The present position of organisation in the seed trade

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THE PRESENT POSITICN OF ORGANISATION IN THE SEED TRADE.

J, W . H a d f i e l d , A g r o n o m i s t , N e w Z e a l a n d Department of Agriculture.

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Perhaps one of the most important of recent developments in pasture improvement has been the realisaticn by scientific and

edUCatiCnd1 workers cf the economic value cf regicnal strains.

Our cwn research wcrkers and those engaged in extension wcrk are f u l l y a l i v e t o t h e pcsiticn a n d realise a l s o t h a t c e r t a i n N e w Z e a l a n d r e g i c n a l s t r a i n s a r e a p o t e n t i a l scurce of wealth to this

to ‘extract c c u n t r y a n d a r e t a k i n g s t e p s t o explcit these strains and/frcm t h e m the greatest measure of benefit. T h e mere p r o g r e s s i v e grcwers anti merchants have for some time realised the value of these strains

and have reaped accordingly a measure of individual prcfit, but, u n t i l t h e l a s t t h r e e o r f o u r y,ears, there ‘has net been any collect-

ive or well. directed attempt tc explcre t h e f u l l naticnal pcssibilities offered by these strains, or tc place them on the pedestal which we feel is their rightful place.

I f w e a r e t c b e l i e v e t h e aomplimentary r e f e r e n c e s m a d e over seas, we must regard this ccuntry as. one cf the mcst favcured a s a n E m p i r e c e n t r e f o r t h e prcducticn cf herbage seeds. I n additicn we have ample evidence frcm abrcad that they regard cur

r e g i c n a l s t r a i n s a s o f c o n s i d e r a b l e e c c n c m i c v a l u e . Hawke’s Bc~y and Poverty Bay ryegrass, New Zealand white clover, Akarca ccckslcc”,,

New Zealand brown top and Chewings fescue, are all strains of iu’e;:.

,Zealand origin reccgnised abroad and each having its own sphere cf econcmic adaptaticn. Therefore, although we may not agre,e amcngst o u r s e l v e s i n d e t a i l u p o n t h e e x a c t e c c n c m i c u t i l i s a t i c n o f t h e s e‘;

strains, I think we are unanimcus in regarding them as a great asset to New Zealand, and one frcm whi’ch we should extract the uttermcst v a l u e .

A p p r e c i a t i n g t h e s e f a c t s w e , i n t h e D e p a r t m e n t , h a v e f e l t that the full realisaticn of the benefits we shculd reascnably

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anticipate might be impeded by two fdctors. I n t h e f i r s t p l a c e t h e c c n s u m e r h a d tc b e e d u c a t e d t c a r e a l i s a t i c n o f t h e s i g n i f i c a n c e cf s t r a i n dif f er enc,es . This aspect ‘is ‘to be dealt with in more detail b:r Jt@. L e v y t h i s e v e n i n g , and I will ccnfine myse If to the remark i that we entered with”zest and enthusiasm into this propaganda. We d i s t r i b u t e d s e e d t o p r a c t i c a l l y e v e r y r e s e a r c h a n d educaticnal

inst’itution in the British Empire and United States of America, and, thrcugh New ‘Zealand merchants, t o t h e i r c l i e n t s o,vers.eas.

Seccndly we felt that we were under.‘.a mcsal o b l i g a t i o n t o follcw o.ur reccmmendaticns a s t a g e f u r t h e r a n d t c s e e t h a t - t h e_

c c n s u m e r r e c e i v e d s e e d o f t h e p a r t i c u l a r str.ains we were reccmmendinC;.

In ‘other words we had tc put the merchant, in the positicn ,of being a b l e ‘tc cffer ana sell these seeds und.er a g u a r a n t e e c f t y p e , w h e n

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it must be realised, c c u l a nc.t be determined b,y a n inspecticn kf the “seed, and required even expert Judgment to determine i,t under field ccnditicns.

S e e d certif,icaticn was t,herefcre intrcduced a s a m e a n s t o this end and the Department”, as an impartial judge, undertock the determination cf type and the sealing and tagging of these seeds frclL p a s t u r e s w h i c h a t t a i n t c c e r t a i n s t a n d a r d s c f e x c e l l e n c e .

I ain t o l d t h a t a s a r e s u l t c f c u r p u b l i c i t y , a b l y a s s i s t e d . by the merchants, ” very few farmers in New Zealand have net heard izf

c e r t i f i ’ c a t i c n , m o r e p’a;‘rticularly i n i t s relaticn t c r y e g r a s s . ou 1’

certificaticn scheme has been ,t.he subject of complimentary reference:.:

f r o m G r e a t B r i t a i n a n d e l s e w h e r e e v e n thcugh t h e y d c net, cr cannct, a t t h i s j u n c t u r e pur.chase c u r c e r t i f i e d prcducts. I t i s f l a t t e r ins;>

e v e n i f scmewhat alarm’ing, tc ‘ncte that Tasmania, New Scuth Wales, a n d o t h e r A u s t r a l i a n Sta’tes-., a r e adcpting systems’ similar tc cur cbvn,

even, i n scme cases, t c t h e e x t e n t o f u s i n g Ne:w Z e a l a n d Mcther seed, as we use it, as a basis fcr further seed yrcducticn. I unders tarld Tasmania accepts New Zealand ticther seed as if it were Tasmanian, and

SC imbued are they with the pcssibilities attending the use of New Z e a l a n d c e r t i f i e d p e r e n n i a l r y e g r a s s , t h a t t h e Gcvernment o f f e r s a b o n u s o f 2/- p e r b u s h e l c n all certified ryegrass seed prcduced i n that country.

