of Agricultural (NIA), Tando Jam 7. Nuclear Institute for Agriculture and Biology (NIAB), P.O. Box 128, Jhang Road, Faisalabad; niab@fsd.paknet.com.pk 8. Nuclear Institute for Biology and Genetic Engineering (NIBGE), Faisalabad 9. Nuclear Institute for Food and Agriculture (NIFA), Peshawar C. Pakistan Central Cotton Committee, Karachi. Tel: ++92-21-5684106, 5684115
1.

Central Cotton Research Institute, P.O. Box 572, Shujabad Road, Multan; Tel: ++ 92-61-545361,71; Fax: ++92-61-543245; E-mail:
ccri@mul.paknet.com

Central Cotton Research Institute, Sakrand, District Nawab Shah 3. Cotton Standards Institute, Karachi
2.

Provincial Research System in Punjab: Under Directorate General of Ayub Agriculture Research Institute (AARI), Faisalabad
1. 2. 3. 4. 5. 6. 7. 8. 9. 10. 11. 12. 13.

Wheat Research Institute, Faisalabad Cotton Research Institute, Faisalabad Sugarcane Research Institute, Faisalabad Vegetable Research Institute, Faisalabad Oilseeds Research Institute, Faisalabad Pulses Research Institute, Faisalabad Horticulture Research Institute, Faisalabad Maize & Millet Research Institute, Yousaf-wala, Sahiwal Fodder Research Institute, Sargodha Rice Research Institute, Kala Shah Kaku Barani Research Institute, Chakwal Regional Research Institute, Bahawalpur Arid Zone Research Institute, Bhakkar

Provincial Research System in Sindh: Under Directorate General of Agriculture Research Sindh, Tando Jam 1. 2. 3. 4. 5. Agricultural Research Institute, Tando Jam Wheat Research Institute, Sakrand Rice Research Institute, Dokri Sindh Horticultural Research Institute, Mirpur Khas Qaid-e-Awam Agricultural Research Institute, Larkana

72

Provincial Research System in NWFP: Under Directorate General Agriculture Research System, Agriculture University, Peshawar 1. Agricultural Research Institute, Tarnab, Peshawar 2. Agricultural Research Institute, D. I. Khan 3. Cereal Crop Research Institute, Pirsabak, Nowshera Provincial Research System of Balochistan:
1.

Agricultural Research Institute, Sariab, Quetta

[Source: Edited from various websites of CGIAR, Federal & Provincial Governments, MINFAL, PARC and Universities]

73

Annex-III
Format of Feasibility Report for Registration of Companies to do Seed Business
1. Introduction: A brief on agriculture with relevance to crop

production and status of seed industry in Pakistan.

2. Objectives: The aim and objectives of the company for seed

multiplication, production target and seed distribution.

3. Number of Seed Crops to be handled: Description of seed crops

which are intended for seed multiplication and production etc.

4. Seed Production Program: Arrangements for seed production

whether on self-owned seed farms or through contract growers.

5. Phasing of Seed Production Program: Five year phasing of seed

production program starting from basic to certified seed.

6. Arrangements for Production of Basic & Certified Seed:

Arrangements for getting basic seed; indicate source and attach a consent letter from the concerned agency for the provision of basic seed in the desired quantity.
7. Staff to be Appointed: List of technical, administrative, marketing

and other supporting staff. The qualification and salary of each staff should be indicated.
8. Agriculture Graduates: At least two agriculture graduates having

M. Sc. Degree must be associated with the seed company and must be on staff strength of the company. Attested copies of M. Sc. Degree must be submitted with other documents in the Feasibility Report.
9. Seed Certification Arrangements: Whether the seed company

wants to establish its own internal arrangements for seed testing laboratory or facilities of Federal Seed Certification & Registration Department will be utilized.
10. Seed Processing Facilities: Arrangements to be made for seed

processing, storage and construction of civil works etc. the arrangements made for this purpose must be on stamp paper, signed by both the parties and attested by the legal authority.
74

11. Capital Cost: Requirement of capital cost on purchase of

machinery, processing plant, laboratory equipment, transport, furniture and construction of buildings etc in detail.
12. Expenditure Statement: Five year phasing of expenditure

statement including capital costs and its depreciation, seed purchase and production cost, salaries of staff and any other incidental expenditure etc.
13. Income Statement: Five year phasing of expected income from the

seed and any other income so derived from the seed program.
14. Profit and Loss Account Statement: Five year phasing of Profit

and Loss Account Statement.

15. Registration with Registrar of Companies: Registration of seed

company in the office of the Registrar of Firms and attach a copy of Acknowledgement of Company Registration with the proposal.
16. Partnership Deed: Preparation of Partnership Deed to be submitted

to the office of the Registrar of Firms. A copy of the same must also be attached with the proposal.
17. Arrangement with the Growers: Agreement with contracted

growers along with copies of their NICs with whom the seed production program is going to be organized must be attached with the proposal. This agreement must be on stamp paper, signed by the growers as well as company manager and attested by legal authority.
18. Registered Growers: Growers registered with one Seed Company

will not be allowed to register with other company.

19. Copy of NICs of Chief Executive and Partners: Copy of NICs of

Chief Executive and all Partners of the proposed seed company must be attached with the proposal.
20. Specimen Signatures: Specimen signatures of Chief Executive and

all Partners of the company must be attached with the proposal.

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21. Bank Statement: Bank statement or letter from bank authority

indicating account number and worth of company may also be attached with the proposal.
22. Seed Marketing: Tentative network of seed marketing along with

seed brand name mentioned in the feasibility report may also be explained in the proposal.
23. Attestation of Documents: Copies of all certificates / agreements

must be attested by the legal authority / notary public. ******* [Source: Federal Seed Certification & Registration Department]

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Annex-IV
DIAGRAM SHOWING COMPONENTS OF VARIETY DEVELOPMENT, EVALUATION AND RELEASE

VARIETY EVALUATION
PARC GERMPLASM ALL CROPS PCCC GERMPLASM COTTON

BREEDER MAKES CROSSES SELECTS PROMISING STRAIN

SUB-STATIONS ENLIGHTENED FARMERS

MICRO VARIETAL TRIALS ZONAL VARIETAL TRIALS SELECTS PROMISING STRAIN

BREE. STATIONS GOVT. FARMS

2 Years

SUBMITS

2 Year

PARC VCU

PCCC VCU PROVINCIAL SEED COUNCIL APPROVAL NATIONAL SEED COUNCIL

FSC&RD DUS

FSRC

FSC&RD

VCU: Value for Cultivation and Use DUS: Distinctness, Uniformity, Stability FSRC: Federal Seed Registration Committee

77

Annex-V Seed Procurement and Distribution during 1993-94 to 1999-2000 Table-A: Seed Procurement and Distribution in 1993-94

Table-B: Seed Procurement and Distribution in 1994-95

78

Table-C: Seed Procurement and Distribution in 1995-96

79

Table-D: Seed Procurement and Distribution in 1996-97

Table-E: Seed Procurement and Distribution in 1997-98

80

Table-F: Seed Procurement and Distribution in 1998-99

81

Table-G: Seed Procurement and Distribution in 1999-2000

82

Table-H: Total Seed Requirement & Distribution Targets during 1999-2000

[Source: Seed Industry of Pakistan by Hussain, S. A. and Bhutta, A. R. 2002; Published by Federal Seed Certification and Registration Department]

83

Table-I: Summary of Seed Procurement and Distribution from 199394 to 1999-2000

84

Annex-VI Import of Vegetable Seeds during 1996-97 to 1999-2000 Table-A: Summary of Vegetable Seed Imports for 1996-97 to 1999-2000

85

Table-B: Vegetable Seed Imports during 1998-99

86

Table-C: Vegetable Seed Imports during 1999-2000

[Source: Seed Industry of Pakistan by Hussain, S. A. and Bhutta, A. R. 2002; Published by Federal Seed Certification and Registration Department]

87

Annex-VII Status of Biotechnology and Biosafety Regulation in Pakistan 1. Pakistan has made significant progress in the field of Biotechnology and following research institutions are prominent among others in advance research work: National Institute of Biotechnology and Genetic Engineering (NIBGE), Faisalabad. Center for Excellence in Molecular Biology (CEMB), Lahore. Agriculture Biotechnology Institute (ABI) NARC, Islamabad. 2. CEMB, NIBGE and Cotton Research Institute, Multan have developed Genetically Engineered lines of cotton and rice crops but the cultivars have yet not been released for commercial production.
3. Pakistan is party to the Convention on Biological Diversity

(CBD) established by United Nations Environment Program (UNEP). 4. Pakistan is also party to the Cartagena Protocol on Biosafety (CPB) developed by CBD which calls upon the parties to establish or maintain means to regulate, manage or control risks associated with the use and release of Living Modified Organisms resulting from Biotechnology which are likely to have adverse effects on conservation of Biological Diversity and risks to human, animal and plant health.
5. Government of Pakistan has declared Ministry of Environment

as Focal Ministry to deal with matters related with CBD and CPB and constituted a National Biosafety Committee with the mandate to prepare Guidelines in Genetic Engineering and Biotechnology which are still under consideration with the Ministry of Environment. 6. Ministry of Environment has recently notified Biosafety Rules, 2005 according to which National Biosafety Committee (NBC) will be the apex body to decide on issues of biosafety. NBC will be assisted by Technical Advisory Committee (TAC) whereas Institutional Biosafety Committee (IBC) will implement Biosafety Rules at institute level.
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7. Matters related with Biosafety in relation to Biotechnology have to be addressed under following International Agreements: a) Cartagena Protocol on Biosafety (CPB) adopted by UN Convention on Biological Diversity (CBD). b) Agreement on the Application of Sanitary and Phytosanitary Measures (SPS) of WTO. c) Agreement on Technical Barriers to Trade (TBT) of WTO. d) Obligations under United Nations Resolution 39/248 (1985) linked with Codex Commission established by Food and Agriculture Organization (FAO) and World Health Organization (WHO). 8. Status of Biosafety Regulation in Pakistan:
a) Guidelines in Genetic Engineering and Biotechnologyb)

c)

d) e)

f)

g)

h)

2005 have been notified by the Ministry of Environment. National Biosafety Committee and Technical Advisory Committee have been notified by the Ministry of Environment. Biosafety Rules, 2005 and Biosafety Guidelines, 2005 do not have appropriate enforcement strength which can be imparted through promulgation of Biosafety Act. Neither Biosafety Rules, 2005 nor Biosafety Guidelines, 2005 provide for any mechanism of Risk Assessment. National Codex Committee has yet to be notified by Ministry of Health to review Food Laws and to address Biosafety issues related with Food Products. Quarantine Laws have to be updated by Ministry of Food, Agriculture and Livestock in line with requirements of Cartagena Protocol on Biosafety (CPB). Traceability Rules have yet to be notified by MINFAL / Ministry of Health to enable targeted and accurate withdrawals of products in the food or seed chain in the event of a Biosafety crisis. Enforcement Authority and Technical Infrastructure to implement recommendations of the Conference of the Parties to the Convention serving as the meeting of the Parties to the Cartagena Protocol on Biosafety (COPMOP) has yet to be put in place.

