Emanuel "Manny" SHEMIN - Director - Genesis Seeds, Ltd., Israel

March 2002

Does the distribution of organic seed present specific problems?
With the US law effective in October of this year, and the European law effective in January, 2004, significant changes have to take place in all aspects of the organic seed industry.

From research to production, harvesting, processing, warehousing, labeling, and shipping, organic seed must be kept separate from conventional seed. Beyond the seed and all the way down the supply chain, organics must be kept separate from conventional products.

Seed companies and seed dealers who become part of the organic seed supply chain will have to commit capital and human resources to ensure proper separation and identity preservation of the organic seed at all levels.

At this stage, however, I find that many seed companies and seed dealers are waiting to see how the certifiers will interpret and execute the organic laws before making any long term capital committments. The big question in everyone's mind is how strictly and uniformly the laws will be interpreted and enforced.

The challenge for the present customers is that this is a business in expansion and a new opportunity. Much of their present SG&A can be used in this new enterprise to help offset some of the expenses. As the law is implemented, the rewards will be well worth the risks.

 

 

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