INCHEON: Leading up to the recent 23
rd Asian Seed
Congress in South Korea, Asian Seed sat down with Jong Woo Lee, President of the Korean Seed Association (KOSA), to learn more about the Korean seed industry. Below is the interview, which was originally published in
Asian Seed magazine, Volume 22, Issue 5.
[caption id="attachment_3193" align="aligncenter" width="720"] Three KOSA officers (left to right): Vice President Sang-Guen Kim, President Jong Woo Lee and General Manager Hyun-Ho Shin[/caption]
APSA: Describe KOSA and the work it does.
Lee: The Korean Seed Association (KOSA), founded in 1965, promotes stable agricultural production by developing high quality seeds and helps facilitate regulatory procedures related to the seed trade and seed distribution in Korea.
We maintain close relationships with institutions,as well as government agencies, to represent the interests of KOSA members and to try to increase benefits and harmony between our members. We have 59 members now and we organise a General Assembly and a CEO forum twice a year to communicate with them. We also hold forums for experts in order to help solve pending issues and provide alternatives.
What is the current situation of the seed industry?
The Korean seed market is estimated at $400 million, or about 1.1% of the world seed market. The field crop market is worth about $170 million, vegetable crop, $1.5 billion, and horticulture, $110 million. However, the domestic market may have peaked because seed demand has been shrinking continuously due to slowing consumption, a reduction in cultivation acreage, increasing agricultural imports and the growth of the seedling industry.
A person/company wanting to operate a seed business must be equipped with facilities as prescribed by the Seed Industry Law, must register his/her business with the Mayor or Provincial Governor of the town or province in which the seed business is located, and they must have one or more seed quality managers.
The number of seed businesses registered is 1,368, including the following segments: 60 companies in field crops, 411 in fruit, 227 in vegetables, 213 in horticulture and 132 in mushrooms. If importers were included, the number of companies operating in the seed industry would certainly rise.
Regarding markets, what seed is produced for domestic use and what seed is exported?
Self-sufficiency in field crop and vegetable seed varieties is likely to be high, but fruit tree and horticultural varieties are highly dependent on imported varieties. Field crops such as rice, barley, soybean, corn and potato have been developed and supplied by the public sector, while vegetable and horticultural variety development and distribution have been led by the private sector.
In 2015, seed export sales reached $47 million, mainly comprised of vegetable seeds. The principal vegetable seed exports currently are hot pepper, radish, Chinese cabbage and cucumber. Fruit trees, horticulture, grass and cover crops (and also onions and sweet peppers) are highly dependent on imports.
Our seed imports and exports have increased significantly, however, in the case of imported seeds, overseas seed production is the main source.
What are the major issues and challenges for the seed sector?
The domestic market is stagnating and there are so many small enterprises. In terms of global trade liberalisation, South Korea has promoted free trade agreements. Consequently, agricultural production imports are increasing and agricultural consumption is declining as the population shrinks and consumption patterns change. Therefore the area used for cultivation has shrunk and this has decreased demand for seed. In addition, because companies are entering into a limited domestic market, many of them are quite small; there are currently 227 companies registered as vegetable seed businesses.
Outwardly, the challenges that the Korean seed industry faces are similar to those faced by APSA’s member countries in the world seed market – food security, climate change, mergers and acquisitions in the global seed market, international regulations like ABS, quarantines, and Plant Variety Protection. KOSA assists in the development of high quality seed varieties on the basis of our members’ excellent breeding technologies, and also tries to create good seed distribution. We cooperate with international organisations like APSA, ISF and so on, as well as relevant local agencies such as KSVS (Korea Seed & Variety Service – see next story) and MAFRA (the Ministry of Agriculture, Food and Rural Affairs) to find solutions for these challenges.
What opportunities are there for foreign companies (and APSA members) in the Korean seed market?
Monsanto Korea, Syngenta Korea, Bayer Crop Science, Takii Korea and Sakata Korea have all entered the Korean market, and there are opportunities for many companies to work across multiple sectors, from breeding and production to marketing and distribution. Some executives from these companies also serve on the executive board of KOSA in order to facilitate the development of the seed industry.
****
KOREA SEED & VARIETY SERVICE
[caption id="attachment_3194" align="alignleft" width="269"] Oh Byeong Seok, Director General of Korea Seed and Variety Service.[/caption]
At the Asian Seed
Congress in Goa, India, back in November 2015, the Director General of the Korea Seed & Variety Service (KSVS), Byeong Seok Oh, was part of the signing ceremony for ASC 2016 in Incheon. He co-led a Korean delegation with co-host KOSA (the Korean Seed Association) to meet members of APSA’s Executive Committee and to sign the contract for ASC 2016.
At the time, he said that the broad aim of participating in an Asian Seed Congress with APSA was to expand the export of Korean seeds through international market entry of the Korean seed industry. He added that he believed the Asian Seed Congress would help promote the excellence of Korean seeds to all the international stakeholders of the global seed industry.
KSVS is responsible for a range of specific tasks and projects related to the management of seeds in South Korea, including: the protection of plant varieties; ensuring legal protection for producers of new seeds; the establishment of a national variety list and Plant Variety Protection (PVP) of agricultural crops; ensuring stable and sustainable agricultural production; management and implementation of DUS and VCU testing; securing the production and supply of superior seeds for core agricultural crops, such as rice and barley; and undertaking seed inspection activities to prevent the illegal distribution of seeds. In a press release from the Ministry of Agriculture, Director General Oh said that 13 Korean seed companies attended ASC 2015 in Goa, India.