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Brief: Ad Hoc Intergovernmental Task Force on Food Derived from Biotechnology 1. AGREEMENT ON THE APPLICATION OF SANITARY AND PHYTOSANITARY MEASURES (SPS) is component of WTO package of agreements.

Annex-VIII

2. Sanitary or phytosanitary measures which conform to international standards, guidelines or recommendations shall be deemed to be necessary to protect human, animal or plant life or health, and presumed to be consistent with the relevant provisions of this Agreement and of GATT 1994 (Paragraph 2 of Article 3 of SPS). 3. Members shall play a full part, within the limits of their resources, in the relevant international organizations and their subsidiary bodies, in particular the Codex Alimentarius Commission, the International Office of Epizootics, and the international and regional organizations operating within the framework of the International Plant Protection Convention, to promote within these organizations the development and periodic review of standards, guidelines and recommendations with respect to all aspects of sanitary and phytosanitary measures (Paragraph 4 of Article 3 of SPS). 4. The Committee on Sanitary and Phytosanitary Measures provided for in paragraphs 1 and 4 of Article 12 (referred to in this Agreement as the "Committee") shall develop a procedure to monitor the process of international harmonization and coordinate efforts in this regard with the relevant international organizations (Paragraph 4 of Article 3 of SPS). 5. Agreement on Technical Barriers to Trade (TBT) also encourages the international harmonization of food standards. 6. The Codex Alimentarius, or the food code, has become the seminal global reference point for consumers, food producers and processors, national food control agencies and the international food trade.

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7. The significance of the food code for consumer health protection was underscored in 1985 by the United Nations Resolution 39/248, whereby guidelines were adopted for use in the elaboration and reinforcement of consumer protection policies. The guidelines advise that "Governments should take into account the need of all consumers for food security and should support and, as far as possible, adopt standards from the ... Codex Alimentarius" of FAO and the World Health Organization. 8. Codex Alimentarius Commission is responsible for compiling the standards, codes of practice, guidelines and recommendations that constitute the Codex Alimentarius. 9. The Eleventh Session of the Conference of FAO in 1961 and the Sixteenth World Health Assembly in 1963 both passed resolutions to establish the Codex Alimentarius Commission. The two bodies also adopted the Statutes and Rules of Procedure for the Commission. 10. To facilitate continuous contact with member countries, the Commission, in collaboration with national governments, has established country Codex Contact Points and many member countries have National Codex Committees to coordinate activities nationally. 11. The legal base for the Commission's operations and the procedures it is required to follow are published in the Codex Alimentarius - procedural manual, currently in its tenth edition. Like all other aspects of the Commission's work, the procedures for preparing standards are well defined, open and transparent. 12. A "Format for Codex Commodity Standards and their Content" is provided by the General Principles of the Codex Alimentarius. It includes the following categories of information: Scope - including the name of the standard; Description, essential composition and quality factors - defining the minimum standard for the food; Food additives - only those cleared by FAO and WHO may be used; Contaminants; Hygiene and weights and measures; Labeling - in accordance with the Codex General Standard for the Labeling of Prepackaged Foods; Methods of analysis and sampling.

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13. In addition to commodity standards, the Codex Alimentarius includes general standards, which have across-the-board application to all foods and are not product-specific. There are general standards or recommendations for: Food labeling; Food additives; Contaminants; Method of analysis and sampling; Food hygiene; Nutrition and foods for special dietary uses; Food import and export inspection and certification systems; Residues of veterinary drugs in foods; Pesticide residues in foods. 14. Current list of Official Standards adopted by Codex Alimentarius Commission contain following three documents developed by Codex Alimentarius Ad Hoc Task Force on Biotechnology: CAC/GL-44 (2003): Principles for the Risk Analysis of Foods Derived from Modern Biotechnology. CAC/GL-45 (2003): Guidelines for the Conduct of Food Safety Assessment of Foods Derived from Recombinant DNA Plants. CAC/GL-46 (2003): Guidelines for the Conduct of Food Safety Assessment of Foods Produced Using Recombinant DNA Micro-organisms.

15. Ad Hoc Inter-governmental Task Force on Foods Derived from Biotechnology has been re-established by Codex Alimentarius Commission with following terms of reference: a) To elaborate standards, guidelines, or other principles, as appropriate, for foods derived from biotechnology; b) To coordinate and closely collaborate, as necessary, with appropriate Codex Committees within their mandate as relates to foods derived from biotechnology; and c) To take full account of existing work carried out by national authorities, FAO, WHO, other international organizations and other relevant international fora.

92

16. Work of the Task Force is mainly focused on the safety assessment of foods derived from modern biotechnology including transgenic animals, plants and microbes and partially related with labeling and environment issues in collaboration with appropriate Codex Committees. 17. Pakistan: Prevailing Food Laws at Federal, Provincial or Cantonment level do not touch the issues of food contamination with GMO ingredients or any labeling requirement for foods derived from Genetically Modified Organisms. Laws related with import regulation do not address the issue of foods derived from modern biotechnology. 18. Following Food Laws are in vogue in the country which need revision and harmonization with Codex Standards: West Pakistan Pure Food Ordinance, 1960 Pure Food Rules, 1965 Cantonments Pure Food Act, 1966 Cantonments Pure Food Rules, 19677 Milk Boards Ordinance, 1963 Agriculture Produce (Grading and Marketing) Act,1937 Agriculture Produce (Grading and Marketing) (Amendment) Act,1972 Animal Hair (Grading and Marketing) Rules, 1961 Egg Grading and Marketing Rules, 1938 Creamery Butter Grading and Marketing Rules, 1941

19. Although facilities exist in Pakistan to determine presence / absence of GMO ingredients in foods but such facility can be used only to cater requirements of foreign consumer markets. 20. Biosafety Rules, 2005 (notified) or Biosafety Guidelines, 2005 (notified) do not provide any protocol, procedure, mechanism or infra-structure to assess impact of any GMO on human life / health. 21. There is no facility under MINFAL, Ministry of Environment, MOST, Ministry of Health or PAEC which is working on risk assessment of GMO derived foods on human health. Even protocols for such assessment are yet to be developed.

93

22. It is appropriate to suggest that Medical Professionals, having experience in safety assessment of new drugs, in collaboration with Biotechnologist can be in a better position to take any initiative in this respect. 23. In this context Pakistan may take its position in Ad Hoc Intergovernmental Task Force on Foods Derived from Biotechnology considering following aspects of the issue: Pakistan has nominal capacity for safety assessment operations related with human health hence regional level approach may be promoted in this respect through FAO/WHO Coordinating Committee for Asia. Lot of research work is being done on safety assessment by foreign national, international, inter-governmental, corporate and NGO establishments. It will be useful for Pakistan if access to research findings in this respect is ensured and facilitated. As no international protocol for GMO derived novel proteins, toxins, anti-nutrients and allergens exist hence labeling of GMO derived products may be insisted for ensuring Traceability. Risk assessment for human health is not an abstract notion and may be linked with environmental, social and ethical aspects to have a whole picture of GMO business and implications of intentional release in the environment. To have effective say in the Task Force, a joint Asian Stand may be worked out through mutual consultation.

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Annex-IX Legal Instruments (Rules) Required for Effective Implementation of Seed Act 1976 1. Section 2 (a) approved seed: Terms, Rules and Standards. 2. Section 2 (b) basic seed: Terms, Rules and Standards. 3. Section 2 (c) certified seed: Terms, Rules and Standards. 4. Section 2 (i) pre-basic seed: Terms, Rules and Standards 5. Section 2 (d): Notification of FSC&&RD to function as FSCA under Section 5. 6. Section 2 (e): Notification of FSC&&RD to function as NRA under Section 7. 7. Section 2 (g): Notification of varieties and species under Section 10. 8. Section 2 (h): Notification of procedures for post control trial. 9. Section 2 (k): Notification of establishment of Provincial Seed Councils under Section 9. 10. Section 2 (l): Notification of registered varieties under Section 8. 11. Section 2 (m): Registration of registered growers under Section 12. 12. Section 2 (n): Released Variety; approved by Provincial Seed Council and notified by Federal Government under Section 10. 13. Section 2 (p): Seed: seed or planting material of Food Crops, Cotton and Fodder Crops. [Excluded are Flowers/Ornamentals, Forest Plants, Medicinal Plants, Fiber Crops other than cotton and Gum/Resin Plants. 14. Section 2 (q): Notification of Seed Analysts under Section 17. 15. Section 2 (r): Notification of Seed Certification Officers under Section 18. 16. Section 2 (s): Notification of Seed Inspectors under Section 19. 17. Section 4: NSC will approve and sanction seed standards, regulate inter-provincial seed movement and advise on import of seeds. 18. Section 6: FSCA will control quality of seeds, registration of growers, certification of seeds and conduct post control trials. Notified Rules for all 4 categories. 19. Section 8: NRA will conduct pre-registration checking of varieties for suitability for registration, botanical description and

95

adaptability, register varieties and publish list of registered varieties. 20. Notification of Seed Standards under Section 10. 21. Notification of particulars of mark and label under Section 10. 22. Prescribed application forms for application and issue of certificate under Section 13. 23. Prescribed rules for the effective period of certification under Section 14. 24. Notification of Appellate Authority under Section 16. 25. Prescribed forms for Seed Inspector under Section 20 & 21. 26. Prescribed forms for Seed Analyst under Section 22. 27. Prescribed rules for disposal of forfeited seed stocks under Section 24. 28. Authorization by FSCA to file complaint in the court under Section 25 (2). 29. Notification of delegation of powers under section 28. 30. Any SRO issued under Section 29. Note: Ministry of Food, Agriculture and Livestock, Government of Pakistan has notified legal instruments to meet requirements indicated above; however there are legal deficiencies in following respects;
A. Rules for induction of private sector in seed business and seed

research have yet to be notified. B. Official Test Guidelines and Plant Descriptors for DUS Trials in respect of variety registration have yet to be notified. C. Official Test Guidelines in respect of trials to ascertain variety adaptability or genetic suitability have yet to be notified. D. Standards for certification of fruit plant and vegetable nurseries have yet to be notified. E. Notifications of registered / released varieties are sparse and need to be updated. F. Detailed procedure / manual for working of field inspection and seed testing labs have yet to be notified. G. Legal requirements for seed processing and seed marketing have yet to be notified.
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Annex-IX PLANT BREEDERS RIGHTS ACT

An Act to provide an effective intellectual property right system, for granting intellectual property rights to Plant Breeders for the development of new plant varieties. AND WHEREAS the establishment of a viable seed industry is critical to the development of agriculture in Pakistan which will ensure the availability of high quality seeds and planting material to the farmers; AND WHEREAS it is expedient to make provision to provide exemptions to farmers, scientist, researchers, institutes and universities to regulate the plant varieties and for matters connected there with; AND WHEREAS, to give effect sub-paragraph (b) of paragraph 3 of article 27 in Part II of the Agreement on Trade Related Aspects of Intellectual Property Rights which the Government of Pakistan has ratified, relating to protection of new plant varieties; AND WHEREAS the Provincial Assemblies of the Punjab, the North-West Frontier Province and Baluchistan have passed resolutions under Article 144 of the Constitution of the Islamic Republic of Pakistan to the effect that Parliament may by law enact the legislation on plant breeders rights and matter connected therewith; It is therefore hereby enacted as follows:CHAPTER I

Preliminary

1.
a) b)

Short title, extent and commencement:

This Act may be called the Plant Breeders Rights Act. It extends to the whole of Pakistan. c) It shall come into force immediately after the rules under this Act have been cleared and notified by Federal Government.

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2.

Definitions In this Act; unless there is anything repugnant to the subject or context: (a) Applicant means any natural or legal person who has filed an application for the grant of Plant Breeders Rights under this Act. (b) "Breeder means a natural or legal person, an institution, a farmer or an organization, which has bred or discovered or developed a new plant variety. (c) Commercial means a business activity related to the production, processing or merchandising seeds or propagating material including sale, distribution or resale for the purpose of making profit. (d) "Committee" means the Plant Variety Protection Advisory Committee established under section 10 of this Act. (e) Certificate means the certificate of protection issued (with regards to an essentially derived variety) under section 23(7) or (with regards to a new plant variety) under section 24 of this Act. (f) "Chairman" means the Chairman of the Advisory Committee appointed under section 10 of this Act. (g) Essentially Derived Variety, means a variety derived from a protected variety, where the protected variety is not itself an essentially derived variety, while it retains the expression of essential characteristics that results from the genotype or combination of genotype of the initial variety. i. It is clearly distinguishable from such initial variety and ii. Conforms (except for the differences, which result from the act of derivation) to such initial variety in the expression of the essential characteristics that result from the genotype or combination of genotypes of such initial variety. (h) Farmer means any legal or natural person who cultivates crops either through cultivating land himself or through a person(s) employed for the purpose. (i) Fee means fee for specific service rendered by the Registry as provided in the schedule notified under this Act; (j) Genetically Modified Organisms (GMOs) means plant varieties which have been bred by genetic engineering involving molecular techniques that modify, recombine and transfer genes or segments of genetic material. This includes recombinant deoxyribonucleic acid (DNA) techniques that transfer genes or segments of genetic material between genotype. (Species that have no probability of exchanging genes in nature). This term shall also apply to plant varieties derived from a living modified organism. (k) Hybrid means a plant that is combination of two or more genotypes of the same or different taxa but excluding a combination comprising a scion grafted on to a rootstock. (l) National Biosafety Committee means the committee constituted by the Federal Government to this effect. (m)Plant means a living organism classified in Kingdom Plantae.

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(n) Plant Variety means a plant grouping within a single botanical taxon of the lowest known rank, which grouping, irrespective of whether the conditions for the grant of a new plant varieties are fully met, can be; i. defined by the expression of the characteristics resulting from a given genotype or combination of genotypes. ii. distinguished from any other plant grouping by the expression of at least one of the said characteristics, and iii. considered as a unit with regard to its suitability of the plant grouping for being propagated unchanged. (o) "Prescribed" means prescribed by rules made under this Act. (p) Protected variety, means a plant variety for which a certificate of protection of Plant Breeders Rights has been issued under this Act. (q) Public Sector Research institution means a research institution under the control of Federal or provincial government receiving financial support from the government. (r) Register means the National Register of protected plant varieties. (s) Registrar means the Registrar appointed under Section 5. (t) Registry means the Plant Breeders Rights Registry established under Section 3. (u) Terminator Technology means Genetic Modification that includes gene(s) or gene sequences which restrict germination of the seed produced by the plant variety during the next subsequent year of planting. CHAPTER II
Administration

3.

The Plant Breeders Rights Registry. 1. For the purposes of this Act, the Federal Government shall establish a Plant Breeders Rights Registry attached with Ministry of Food, Agriculture and Livestock. 2. The headquarter of the Plant Breeders Rights Registry shall be located at Islamabad and for the purpose of facilitating the application for protection of plant varieties the Federal Government may, by notification in the official gazette, will establish such number of its branches at such places, as it may deem fit.

4. Functions of the Registry.__ The Plant Breeders Rights Registry shall perform the following functions, namely__

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(a) (b) (c) Act; (d) (e)

promote the development of new varieties of plants, by such measures as it thinks fit, and to protect the rights of the farmers and breeders as provided under this Act. ensuring registration of new plant varieties subject to such terms and conditions and in the manner as may be prescribed; managing characterization and documentation of varieties registered under this documentation, indexing and cataloguing of farmers varieties, extant varieties, and varieties registered under Seed Act, 1976 and land races as common knowledge varieties; ensuring that seeds of the varieties registered under this Act are available to the farmers and providing for compulsory licensing of such variety if the breeder of such variety or any other person entitled to produce such variety under this Act does not arrange for production and sale of the seed in the manner as may be prescribed; collecting statistics with regard to plant varieties, including the contribution of any person at any time in the evolution or development of any plant variety, in Pakistan or in any other country, for compilation and publication; appointing Registrar and such other officers, examiners and employees as may be necessary for the efficient performance of functions of the Registry. issuance of Certificate under this Act. ensure the maintenance of the National Register of protected plant varieties. coordinate, and liaison with other relevant organizations and agencies in Pakistan abroad. take all actions necessary for smooth functioning of the Registry. Officers and Employees of the Registry:a) The Federal Government shall appoint a Registrar, who shall execute the activities of the Plant Breeder Rights Registry. b) The Registry shall be in the direct control of the Registrar under the superintendence of the Federal Government. c) The Federal Government shall also appoint/transfer as many officers and officials as it may deem fit from Federal Seed Certification and Registration Department for the proper functioning of the Plant Breeders Rights Registry.

(f) (g) (h) (i) (j) and (k) 5.

Functions of the Registrar The Registrar shall perform the following functions under this Act and the rules made hereunder to: i. execute and implement policies, rules, regulations and resolutions issued by the Federal Government for the purposes of this Act.

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ii. iii. iv. v. vi. vii. viii. ix. 7.

carry out the administration, management and functional activities of Plant Breeders Rights Registry. advise the Federal Government on other matters arising under this Act. suggest measures for the encouragement and development of new varieties of plants and to protect the rights of farmers and breeders. may take the advice of the plant variety protection Advisory Committee established for the purposes of this Act, in case of any dispute. coordinate, monitor and evaluate protection activities. develop characterization and documentation of varieties protected under this Act. catalogue facilities for all varieties of plants. maintain the National Register of protected plant varieties.

Powers of the Registrar. In all proceedings before the Registrar under this Act (a) the Registrar, as the case may be, shall have all the powers of a civil court for the purposes of receiving evidence, administering oaths, enforcing the attendance of witnesses, compelling the discovery and production of documents and issuing commissions for the examination of witnesses; (b) the Registrar may, subject to any rules made in this behalf under this Act, make such orders as to costs as it considers reasonable and any such order shall be executable as a decree of a civil court. (c) the Registrar or his nominee may(i) enter and search at all times, with such assistance of law enforcement agencies as he may consider necessary, any premises in which he as reason to believe that an offence under this Act has been or is being committed; (ii) examine any record, register, document, material object found in any place mentioned in clause (i) and seize the same if he has reason to believe that it may furnish evidence of the commission of any offence punishable under this Act or any rule. (d) exercise such powers as may be necessary for carrying out purpose of this Act or any rule.

8.

Plant Breeders Rights Registry to carry a Seal. There shall be a seal of the Plant Breeders Rights Registry.

9.

National Register of Protected Plant Varieties.

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i. For the purposes of this Act, a Register called the National Register of Plant Varieties shall be kept at the Plant Breeders Rights Registry. Names of all the plant varieties protected under this Act along with the names and addresses of respective breeders, the right of such breeders in respect of the protected variety, the particulars of the denomination of each protected variety, its seeds or other propagating material along with specification of salient features thereof and such other matters as may be prescribed shall be entered in this register. ii. Subject to the superintendence and direction of the Federal Government, the National Register of Plant Varieties shall be kept under the control and management of the Registrar Plant Breeders Rights Registry. 10. Establishment of the Plant Variety Protection Advisory Committee. (1) The Federal Government shall establish a Committee to be known as the Plant Variety Protection Advisory Committee for the purposes of this Act. (2) The Advisory Committee shall consist of a Chairman and 11 members will be appointed by the Federal Government representing Provincial Agriculture Departments, relevant Ministries and any experts so notified in the rules. 11. Meetings of the Advisory Committee. (1)

The Advisory Committee shall hold meetings at such dates and places in Pakistan as it deem fit, (2) The Committee shall establish its rules of procedure in regard to the transaction of business at its meetings with the approval of the Federal Government. 12. Expert Groups. The Advisory Committee may appoint such expert groups as may be necessary for the efficient discharge of its duties and performance of its functions under this Act.

13.

General Functions of the Advisory Committee. In addition to any other relevant functions prescribed by the Federal Government, the committee shall send its recommendations on scientific and technical issues to the registrar, who will take the final decision.

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CHAPTER III Application for Protection 14. Application for grant of Plant Breeders Rights. Any person specified in section 16 may make an application to the Registrar of the Plant Breeders Rights Registry for protection of a new plant variety of the genera or species prescribed by the Federal Government. 15. Criteria for Protection of Plant Breeders Rights. A new plant variety shall be protected under this Act, if it conforms to the criteria of novelty, distinctiveness, uniformity, stability and designated by an acceptable denomination as under; For the purposes of this Act a new plant variety shall be deemed to be (a) Novel provided that; i) it has not been sold or marketed by or with the agreement of the Applicant, for more than one year in Pakistan before filing of the application for a Certificate under this Act.

ii) it has not been sold or marketed by or with the agreement of the Applicant, for more than six years in the case of trees or vines and for more than four years in the case of all other plants in a foreign country before filing of the application for a Certificate of Plant Breeders Rights under this law. (b) Distinct, if it clearly differs by one or more identifiable morphological physiological or other characteristics from any other variety whose existence is a matter of common knowledge at the date of this application. In particular, the filing of an application for granting of a Certificate for another variety or for entering of another variety in an official Register of varieties, in any country, shall be deemed to render the other variety a matter of common knowledge from the date of the

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application, provided that the application leads to the granting of a Certificate or to the entering of the said other variety in the official Register of varieties, as the case may be. (c) Uniform if, subject to the variation that may be expected from the particular features of sexual reproduction or vegetative propagation are sufficiently homogeneous and that any variations are describable, predictable and commercially acceptable. (d) Stable, if its relevant characteristics remain unchanged after repeated propagation or in the case of a particular cycle of propagation, at the end of each such cycle. (e) Acceptable denomination; an acceptable denomination shall be the genetic designation of the variety and must enable the variety to be identified. It must not be liable to mislead or to cause confusion concerning the characteristics, value or identity of the variety or the identity of its breeder. It must also not be contrary to law, public order or morality. 16. Right to apply for a Certificate of Plant Breeders Rights: (1) An application for protection under section 14 may be made by a. The owner of a variety or his successor in title subject to the conditions and requirement of this Act.
i.

For the purposes of clause (a) the owner shall be the breeder or discoverer of the variety or the successor in title or either of them. The owner may be a natural or legal person, but where the Applicant for Plant Breeders Rights is a legal person, the breeder of the variety shall be named in the application.

b.

Any person authorized in the prescribed manner by a person specified under clause (a) above, to make the application on his behalf.