He explained that for this year’s congress, detailed background checks were made on the feasibility of holding a Congress in South Korea (the previous one held in South Korea was in 2004 in Seoul). Then discussions were held across the industry to exchange information and strengthen the cooperation between the private and public sectors.
Three KOSA officers (left to right): Vice President Sang-Guen Kim, President Jong Woo Lee and General Manager Hyun-Ho Shin[/caption]
APSA: Describe KOSA and the work it does.
Lee: The Korean Seed Association (KOSA), founded in 1965, promotes stable agricultural production by developing high quality seeds and helps facilitate regulatory procedures related to the seed trade and seed distribution in Korea.
We maintain close relationships with institutions,as well as government agencies, to represent the interests of KOSA members and to try to increase benefits and harmony between our members. We have 59 members now and we organise a General Assembly and a CEO forum twice a year to communicate with them. We also hold forums for experts in order to help solve pending issues and provide alternatives.
What is the current situation of the seed industry?
The Korean seed market is estimated at $400 million, or about 1.1% of the world seed market. The field crop market is worth about $170 million, vegetable crop, $1.5 billion, and horticulture, $110 million. However, the domestic market may have peaked because seed demand has been shrinking continuously due to slowing consumption, a reduction in cultivation acreage, increasing agricultural imports and the growth of the seedling industry.
A person/company wanting to operate a seed business must be equipped with facilities as prescribed by the Seed Industry Law, must register his/her business with the Mayor or Provincial Governor of the town or province in which the seed business is located, and they must have one or more seed quality managers.
The number of seed businesses registered is 1,368, including the following segments: 60 companies in field crops, 411 in fruit, 227 in vegetables, 213 in horticulture and 132 in mushrooms. If importers were included, the number of companies operating in the seed industry would certainly rise.
Regarding markets, what seed is produced for domestic use and what seed is exported?
Self-sufficiency in field crop and vegetable seed varieties is likely to be high, but fruit tree and horticultural varieties are highly dependent on imported varieties. Field crops such as rice, barley, soybean, corn and potato have been developed and supplied by the public sector, while vegetable and horticultural variety development and distribution have been led by the private sector.
In 2015, seed export sales reached $47 million, mainly comprised of vegetable seeds. The principal vegetable seed exports currently are hot pepper, radish, Chinese cabbage and cucumber. Fruit trees, horticulture, grass and cover crops (and also onions and sweet peppers) are highly dependent on imports.
Our seed imports and exports have increased significantly, however, in the case of imported seeds, overseas seed production is the main source.
What are the major issues and challenges for the seed sector?
The domestic market is stagnating and there are so many small enterprises. In terms of global trade liberalisation, South Korea has promoted free trade agreements. Consequently, agricultural production imports are increasing and agricultural consumption is declining as the population shrinks and consumption patterns change. Therefore the area used for cultivation has shrunk and this has decreased demand for seed. In addition, because companies are entering into a limited domestic market, many of them are quite small; there are currently 227 companies registered as vegetable seed businesses.
Outwardly, the challenges that the Korean seed industry faces are similar to those faced by APSA’s member countries in the world seed market – food security, climate change, mergers and acquisitions in the global seed market, international regulations like ABS, quarantines, and Plant Variety Protection. KOSA assists in the development of high quality seed varieties on the basis of our members’ excellent breeding technologies, and also tries to create good seed distribution. We cooperate with international organisations like APSA, ISF and so on, as well as relevant local agencies such as KSVS (Korea Seed & Variety Service – see next story) and MAFRA (the Ministry of Agriculture, Food and Rural Affairs) to find solutions for these challenges.
What opportunities are there for foreign companies (and APSA members) in the Korean seed market?
Monsanto Korea, Syngenta Korea, Bayer Crop Science, Takii Korea and Sakata Korea have all entered the Korean market, and there are opportunities for many companies to work across multiple sectors, from breeding and production to marketing and distribution. Some executives from these companies also serve on the executive board of KOSA in order to facilitate the development of the seed industry.
****
KOREA SEED & VARIETY SERVICE
[caption id="attachment_3194" align="alignleft" width="269"]
Oh Byeong Seok, Director General of Korea Seed and Variety Service.[/caption]
At the Asian Seed Congress in Goa, India, back in November 2015, the Director General of the Korea Seed & Variety Service (KSVS), Byeong Seok Oh, was part of the signing ceremony for ASC 2016 in Incheon. He co-led a Korean delegation with co-host KOSA (the Korean Seed Association) to meet members of APSA’s Executive Committee and to sign the contract for ASC 2016.
At the time, he said that the broad aim of participating in an Asian Seed Congress with APSA was to expand the export of Korean seeds through international market entry of the Korean seed industry. He added that he believed the Asian Seed Congress would help promote the excellence of Korean seeds to all the international stakeholders of the global seed industry.
KSVS is responsible for a range of specific tasks and projects related to the management of seeds in South Korea, including: the protection of plant varieties; ensuring legal protection for producers of new seeds; the establishment of a national variety list and Plant Variety Protection (PVP) of agricultural crops; ensuring stable and sustainable agricultural production; management and implementation of DUS and VCU testing; securing the production and supply of superior seeds for core agricultural crops, such as rice and barley; and undertaking seed inspection activities to prevent the illegal distribution of seeds. In a press release from the Ministry of Agriculture, Director General Oh said that 13 Korean seed companies attended ASC 2015 in Goa, India.
He explained that for this year’s congress, detailed background checks were made on the feasibility of holding a Congress in South Korea (the previous one held in South Korea was in 2004 in Seoul). Then discussions were held across the industry to exchange information and strengthen the cooperation between the private and public sectors.