(2) In proceedings before the Plant Breeders Rights Registry for the grant of a Certificate of Plant Breeder's Rights, the Applicant shall be deemed to be entitled to such a grant. In the case where two or more breeders independently develop the same variety and apply for protection, the entitlement for Plant Breeder's Rights shall rest with the person who first applied for protection.

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(3) The legal representative of a deceased breeder and of those under legal incapacity may apply for a Certificate of Plant Breeder's Rights on behalf of such person, under the same conditions and requirements as apply to other owners of varieties. (4) In case of public sector breeders, the institute that develops the plant variety shall be entitled to apply for a Certificate and the plant varietydeveloping institute directly involved in the research will be entitled for ownership rights. (5) Breeders working in the public sector will be eligible to register a variety under their own name at least five years after retirement/leaving government service. (5) The Federal Government and each of the Provincial Governments shall constitute a Research Incentive Board which shall be tasked to decide proper incentives for research and development including incentives for research scientist and his team involved in developing new plant varieties with a minimum of 20% of royalty in public sector institutions. (6) In case of private sector employed breeders, the employer company or corporate body that develops the plant variety shall be entitled to apply for a Certificate and ownership rights. (7) Plant breeders from private sector have to give a certificate/affidavit to the effect that the variety has not been developed at any stage utilizing the facilities, knowledge, germplasm obtained from Public Sector research institution. 17. Plant Variety Denomination. (1) Every Applicant in his application shall assign an appropriate and distinct denomination in accordance with the prescribed rules to a variety with respect to which the Applicant is seeking protection under this Act. (2) Where the denomination assigned to the variety does not satisfy the requirements specified in the rules, the Registrar may require the Applicant to propose another denomination within such time as may be provided by the Plant Breeders Rights Office Rules in force at that time.

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(3) Notwithstanding anything contained in the Trade Marks Ordinance 2001, a denomination assigned to a variety shall not be protected as a mark.

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18.

Requirements for an Application for Protection. Every application for protection shall a) be with respect to a new plant variety; b) state an appropriate denomination assigned to such variety by the Applicant; c) be accompanied by an affidavit sworn by the Applicant declaring that such variety does not contain any gene or gene sequence involving terminator technology; d) provide a certificate from the National Biosafety Committee established by the Federal Government to this effect that the Genetically Modified Organism (GMO) variety shall have no adverse effect on the environment, human, animal or plant life and health. e) be in such form as may be Prescribed. f) contain a complete identification data of the parental lines from which the variety has been derived along with the geographical location in Pakistan from where the genetic material has been taken setting forth its novelty, parentage/pedigree, breeding history and a drawing or photograph to understand and evaluate the novelty of the variety. g) be accompanied by a statement containing a brief description of the variety bringing out its characteristics of novelty, distinctiveness, uniformity and stability as required for protection and descriptions and drawings or photographs which disclose clearly the distinctive characteristics of the variety from other varieties of the same crop. h) be accompanied by such fees as may be prescribed in the rules. i) every application referred to in sub-section (a) shall be filed in the office of the Registrar. (j) where such application is made by virtue of a succession or an assignment of the right to apply for protection, the application must be accompanied by proof of the right to make the application.

19.

Testing. (1) Every Applicant shall, along with the application for protection made under section 16 of this Act, make available to the Registrar such quantities of seeds or propagating material, of a variety in respect of which protection is sought by way of such an application, as required for the purpose of conducting tests to evaluate whether such variety along with parental material conform to the prescribed standards under this Act and the rules made hereunder, Provided that the Registrar or any person or test center to whom such seed has been sent for conducting the tests shall keep such seed during his or its possession in such manner and in such condition that its viability and quality shall remain unaltered.

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(2) The applicant shall deposit such fee as may be prescribed for conducting the tests referred to in sub-section (1). (3) The tests under sub-section (1) shall be conducted in such manner, by such method and by such institutions as may be prescribed. 20. Amending the Application. (1) On receipt of an application the Registrar may, after making any such inquiry as he thinks fit with respect to the particulars contained in such application, accept the application absolutely or make the acceptance subject to such conditions or limitations as he may deem fit. (2) Where the Registrar is satisfied that the application does not comply with the requirements of this Act or any rules made there under, he may, either (a) (b) require the Applicant to amend the application to his satisfaction;. or reject the application;

Provided that no application shall be rejected unless the Applicant has been given a reasonable opportunity of presenting his case. 21. Advertisement of Application. (1) Where an application for protection of a variety has been accepted absolutely or subject to conditions or limitations, the Registrar shall as soon as is practicable after such acceptance, cause such application together with the conditions or limitations, if any, subject to which it has been accepted and the specifications of the variety for protection of which such application is made including its photographs or drawings, to be advertised in the prescribed manner calling for objections from any persons interested in the matter. 22. Opposition to Registration. (1) Any person may, within three months from the date of the advertisement of an application for protection, on payment of the prescribed fee, give notice in writing in the prescribed manner to the Registrar of his opposition to the protection. (2) Opposition to the protection under sub-section (2) may be made on the following grounds, namely:

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(a) that the person opposing the application is entitled to plant breeder's rights for the new variety as against the Applicant; or (b) that the variety is not registered in accordance with the provisions of this Act; (c) that the grant of a Certificate may not be in the public interest; (d) that the variety may have adverse effects on the environment, human, animal or plant health. (3) The Registrar shall serve a copy of the notice of opposition on the Applicant and within two months from the receipt by the Applicant of such copy of the notice of opposition, the Applicant shall send to the Registrar a counter statement of the grounds on which he relies for his application, and if he does not do so, he shall be deemed to have abandoned his application. (4) If the Applicant sends such a counter statement, the Registrar shall serve a copy thereof on the person giving notice of opposition. (5) Any evidence upon which the opponent and the Applicant may rely shall be submitted, in the manner prescribed and within the time prescribed, to the Registrar and the Registrar shall give an opportunity to them to be heard. (6) The Registrar shall, after hearing the parties, if so required, and after due consideration of the evidence decide whether and subject to what conditions or limitations, if any, the protection is to be permitted and may take into account a ground of objection whether relied upon by the opponent or not. (7) Where a person giving notice of opposition or an Applicant sending a counter statement after receipt of a copy of such notice neither resides nor carries on business in Pakistan, the Registrar may require him to give security for the cost of proceedings before him and in default of such security being given may treat the opposition or application, as the case may be, as abandoned. (8) The Registrar may, on request, permit correction of any error in, or any amendment of, a notice of opposition or a counter statement on such terms as he may think fit. (9) The Registrar shall consider all the grounds on which the application has been opposed and after giving reasons for his decision, by order, uphold or reject the opposition. (10) When a new plant variety is protected by the Registrar, he shall issue a Certificate in the terms of section 18.

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23.

Protection of Essentially Derived Variety. (1) An application for the protection of an essentially derived variety of the genera or species prescribed by the Federal Government may be made to the Registrar by or on behalf of any person referred to in section 16 and in the manner specified in section 12 as if for the word "variety" the words "essentially derived variety" have been substituted therein and shall be accompanied by such documents and fee as may be prescribed. (2) On receipt of an application under sub-section (1), the Registrar shall have any such essentially derived variety examined in order to determine as to whether the essentially derived variety is a variety derived from the initial variety by conducting such tests and following such procedure as may be prescribed. (3) When the Registrar is satisfied on the report of the test referred to in subsection (2) as to the fact that the essentially derived variety has been derived from the initial variety, he may register such essentially derived variety. (4) Where the Registrar is not satisfied on the report of the test referred in subsection (2) that the essentially derived variety has been derived from the initial variety he shall refuse the application. (5) The rights of the breeder of a new plant variety contained in this Act shall also apply to the breeder of an essentially derived variety, provided that the authorization by the breeder of the initial variety to the breeder of essentially derived variety may be subject to such terms and conditions as both the parties may mutually agree upon. (6)An essentially derived variety shall not be protected under this section unless it satisfies the requirements of section 18 as if for the word "variety", the words "essentially derived variety" have been substituted therein. (7) When an essentially derived variety has been protected by the Registrar, the Registrar shall issue to the applicant a Certificate in the prescribed form and with seal of the Plant Breeders Rights Registry.

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CHAPTER IV The Certificate of Plant Breeder's Rights

24.

Issuance of the Certificate A Certificate of Plant Breeder's Rights shall be issued in the name of the President of the Islamic Republic of Pakistan and shall be signed by the Registrar of Plant Breeders Rights Registry. The Certificate shall be recorded in the Plant Breeder's Rights Register and the record shall be made publicly available during ordinary business hours. Notice of issuance of the Certificate shall be published in the Official Gazette. A fee for the issuance of a Certificate of Plant Breeder's Rights shall be established by Rules made by the Federal Government. There shall be annexed to the Certificate a definitive description of the protected plant variety.

25.

Rights of Plant Breeders. (1) Subject to the provisions of this Act and any other law of the country, the owner of a protected variety shall have the following rights in respect of that variety; a) Offering for sale or selling or marketing of the reproductive or vegetative propagating material of the protected variety in Pakistan. b) Importing the reproductive or vegetative propagating material of the protected variety into Pakistan or exporting it from Pakistan. c) Conditioning or multiplying the reproductive or vegetative propagating material of the protected variety. d) Carrying out any of the acts identified in (a), (b), and (c) above in relation to an essentially derived variety (provided the protected variety is not itself an essentially derived variety). e) Instigating or promoting any of the acts identified in (a), (b), (c) and (d) above. f) authorizing any person to produce, sell, market or otherwise deal with a variety. (2) Subject to any other provision of this Act no other person shall perform any act identified above without the prior authorization of the owner.

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26.

Provisional Protection. In respect of the period between the filing of the application and the grant of a Certificate, the owner of the Certificate shall be entitled to equitable remuneration from any person who, during the said period, has carried out acts which, once the Certificate was issued, would fall within owners rights to exclude others under section 25 of this Act.

27.

The Tenure of the Certificate of Plant Breeder's Rights 1. The term of the Certificate, as provided under this Act shall be 25 years in the case of trees and vines and 20 years in the case of all other plants from the date of grant of Certificate. 2. The rights of the owner of a Certificate shall terminate upon the expiry of the period prescribed in section (1) above.

28.

Exemption for Scientific Research.

Nothing contained in section 25 of this Act shall apply to the following; (a) the use of any variety protected under this Act by any person using such variety for conducting bonafide scientific research or plant breeding; and (b) the use of a variety by any person as an initial source of variety for the purpose of creating other varieties. ( c) Provided that the authorization of the breeder of a protected variety is required where the repeated use of such variety as a parental line is necessary for commercial production of F1 hybrids.

CHAPTER V Surrender, Revocation, Rectification or Correction of Register 29. Surrender of Certificate

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(1) A breeder of a variety protected under this Act may, at any time by giving notice in the prescribed manner to the Registrar, offer to surrender his Certificate of protection. (2) Where such an offer is made, the Registrar shall notify in the prescribed manner every protected agent or protected licensee relating to such Certificate. (3) Any such agent or licensee may within the prescribed period after such notification give notice to the Registrar of his opposition to the surrender and where any such notice is given, the Registrar shall intimate the contents of such notice to the owner of the Certificate. (4) If the Registrar is satisfied after hearing the applicant and the opponent(s), if desirous of being heard, that the Certificate may properly be surrendered, he may accept the offer and by order revoke the Certificate. 30. Revocation of Protection. Subject to the provisions contained in this Act, a Certificate granted to a breeder in respect of a variety may, on the application in the prescribed manner of any person interested, be revoked by the Registrar on any of the following grounds, namely: (a) (b) (c) the variety concerned was not novel, distinct, uniform or stable at the date of filing of the application as required under section 15 of this Act; that the Certificate has been granted to a person who is not eligible for protection under this Act; that the breeder has failed to provide an alternative denomination of the variety which is the subject matter of the protection to the Registrar in case where the earlier denomination of such variety provided to the Registrar is not permissible for protection under this Act; that the breeder did not provide the necessary seeds or propagating material to the person to whom compulsory license has been issued under section 36 regarding the variety in respect of which the Certificate has been issued to such breeder; that the breeder has not complied with the provisions of this Act or provisions of the rules and/or regulations made there under; that the grant of the Certificate is not in the public interest. Provided that no such protection shall be revoked unless the breeder is given a reasonable opportunity to file objections and of being heard in the matter; the owner has failed to pay within the prescribed period such fees as may be payable to keep the Certificate in force.

(d)

(e) (f) (g)

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(h) (i)

the variety has proved harmful to the environment, ecology, human and animal life and health. that the grant of the Certificate has been based on incorrect information furnished by the Applicant;

31.

Payment of Annual Fee and Forfeiture of Protection in default thereof. (1) The Registrar may, with the prior approval of the Federal Government and after notification in the Official Gazette, impose a fee to be paid annually by every breeder, agent and licensee of a variety protected under this Act. (2) If any breeder, agent or licensee fails to deposit the fee referred to in subsection (1) imposed upon him under that sub-section in the prescribed manner for up to two consecutive years, the Registrar shall issue a notice to such breeder, agent or licensee and on service of such notice if the breeder fails to comply with the direction in the notice, the Registrar shall declare as forfeited all the protection admissible under the Certificate issued to any such breeder, agent or licensee.

32.

Power to cancel or change Protection and to Rectify the Register. (1) Any person aggrieved by the absence or omission from the Register of any entry, or by any entry in the Register with sufficient cause, or by any entry wrongly remaining on the Register, may apply in the prescribed manner to the Registrar and the Registrar may make such order for making, expunging or varying the entry as he may think fit. (2) The Registrar may in any proceeding under this section decide any question that may be necessary or expedient in connection with the rectification of the Register. (3) The Registrar on his own motion may, after giving notice in the prescribed manner to the parties concerned and after giving them an opportunity of being heard, make any order referred to in sub-section (1).

33.

Correction of Description. (1) The Registrar may, on an application in the prescribed manner by the breeder of a variety protected under this Act (a) correct any error in the Register in the name, address or description of such breeder or any other entry relating to such variety; (b) enter in the Register any change in the name, address or description of such breeder; 114

(c) cancel the entry in the Register of the variety in respect of which such application is made; and make any consequential amendment or alteration in the Certificate and for that purpose require the Certificate to be produced before him. (d) the description of the variety as set forth in the application may be corrected or supplemented at any time within 6 months on payment of a prescribed fee by the owner declaring that any error in the previous description was made in good faith. (2) The Registrar may, on application made in the prescribed manner by an agent or a licensee of a protected variety and after notice to the breeder of such protected variety, correct any error, or enter any change in the name, address or description of such registered agent or registered licensee as the case may be, in the Register or Certificate under this Act. 34. Alteration of Denomination of a Protected Variety. (1) The breeder of a variety protected under this Act may apply in the prescribed manner to the Registrar to delete any part or to add or alter the denomination of such variety in any manner not substantially affecting the identity thereof, and the Registrar may refuse or may grant leave to amend on such terms and subject to such limitations as he may think fit to avoid any conflict with the rights of other breeders of the varieties protected under this Act. (2) The Registrar may cause an application under this section to be advertised in the prescribed manner in any case where it appears to him that it is expedient to do so, and where he does so, if within the prescribed time from the date of the advertisement any person gives notice to the Registrar in the prescribed manner of opposition to the application, the Registrar shall, after hearing the parties if so required, decide the matter. (3) Where leave is granted under this section, the denomination of the variety as altered shall be advertised in the prescribed manner, unless the application has already been advertised under sub-section (2).

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CHAPTER VI Farmers Exemptions 35. Farmers Exemptions Notwithstanding anything contained in this Act: (a) A farmer shall be deemed to be entitled to save, use, sow, re-sow exchange, share or sell his farm produce. (b) Provided that the farmer shall not be entitled to sell seed of a variety protected under this Act on a commercial basis. CHAPTER VII Compulsory License 36. Power of Registrar to make order for Compulsory License in certain circumstances. The Registrar will have the power to grant compulsory license in a manner prescribed under the rules if; (1) At any time, after the expiry of three years from the date of issue of a Certificate of variety protection, any interested person makes an application to the Committee alleging that the reasonable requirements of the public for seeds or other propagating material of the variety have not been satisfied or that the seed or other propagating material of the variety is not available to the public at a reasonable price and pray for the grant of a compulsory license to undertake production, distribution and sale of the seed or other propagating material of that variety. (2) Every application under sub-section (1) shall contain a statement of the nature of the applicant's interest together with such particulars as may be prescribed and the facts upon which the application is based. (3) The Registrar, if satisfied after giving an opportunity to the breeder of such variety to file opposition and after hearing the parties on the issue, may grant a license to the applicant upon such terms and conditions as it may deem fit. 37. Duration of Compulsory License. The Registrar shall determine the duration of the compulsory licenses granted under this Chapter and such duration may vary from case to case keeping in view

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the gestation periods of the variety seed and other relevant factors but in any case the term of compulsory license shall not exceed five years from the date of grant. 38. Terms and conditions of Compulsory License. The Registrar shall, while determining the terms and conditions of a compulsory license under the provisions of this Chapter endeavor to secure reasonable compensation to the breeder of the variety relating to the compulsory license.

39.

Revocation of Compulsory License.

The Registrar may on its own motion or upon an application made by an aggrieved person made to it in the prescribed form may, if it is satisfied that a compulsory licensee protected under this Chapter has violated any terms or conditions of his license or it is not appropriate to continue such license further in the public interest, after giving such licensee an opportunity to file opposition and of being heard, make an order to revoke such license.

40.

Modification of Compulsory License. The Registrar may on its own motion or on application from the licensee of a compulsory license, after providing an opportunity of being heard to the breeder of the variety protected under this Act relating to such compulsory license, if it considers it in public interest, order modification in such terms and under such conditions as it thinks fit to correct the entries in the Register according to any such modification. 41. authority for: Seed Act, 1976

Nothing provided or granted by or under this Act shall be construed as conferring (a) any seed to be sold, imported, exported or advertised, or (b) any name, mark or label to be applied in connection with any seed, contrary to the Seeds Act, 1976 or any amendments, regulations there under.

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CHAPTER VIII Infringement 42. Infringement. Subject to the provisions of this Act, a right established under section 25 of this Act would be infringed by any person (a) who, not being the breeder of a variety protected under this Act or an authorized agent or authorized licensee of that variety, sells, exports, imports or produces such variety without the permission of the breeder or within title scope of a registered license or registered agency without permission of the registered licensee or registered agent, as the case may be; (b) who uses, sells, exports, imports or produces any other variety giving such variety, the denomination identical with or deceptively similar to the denomination of a variety protected under this Act in such manner as to cause confusion in the mind or general people in identifying such variety so protected. (c) who uses a variety protected under this Act, without legal authorization, to produce an essentially derived variety or F1 hybrid for commercial utilization.

43.

Suit for Infringement etc. (1) No suit (a) for the infringement of a variety protected under this Act; or (b) relating to any right in a variety protected under this Act, shall be instituted in any court inferior to a High Court having jurisdiction to try the suit. (2) For the purpose of clauses (a) and (b) of sub-section (1), "High Court having jurisdiction" shall mean the High Court within the local limit of whose jurisdiction the cause of action arises.

44.

Relief in Suits for Infringement.

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(1) The relief which a court may grant in any suit for infringement referred to in section 43 includes an injunction and at the option of the plaintiff, either damages or a share of the profits. (2) The order of injunction under sub-section (1) may include an ex-parte injunction or any interlocutory order for any of the following matters, namely: (a) for discovery of documents; (b) preserving of infringing variety, documents or other evidence which are related to the subject matter of the suit; (c) attachment of such property of the defendant which the court deems necessary to recover damages, costs or other pecuniary remedies which may finally be awarded to the plaintiff. 45. Injunctions, Damages and Attorneys Fees A court of competent jurisdiction, having ruled in favour of the owner of the Certificate, shall decree an appropriate remedy. The court may also grant an injunction against future infringing acts by the defendant. In every case, the court shall award damages to the owner of the right at least equal in amount to the losses suffered by the owner. In aggravated cases, punitive damages, attorneys fees, or both may be awarded. 46. Time Limitation on an Infringement Suit, Notice of Infringement. a) No suit for infringement of a Certificate of Plant Breeder's Rights shall be brought more than three years following any alleged act of infringement. b) Damages will not be assessed against a defendant for infringement of Plant Breeder's Rights for acts committed before actual or constructive notice is given to the defendant that the concerned variety is a protected plant variety. Constructive notice may be given by marking the container of the protected variety, or by any other appropriately visible indication that the variety is protected. CHAPTER X Miscellaneous 47. Transitional Provision.

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The plant varieties already registered and released or commercialized which do not conform to the criteria of novelty may apply for Plant Breeder's Rights within one year of the coming into force of this Act. If the Plant Breeder's Rights are accorded, the term of its Certificate will be reduced by the number of years between the time the variety was released, protected or commercialized and the time the application for Plant Breeder's Rights was submitted. 48. Protection of action Taken in Good Faith. No suit, prosecution or other legal proceedings shall lie against the Federal Government, the Registrar or any other person acting on behalf or under instructions from the Federal Government, the Committee or the Registrar directly or under the provisions of this Act, for anything which is done or intended to be done in good faith in pursuance of this Act or any rule, regulation, scheme or order made there under. 49. Non-resident Certificate Owners. Each owner of a Certificate not residing in Pakistan shall designate in writing the name and address of a natural or legal person on whom judicial and other notices may be served. 50. Power to make Rules. The Federal Government shall establish rules not inconsistent with this Act to make provision for fulfilling the aims and objectives of this Act and for the purpose of conduct and proceedings in the Plant Breeders Rights Registry. 51. Power to Remove Difficulties. If any difficultly arises in giving effect to the provisions of this Act, the Federal Government may, by order, published in the official Gazette, make such provisions not inconsistent with the provisions of this Act as may appear to be necessary for removing the difficulty. 52. Appeals Any right holder aggrieved by a decision of the Plant Breeder Right Registry to decline to issue a Certificate or to cancel a Certificate or to declare it null and void may, within 60 days after being given notice of that decision by the Plant Breeder Right Registry may appeal to the High Court.

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53.

Fees-Setting and Collection. The Federal Government shall establish a fee for services rendered to the applicants and the public or as otherwise required under this Act. Any prescribed fee shall be deposited with the Plant Breeders Rights Registry.

___________________________________________________________________________________

Final[1].pbr.for Cabinet 8th August-2006

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Annex-XI

A DRAFT of

Seed (Amendment) Act, 2006

Government of Pakistan Federal Seed Certification & Registration Department Ministry of Food, Agriculture & Cooperatives
23-08-2006

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A DRAFT BILL
A bill to make amendment in Seed Act, 1976 (Act No. XXIX of 1976) for regulating the quality for sale, import, export and to facilitate production and supply of quality seed and for that matters connected herewith or incidental thereto; AND WHEREAS it is expedient to make provision to give effect to the recommendations of the Task Force on Seed; update the definitions on the subject; make Seed Act, 1976 compatible with the latest advancement in the field of seed technology and trade; to cover the role of the private sector in the seed business; provide for enhanced penalties to curb the sale of sub-standard seed in the market and to effectively control the quality of the import and export of seed; AND WHEREAS the Provincial Assemblies of the Punjab, the North-West Frontier Province and Baluchistan have passed resolutions under Article 144 of the Constitution of the Islamic Republic of Pakistan to the effect that Parliament may by law make an amendment in Seed Act, 1976 to regulate and control the quality of seeds of various varieties of crops and matter connected therewith; It is therefore hereby enacted as follows:-

1.

Short title, extent and commencement: (1) This Act may be called the Seed (Amendments) Act, 2006. (2) It extends to the whole of Pakistan. (3) It shall come into force on such date as notified in the official Gazette. In the Seed Act, 1976 [hereinafter referred to as the principal Act], in Section 2, the following shall be substituted and added namely:(a) approved seed means seed true to species as approved by Federal Seed Certification and Registration Department;

2.

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(b) "basic seed" means progeny of the pre-basic seed produced by any public or private sector organization so prescribed and as certified by the Federal Seed Certification and Registration Department; (c) certified seed means seed certified by the Federal Seed Certification and Registration Department and as prescribed; (d) "Federal Seed Certification and Registration Department means the Federal Seed Certification and Registration Department established under section 5; (e) The term National Registration Agency shall stand deleted wherever it appears in the Act; (l) "registered variety means a plant variety registered under section 29; (p) seed means any of the branded reproductive or vegetative propagating material of the plants of field crops, vegetable crops, fruits, spices, medicinal herbs, flowers, shrubs, forest trees, other plant species and mushroom spawn used for sowing or planting the genera or species prescribed by the Federal Government; (v) person means any natural or legal entity and includes a person, an association of person, firm, partnership, society, group, a public or private limited company, corporation, co-operative society or any other body corporate; (w) seed dealer means any person registered as seed dealer to sell seed as may be prescribed; (x) truthfully labelled seed means seed of a registered variety produced locally or imported and which conforms to standards as prescribed under the rules; (y) Federal Seed Committee means the committee constituted for the performance of such functions as may be prescribed by the National Seed Council;

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(z) misbranded- A seed shall be deemed to be misbranded if1) it is a substitute for, or resembles in a manner likely to deceive, another plant variety of seed under the name of which it is sold, and is not plainly and conspicuously labeled so as to indicate its true nature; 2) it is falsely stated to be the product of any place or country; 3) it is sold by a name which belongs to another kind or plant variety of seed; 4) false claims are made for it upon the label or otherwise; 5) when sold in a package which has been sealed or prepared by, or at the instance, of the person engaged in seed business and which bears his name or address, the contents of each package are not conspicuously and correctly stated on the outside thereof within the limits of variability prescribed under this Act; 6) the package containing it , or the label on the package bears any statement, design or device regarding the quality or the kind or plant variety of seed contained therein, which is false or misleading in any material particular or if the package is otherwise deceptive with respect to its contents; 7) it is not registered in the manner required by or under this Act; 8) its label contains any reference to registration other than registration number; 9) its label does not contain a warning or caution which may be necessary, and sufficient, if complied with, to protect human, animal and plant life and health or to avoid serious prejudice to the environment; 10) the package containing it or the label on the package bears the name of a fictitious individual or company as the dealer of the kind or plant variety; or it is not labeled in accordance with the requirements of this Act or the rules made thereunder; (aa) genetically modified variety (GMOs) means plant varieties which have been bred by genetic engineering involving molecular techniques that modify, recombine and transfer genes or segments of genetic material. This includes recombinant deoxyribonucleic acid (DNA) techniques that transfer genes or segments of genetic material between genotype. (Species that have no probability of exchanging genes in nature). This term shall also apply to plant varieties derived from a living modified organism. (bb) horticulture nursery means any grounds or premises on which nursery plants are propagated, grown or procured for resale and held for sale throughout the year; (cc) "prescribed" means prescribed by rules made under this Act. (dd) seed business means any commercial operation involving production, processing, conditioning, packaging, distribution, import and export of seeds.;

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3.

(ee) Variety Evaluation Committee means the committee constituted for the evaluation of candidate crop varieties in the country as may be prescribed; In section 5 of the principal Act the following shall be substituted/added/amended namely.[5] Establishment of Federal Seed Certification and Registration Department.(1) As soon as may be after the commencement of this Act, the Federal Government shall establish a Federal Seed Certification and Registration Department for the performance of such functions as may be entrusted to it under this Act. (2) The name Federal Seed Certification Agency may be replaced by Federal Seed Certification and Registration Department where so ever it appears in the Seed Act 1976. (3) Functions of Federal Seed Certification & Registration Department.Federal Seed Certification & Registration Department shall perform the following functions, namely(a) controlling the quality of seeds; (b) registering growers in such manner and subject to such conditions as may be prescribed; (c) certification of seeds; (d) field inspection of crops of registered varieties and released varieties to assess purity and health; (e) sampling and testing of seed lots intended for sale in order to ascertain their purity, viability, germination capacity and health status in the prescribed manner; (f) issuing certificates in respect of seeds which meet the prescribed standards of particular category of seeds; (g) carrying out post-control trials on pre-basic, basic and certified seeds; (h) sampling and analyzing seed lots delivered to the processing plants to assess the quality of such lots; (i) arranging training courses for persons engaged in seed business; (j) providing technical and specialist advice and assistance to the National Seed Council in the performance of its functions; ( (k) conduct pre-registration checking of varieties of both public and private sector submitted for the purpose of(i) determining agronomic value regarding regional suitability for registration as a variety evaluated by Variety Evaluation Committee; (ii) providing definitive botanical description of crop varieties; and (iii) providing information on genetic suitability and adaptability of varieties; (l) register seed varieties after conducting pre-registration checking under clause (k); (m) publish a list of registered seed varieties;

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4. 5.

(n) perform such other functions as the National Seed Council may entrust to it; and (o) propose procedures for maintaining purity of the seed stocks and conduct research in seed science and technology. Section 6, 7 & 8 of the principal Act shall be omitted. In section 11 of the principal Act; in clause (d) following may be substituted namely.(d) any other requirement as may be prescribed has been complied with. a new clause (e) may be inserted, namely.(e) No person shall sell, advertise or hold in stock for sale, of seed of any plant variety banned by the Provincial or Federal Government.

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6.

7. 8. 9.

10.

11.

12.

In clause (a) of sub section (2) of the section 20 of the principal Act the following shall be substituted, namely: (2) The Seed Inspector may (a) enter and search at any time, with such assistance of Law enforcement agency or district administration as he may consider necessary, any premises in which he has reason to believe that an offence under this Act has been or is being committed and order in writing the person in possession of any seed in respect of which the offence has been or is being committed not to dispose off any stock of such seed for a specified period not exceeding thirty days or unless the alleged offence is such that the defect may be removed by the possessors of seed, seize the stock of such seed; Sub-section (3) of section 20 of the principal Act shall be omitted. In subsection (1) of the section 21 of the principal Act the words, crop of any seed shall be substituted by seed of any crop. In section 23 of the principal Act the following shall be substituted namely.(i) contravenes any provision or any rule under this Act; or (ii) imports, sells, holds in stocks or exhibits for sale or barter; and or otherwise supplies any seed of any kind or plant variety deemed to be misbranded; or (iii) imports, sells, holds in stock or exhibits for sale or barter; and/or otherwise supplies any seed of any kind or plant variety which is not a registered plant variety; or (iv) prevents a Seed Certification Officer or a Seed Inspector from taking a sample or inspecting seed under this Act; or (v) prevents any official from exercising any power conferred on him by or under this Act; shall be punishablefor the first offence with imprisonment up to three months or with fine not exceeding twenty five thousand rupees and for every subsequent offence with imprisonment for a term up to six months or with fine not exceeding two hundred thousand rupees or both. In section 24 of the principal Act the following shall be substituted namely.Power of court to order forfeiture.If any person is convicted under this Act in respect of any variety, or species of seed, the court convicting him may further direct that the seed shall be forfeited to the Federal Government. In subsection (1) of section 25 of the principal Act the following shall be substituted namely.Cognizance of offence etc.No court lower than that of a Judicial Magistrate shall try an offence under this Act.In section 28 of the principal Act, in clause (a), the following shall be substituted namely.-

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13.

(a) an officer or authority subordinate to Provincial Government; or Powers to make rules The section 29 of the principal Act shall be omitted and its contents shall be shifted to a new section 38. After section 28 of the principal Act a new section 29 shall be added namely.[29] Registration of plant variety: a) an application for registration of plant variety shall be made in such form and be accompanied by such fee and shall contain such information as may be prescribed. b) subject to the provisions of section 35 of this Act, the Federal Seed Certification and Registration Department may register, or refuse to register a plant variety as prescribed. c) the exotic plant varieties meant for import may be registered by a committee so constituted as prescribed. d) if at any time after registration of a plant variety, the Federal Seed Certification and Registration Department is satisfied, either on a reference made to it in this behalf or otherwise, that the registration granted by it has been obtained by misrepresentation or suppression of an essential fact or conditions of registration has been changed; then Federal Seed Certification and Registration Department may cancel registration of the plant variety as prescribed. e) for the purposes of this Act, a register of all registered plant varieties to be called National Register of Seeds shall be kept by Federal Seed Certification and Registration Department wherein all specifications, as may be prescribed, shall be maintained. the Federal Seed Certification and Registration Department shall, within such intervals and in such manner as it thinks appropriate, publish the list of plant varieties registered during that interval. After section 29 of the principal Act a new section 30 shall be added namely.[30] Registration to do seed business.a) Any person may apply on the prescribed form for registration seed business in Pakistan; b) the application form shall accompany such fee as may be prescribed; c) the Ministry of Food, Agriculture and Livestock after making such enquiry as prescribed, shall grant registration to the applicant; d) every registration granted under this Act shall remain valid for five years from the date of issue of the registration, unless suspended or cancelled earlier;

14.

15.

129

e) every holder of the registration desirous to renew the registration shall, before the expiry of the registration period, make an application for renewal to the Director General, Federal Seed Certification and Registration Department together with such fee as may be prescribed; f) on receipt of such application and prescribed fee, the Director General, Federal Seed Certification and Registration Department may renew the registration for another period of five years; g) in case the application is made after the expiry of the registration, the registration may be renewed on payment of an additional fee of Rs.1000/- for each month or part thereof, in addition to the fee for renewal of registration; h) the registration shall be deemed cancelled if.1) the registration is not renewed within six months after the date of expiry of the registration; or 2) the person fails to do business for at least 3 years; or 3) the person is found to be in violation of this Act. 16. After section 30 a new section 31 shall be added namely: [31] Registration of seed dealer.a) No person shall sell crop seeds at any place except under the terms and conditions of dealership license granted to him under this Act; b) any person having received prescribed training from the Federal Seed Certification and Registration Department can apply to Provincial Government as the case may be for registration and grant of license on prescribed form and accompanied by such fee as prescribed; c) the Provincial Government after making such enquiry as prescribed, shall grant registration to the applicant; d) every license issued under this Act shall remain valid for three years from the date of its issue unless suspended or cancelled earlier; e) every holder of a license desiring to renew the license shall apply for renewal, before the expiry of the license, to the Provincial Government together with the prescribed fee; f) on receipt of such application and fee, the Provincial Government, on the recommendation of the Regional Director, Federal Seed Certification and Registration Department may renew the license for another three years; g) every seed dealer shall clearly display at his place of business the sale prices of different crop seeds held by him including the opening and closing stocks on a daily basis; and h) the license of any seed dealer shall be liable to be cancelled if he is found to be in violation of this Act. After section 31 a new section 32 shall be added namely: [32] Restrictions.- No person shall.a) conduct seed business in Pakistan unless such person is registered to do 130

17.

so under section 30 or section 31of this Act; or b) imports, sale, stocks or exhibit for sale, barter or otherwise supplies any seed of any variety which is not registered under this Act for cultivation in Pakistan; or c) import, sale, stocks or exhibit for sale, barter or otherwise supplies any seed of any variety deemed to be misbranded. 18. After section 32 a new section 33 shall be added namely.[33] Establishment of seed testing laboratories.The Federal Government may by notification in the official Gazette establish one or more seed testing laboratories in the public sector or declare any existing seed testing laboratory as an accredited laboratory in the private sector to be a notified seed testing laboratory, where analysis of seed of any kind or plant variety may be carried out under this Act in the prescribed manner. After section 33 a new section 34 shall be added namely. [34] Compensation to farmer.Where the seed of a registered plant variety is sold to a farmer, the producer, distributor or vendor, as the case may be shall disclose the expected performance of such kind or plant variety to the farmer under given conditions, and if, such registered seed fails to provide the expected performance under such given conditions the farmer may claim compensation from the producer, distributor or vendor. 20. After section 34 a new section 35 shall be added namely.[35] Registration of genetically modified plant varieties: Notwithstanding anything contained in this Act, no registration of genetically modified plant variety shall be made under this Act, if the application for registration does not accompany; a) an affidavit from the applicant declaring that such variety does not contain any gene or gene sequence involving terminator technology; b) a certificate from the National Biosafety Committee established by the Federal Government to the effect that the Genetically Modified variety shall have no adverse effect on the environment, human, animal or plant life and health. After section 35 a new section 36 shall be added namely.[36] Horticulture nursery to be registered. (1) No person shall conduct or carry on the business of horticulture nursery unless such nursery is registered with the Federal Government. (2) Every application for registration under sub-section (1) shall be made in such form and contain such particulars and shall be accompanied by such fee as may be prescribed.

19. 3

21.

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22.

After section 36 a new section 37 shall be added namely.[37] Variety Evaluation Committee The Federal Government shall notify the Variety Evaluation Committee to evaluate candidate lines/varieties of public and private sector for diseases and agronomic values of all fields and horticulture crops as prescribed.

23.

After section 37 a new section 38 shall be added namely.[38] Power to make rules.(1) The Federal Government may, by notification in the official gazette, make rules for carrying out the purposes of this Act. (2) In particular and without prejudice to the generality of the foregoing power, such rule may provide for.a) the functions of the Seed Testing Laboratory; b) the requirements which shall be complied with by the registered growers or a person carrying on the business of seed production, processing or distribution; c) the form of application for grant of a certificate under section 13, the particulars it shall contain, the fees which shall accompany it, the form of the certificate and the conditions subject to which the certificate may be granted; d) the records to be maintained by a person carrying on the business referred to in sub-section (1) of section 13 of the principal Act and the particulars which such records shall contain; e) the form and manner in which, and the fee on payment of which, an appeal may be preferred under section 16 of the principal Act and the procedure to be followed by the appellate authority in disposing of the appeal; f) the qualifications and duties of a Seed Certification Officer; g) the qualifications and duties of a Seed Inspector; h) the manner in which samples may be taken by the Seed Inspector, the procedure for sending such samples to the Seed Testing Laboratory and the manner of analyzing such samples; i) the form of report of the result of the analysis under sub-section (1) of section 22 of the principal Act and the fees payable in respect thereof; j) the powers and functions of a Seed Analyst; and k) any other matter which is to be or may be prescribed. After section 38 a new section 39 shall be added namely.[39] Power to Remove Difficulties. If any difficultly arises in giving effect to the provisions of this Act, the Federal Government may, by order, published in the official Gazette, make such provisions not inconsistent with the provisions of this Act

24.

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as may appear to be necessary for removing the difficulty. Checked on 23-08-2006

Annex-XII SEED ACT, 1976

REGISTERED NO. S.1033 L.7646

THE GAZETTE OF PAKISTAN, EXTRAORDINARY PUBLISHED BY AUTHORITY _________________________________ ISLAMABAD, TUESDAY, MAY 18, 1976. PART 1 Acts, Ordinances, President Orders and Regulations NATIONAL ASSEMBLY SECRETARIAT, Islamabad, the 18 the May, 1976. The following Acts of Parliament received the assent of the President on the 11th May 1976, and are hereby published for general information: -

ACT No. XXIX of 1976

An Act to provide for controlling and regulation the quality of seeds of various varieties of crops. WHEREAS it is expedient to provide for controlling and regulating the quality of seeds of various varieties of crops and for matters conceited therewith; AND WHEREAS the Provincial Assemblies of the Punjab, Sindh, the North-West Frontier Province and Baluchistan have passed resolutions under Article 144 of the Constitution of the Islamic Republic of Pakistan to the effect that Parliament may be law regulate and control the quality of seeds of various varieties of crops; It is hereby enacted as follows: PRELIMINARY

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1. Short title, extent and commencement: (1) This Act may be called the Seed Act, 1976. (2) It extends to the whole of Pakistan. (3) It shall come into force at once. 2. Definitions: - In this Act, unless there is anything repugnant in the subject or context; (a) approved seed means seed true to species as approved by the Federal Seed Certification Agency; (b) basic seed means seed produced by an organization set up by a Provincial Government for the purpose; (c) certified seed means seed certified by the Federal Seed Certification Agency; (d) Federal Seed Certification Agency means Federal Seed Certification Agency established under section 5; (e) National Registration Agency means the National Registration Agency established under section 7; (f) National Seed Council means the National Seed Council established under section 3; (g) notified variety or species means a variety or species which has been notified as such under section 10; (h) post-control means a trial to check on varietal authenticity and purity of the certified seed; (i) pre-basic seed means seed of high genetic purity produced by a plant breeder; (j) prescribed means prescribed by rules; (k) Provincial Seed Council means a Provincial Seed Council established under section 9; (l) registered variety means a variety registered by the National Registration Agency under section 8; (m) registered grower means a person or group of persons engaged in producing seed and registered as such under this Act; (n) released variety means a registered variety having agricultural value for growing in a Province and approved by the Provincial Seed Council; (o) rules means rules made under this Act; (p) seed means any of the following classes of seeds used for sowing or planting namely:i. Seeds of food crops including edible oil seed and seeds of fruits and vegetables: ii. Cotton seed: iii. Seeds of fodder: and includes seedlings, tubers bulbs, rhizomes, roots, cuttings, all types of grafts and other vegetatively propagated material of food crops or fodder: (q) Seed Analyst means a Seed Analyst appointed under section 17:

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(r) Seed Certification Officer means Seed Certification Officer appointed under section 18: (s) Seed Inspector means a Seed Inspector appointed under section 19: (t) species means a group of plants representing a crop known by a common name, such as, wheat, paddy and cotton belonging to one species subspecies or forma; and (u) variety means a group of plants belonging to a species which for cropping purpose is considered as an individual unit and can be distinguished from other varieties of the same species. 3. Establishment of National Seed Council: - As soon as may be after the commencement of this Act, the Federal Government shall establish a National Seed Council under the Chairmanship of the Federal Minister-in-Charge of Agriculture for the performance of such functions as may be entrusted to it under this Act.

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4. Function of the National Seed Council: - The function of the National Seed Council inter-alias shall be: (i) to advise on policy for the development, operation and regulation of the Provincial seed industries; (ii) to maintain a watch on the operation of the provisions of this act; (iii) to guide in administrating the seed quality control service; (iv) to direct initiation of Provincial Seed Project; (v) to ensure and protect investment in the seed industry; (vi) to approve and sanction seed standards; (vii) to regulate inter-Provincial seed movement; viii) to advise on imported seeds; (ix) to coordinate the arrangements for the maintenance of genetic potential; (x) to coordinate multiplication and supply of seeds of approved varieties. (xi) to assist in developing approved seed production farms; 5. Establishment of Federal Seed Certification Agency: - As soon as may be after the commencement of this Act, the Federal Government shall establish a Federal Seed Certification Agency for the performance of such functions as may be entrusted to it under this act. 6. Functions of Federal Seed Certification Agency: - The Federal Seed Certification Agency shall perform the following functions, namely. (a) controlling the quality of seeds; (b) registering growers in such manner and subject to such condition as may be prescribed; (c) certification of seeds; (d) field inspection of the crops of registered varieties and released varieties intended for sale as basic seed or certified seed; (e) sampling and testing of seed lots intended for sale in order to as certain their purity, viability, germination capacity and health status in the prescribed manner; (f) issuing certificates in respect of seed which meet the prescribed standards of particular category of seeds; (g) carrying out post-control trials on pre-basic, basic and certified seeds; (h) sampling and analysing seed lots delivered to the processing plants to establish a basis for the purchase of such lots; (i) arranging training courses for Seed Certification Officer; and (j) providing technical and specialist advices and assistance to the National Seed Council in the performance of its functions. 7. Establishment of National Registration Agency: - As soon as may be after the commencement of this act, the Federal Government shall establish a National Registration Agency for the performance of such functions as may be entrusted to it under this Act.

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(8) Function of National Registration Agency: - The National Registration Agency shall perform the executive functions of the National Seed Council and shall:(i) conduct pre-registration checking of varieties submitted for the purpose of: (a) determining suitability for registration as a variety; (b) providing definitive botanical description of crop varieties; and (c) providing information on genetic suitability and adaptability of varieties; (ii) register seed varieties after conducting pre-registration checking under clause (i); (iii) publish a list of registered seed varieties; and (iv) perform such other functions as the National Seed Council may entrust to it. 9. Establishment of Provincial Seed Council: - As soon as may be after the commencement of this Act, each Provincial Government shall establish a Provincial Seed Council for the performance of such functions for the purposes of this Act as may be entrusted to it by the Federal Government, in consultation with the Provincial Government. 10. Power to notify varieties or species of seed: The Federal Government may be notification in the official Gazette, specify: (a) the varieties or species of seed approved for production in a Province or any part thereof; (b) the minimum limits of germination and purity standards to which such seed shall conform; and (c) the mark and label to indicate that such seed conforms to the minimum limits of germination and purity standards and the particulars which such mark or label may contain. 11. Regulation of sale of seeds of notified varieties and species: No person shall sell, offer for sale, or advertise or hold in stock for sale, or barter or otherwise supply, any seed of any notified variety or species unless: (a) such seed is identifiable as to its variety or species; (b) such seed conforms to the minimum limits of germination and purity standards as laid down under Section 10. (c) the container of such seed bears the mark and label, containing correct particulars thereof in the prescribed manner; and (d) be complies with such other requirements as may be prescribed; 12. Appointment of registered growers: -

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The Federal Seed Certification Agency may, on the recommendation of a Provincial Seed Council, register any farmer or growers as a registered grower to produce seed in the prescribed manner.

13. Grant of certificate by Federal Certification Agency: (1) Any person intending to produce notified varieties or species of seed, or stock for sale, or offer for distribution or otherwise supply seed of a notified variety or species may, if he desires to have such seed certified or tested by the Federal Seed Certification Agency, apply to the said Agency for the grant of a certificate for this purpose. (2) Every application under subsection (1) shall be in such form and be accompanied by such fee and contain such information as may be prescribed. (3) On receipt of an application under sub-section (1) the Federal Certification Agency, may after such enquiry as it thinks fit and after satisfying itself that the seed to which the application relates confirms to the minimum prescribed standards, grant a certificate in such form and on such conditions as may be prescribed. 14. Period for which registration and notification shall be effective:-(1) The registration of a grower for producing seeds shall be effective for such period, not exceeding five years, as may be prescribed. (2) The certification of the notified varieties and species of seeds shall be effective for such period as may be prescribed. 15. Cancellation of certification: - If, at any time after certification under subsection (3) of section 13, the Federal Seed Certification Agency is satisfied, either on a reference made to it in this behalf or otherwise, that: (i) the certificate granted by it has been obtained by mispresentation or suppuration of an essential fact; or The holder of the certificate has, without reasonable cause, failed to comply with the conditions subject to which the certificate has been granted or has contravened any of the provisions of this Act or the rules,

(ii)

then, without prejudice to any other penalty to which the holder of the certificate may be liable under this Act, the Federal Seed Certification Agency may, after giving the holder an opportunity of showing cause, cancel the certificate.

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16. Appeal: - (1) Any person aggrieved by a decision of the Federal Seed Certification Agency under section 15 to cancel a certificate may, within thirty days from the date on which the decision to cancel the certificate is communicated to him and on payment of such fee as may be prescribed, prefer an appeal to the Federal Government or any other authority as it may determine from time to time. (2) On receipt of an appeal under sub-section (1), the appellate authority shall, after giving the appellant an opportunity of being heard, dispose of the appeal as expeditiously as possible. The order of the appellate authority under this section shall be final.

(3)

17. Seed Analyst: - The Federal Seed Certification Agency may, be notification in the Official Gazette, appoint any person to be a Seed Analyst to test the quality and purity of seed produce at the seed farms before it is given out for commercial cultivation. 18. Seed Certification Officer:- (1) The Federal Seed Certification Agency may, be notification in the official gazette, appoint such person as it thinks fit to be a Seed Certification Officer for such areas as may be specified in the notification. (2) A Seed Certification Officer shall perform the same functions as are assigned to a Seed Inspector and also supervise the work of the Seed Inspectors is the area for which be is appointed. 19. Seed Inspector:- The Federal Seed Certification Agency may, be notification in the official Gazette, appoint such persons as it thinks fit to be Seed Inspectors for such areas as may be specified in the notification. 20. Power of Seed Inspectors: - (1) A Seed Inspector may within the area for which he is appointed, inspect and take samples of any seed in labeled containers purporting to contain seed of a notified variety or species of seed from any person producing, calling, delivering, stocking or distributing seed and send such samples for analysis to the nearest laboratory of the Federal Seed Certification Agency. (2) The Seed Inspector may(a) enter and search at all times, with such assistance as he may consider necessary, any place in which he as reason to believe that an offence under this Act has been or is being committed and order in writing the person in possession of any seed in respect of which the offence has been or is being committed not to dispose of any stock of such seed for specified period not exceeding thirty days or, unless the alleged offence is such that the defect may be removed by the possessors of seed, seize the stock of such seed;

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(b)

(c) (3)

(4)

examine any record, register, document of other material, object found in any place mentioned in clause (a) and seize the same if he has reason to believe that is may furnish evidence of the commission of any offence punishable of under this Act; and exercise such powers as may be necessary for carrying out the purposes of this Act or any rule. Where any sample of any seed of any notified variety or species in takes under sub-section (1), its cost, calculated at the rate of which such seed in usually sold in the market, shall be paid on demand to the person from whom it is taken. The power conferred by this section includes power to break open any labeled container in which any seed of any notified variety or species may be kept and to break upon the door of any premises where any such seed may be kept for sale:

Provided that the power to break upon the door shall be exercised only after the owner or any other person in occupation of the premise, if he is present therein, profuse to open the door on being called upon to do so. (5) Where the Seed Inspector taken any action under subsection (1), he shall, as far as possible, call not less than two persons of the locality to be present at the time when such action is taken and take their signature on a memorandum to be prepared in the prescribed form and manner. (6) The previsions of the Code of Criminal Procedure, 1898 (Act V of 1998), shall, so far as may be, apply to any search or a seizure made under this section as they apply to any search or seizure made under the authority of a warrant issued under section 98 of the said Code. 21. Procedure to be followed by Seed Inspector: - (1) Whenever a Seed Inspector intends to take a sample from the crop of any seed of any notified variety or species for analysis, he shall: (a) (b) Give notice in writing of his intention to do so to the person from whom he intends to take sample; and

Expect in special cases provided by rules, take three representatives samples in the prescribed manner and mark and seal or fasten up each sample in such manner as its nature permits. (2) When samples of any seed of any notified variety or species are taken under sub-section (1) the Seed Inspector shall: (a) deliver one sample to the person from whom it has been taken; (b) send, in the prescribed manner, another samples for analysis to the Seed Testing Laboratory of the area within which such sample has been taken; and

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(c) retain the remaining sample in the prescribed manner for production in case any legal proceedings are taken. (3) Where a Seed Inspector makes an order under clause (a) of sub-section (2) of section 20, (a) he shall use all dispatch in ascertaining whether or not seed contravenes any of the specifications laid down under section 10, and if it is ascertained that the seed does not so contravenes, forthwith favor the order passed under the said clause or, as the case may be, taken such action as may be necessary for the return of the stock of the seed seized there under; if the stock of the seed seized under that clause does not confirm to the aforesaid specifications, he shall, as soon as may be, report the matter to a Magistrate and take his orders as to the custody thereof; and without prejudice to the institution of any prosecution, if the alleged offence is such that the possessor of the seed may remove the defect, he shall on being satisfied that the defect has been as removed, forthwith revoke the order passed under the said clause.

(b)

(c)

(4). Where a Seed Inspector seizes any record, register, documents or any material object under clause (b) of sub section (2) of section 20,he shall, as soon as may be, report the matter to a Magistrate and take his orders as to the custody thereof. 22. Report Of Seed Testing Laboratory:- (1) The Seed Testing Laboratory shall, as soon as may be after the receipt of the sample under section 21, analyse the sample and deliver, in such form as may be prescribed, one copy of the report of the result of the analysis to Seed Inspector and another copy there of to the person from whom the sample has been taken. (2) The production in any inquiry, trial or other proceedings under this act of a report under the hand of a Seed Analyst in the form prescribed shall, until the contrary is proved, be sufficient to prove the facts stated therein. (3) When any person is accused of an offence under this Act, the court may, if it considers necessary in the interest of justice and the accused deposit in the court a sum of money in accordance with the scale prescribed, summon as a witness the Seed Analyst who analyzed the sample in respect of which such person is accused of having committed, offence, and, if such person is acquitted, sum of money to deposited shall be refunded to him. 23. Offences and penalty: - Whoever; -

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(i) Contravenes any provision of this Act or any rule; or (ii) Prevent a Seed Certification Officer or a Seed Inspector from taking a sample or inspecting seed under this act; or (iii) prevents any official from exercising any power conferred on him by or under this Act, shall be punishable; (a) for the first offence, with fine not exceeding one thousand rupees; (b) where the offence continues after conviction with a further fine of one hundred rupees for each day during which the offence continues; and (c) for a subsequent offence, with imprisonment for a term which may extend to six months, or with fine, or with both. 24. Power of court to order forfeiture.___ if any person in convicted of an offence punishable under this Act in respect of any notified variety or species of seed, the court convicting him shall further direct that the seed shall be forfeited to the Federal Government. 25. Cognizance of offence, etc; - (1) No court inferior to that of a Magistrate of the first class shall any on offence punishable under this Act. (2) No court shall take cognizance of an offence punishable under this Act except upon a complaint in writing made by the Federal Seed Certification Agency or a person authorized by it in this behalf b y an order in writing. 26. Presumption as to order; - Where an order purports to have been made and signed by an authority in exercise of any power conferred by or under this Act, a court shall presume within the meaning of the Evidence Act, 1976 (1 of 1872), that such order was so made by that authority 27. Indemnity; No suit, prosecution or other legal proceeding shall against any person for anything, which is in good faith done or intended to be done under this Act or the rules. 28. Delegation of powers: - The Federal Government may, by notification in the official Gazette, direct that all or any of its powers under this Act or the rules shall, in such circumstances and under such conditions, if any, as may be specified in the notification, be exercisable also by: (a) A Provincial Government; or (b) An officer or authority subordinate to the Federal Government. 29. Power to make rules: (1) The Federal Government may by notification in the official Gazette, make rules for carrying out the purposes of this Act.

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(2) In particular and without prejudice to the generality of the foraging power, such rules may provide for: (a) The functions of the Seed Testing Laboratory; (b) The requirements which shall be compiled with by the registered growers or a person carrying out the business of seed production, processing or distribution; (c) The form of application for the grant of a certificate under section 13, the particulars It shall contain, the fees, which shall accompany it, the form of the certificate and the conditions subject to which the certificate may be granted; (d) The records to be maintained by a registered grower or person carrying on the business referred to in sub-section (1) or section 13and the particulars which such records shall contain; (e) The form and manner in which, and the fee on payment of which, an appeal may be preferred under section 16 and the procedure to be followed by the appellate authority in disposing of the appeal; (f) The qualifications and duties of a Seed Certification Officer; (g) The qualifications and duties of a Seed Inspector; (h) The manner in which samples may be taken by the Seed Inspector, the procedure for sending such samples to the Seed Testing Laboratory and the manner of analyzing such samples. (i) The form of report of the result of the analysis under sub-section (1) of section 22 and the fees payable in respect thereof; (j) The powers and functions of a Seed Analyst; and (k) Any other matter which is to be or may be prescribed.

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