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I h a v e m a d e sGecia1 r e f e r e n c e l!.c c u r Departmental ‘activitlea because what we have dcne in the way cf certifizaticp and pubLic;ity, and,-the f a c i l i t i e s o f f e r e d t h e t r a d e b y t h e S e e d Analystfs gecticn have been definite attempts at crgan.isaticn. Vfe f e e l , hotiever, thdt.

we have about reached the limit beycnd which we cannot go wit.hcut i n t r u d i n g intc the’ affairs of the trade; y,et at the same time we believe that, further crganisaticn in the trade might play an increus-

ingly impcrtant p a r t i n i t s develcpment.

T h e certificaticn cf herbage seeds commenced in k92.9/30 and t h e fcllcwing t a b u l a t e d r e s u l t s shcw t h e prcgress thathas b e e n m a d e i n t h e vclume cf seed harvested:-

Q,uantities o f M a c h i n e - d r e s s e d S e e d C e r t i f i e d , 1929/30 - 1932/33.

1929/30

L930/31 L931/32'

: 1932/33

Perennial Ryegrass 17,052 45) ytlr 81, 186 235,825 b u s h e l s

Cocksf cct

171,720 622,765

lbs.

Brcwn Top

17C),071 17l,Od3 lYd,343

^? ^lbs.

White C lover

79,610

^67,242

6,131

32,809 Ibs.

Writ. R e d Clever

2,057

2 , 6 1 6 Lbs.

Perhaps the mcst striking development has been the astonish- i n g i n c r e a s e i n the,amount o f p e r e n n i a l ryegrass seed certified. Ill t h e m a i n t h i s h a s b e e n d u e t o t h e f a c t t h a t , a t p r i c e s r u l i n g d u r i n g the past few years, t h e producticn of certified ryegrass s e e d h a s

b e e n c n e o f t h e f e w silver l i n i n g s i n t h e d a r k clcuds o f depressicn. .’

In fact, to many, it has been a veritbale golden lining which has ., r e s u l t e d i n a r u s h c f e a g e r prcspectcrs lccking for similar results.

T h e pcsition now is that we are a little dubicus abcut the:

dispcsal c f t h i s s e e d , the circumstances being a relatively high price demanded by the producer, ccincident with a low purchasing power on the pdrt of tne ccnsumer . I t i s cbvicus that these two pcints must meet if trade is to result. We n e e d , on the one hand, a d e c r e a s e i n c u r prcducticn ccsts, a n d , o n t - h e o t h e r , a b e t t e r r e a l i s a t i o n b y c u r prcsgective customers cf the value of what we h a v e t c of3er.

T h e difficuL.ties t h a t a r e blccking t h e c u t l e t f o r GUY

s e e d s a r e t c b e d i s c u s s e d i n m o r e d e t a i l b y o t h e r s p e a k e r s t h i s

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evening,, but cne pcint I w c u l d like t o r a i s e new i s t o q u e s t i o n .hcw f,ar we ‘may proceed with certificaticn? This is a matter which seems tc -me to requ.ire v e r y care’ful ccnsideration b y t h e t r a d e . The

t e c h n i c a l a s p e c t m a y w e l l b e l e f t i n t h e h a n d s c f t r a i n e d s p e c i a l i s t s ,

’ bu’t in the trade aspect of cur work we need guidance, and. I feel sure t h a t t h e o f f e r c f clcser cccp eraticn by merchants and grcwers wculd be well received.

I shculd like new tc refer tc what, o n e m i g h t d e s c r i b e a s a ge.ne’ra.1 a i r c f dissatisfacticn tc,be fcund i n c e r t a i n secticns c f o u r p r c d u c e r s o n acccunt cf t h e slew mcvement of. cur ‘seeds. Scme have

l i k e n e d c u r c e r t i f i c a t i c n t c a bccmerang tnrcwn by an unpr4ctised

h a n d , b u t o f t h e s e c r i t i c s i t m u s t -be s a i d t h a t t h e y sewed i n t h e hcpe c f r e a p i n g a c e r t a i n p r i c e p e r b u s h e l . a n d realised.but c n e h a l f o f t h e i r expectaticns. Nevertheless s u c h a n a t t i t u d e c n t h e p a r t c f the g r c w e r s i s l i k e l y t o resuht in rsstricted prcducticn which cne feels ,shculd b e oountered b y e v e r y p c s s i b l e m e a n s . Here we have. Nev:

Z e a l a n d s t r a i n s o f undcubted merit. We are ccnvinced that their wider u’se in New ‘Zealand must inicrease and cheapen prcducticn.. we

f e e l reascnably c e r t a i n t h a t t h e s a m e pcsiticn hcids i n m a n y ether ccuntries in which we wculd be pleased tc trade cur seeds. Any tendency, ther ef cr e, t c a reducticn i n t h e p r o d u c t i o n c f a n arti&,le ,* in which we have such faith, should surely be rriet by organisaticn znci

educaticn’, a n d t h e explcraticn of every pcssible av.enue cf expansicn.

T h e scluticn c f t h e s e prcclems sefzms t c m e tc c a l l f c r t h e peeling c f the best brains and. exper ience we have .i’n the industry.

.’ ,What I b e l i e v e m a y b e t r a c e d a s t h e d i r e c t outccme cf -diss-atisfacticn amcngst p r c d u c e r s i s t h e e s t a b l i s h m e n t o f s e e d

grcwers’ ‘-associaticns aimed, n c dcubt; a3 sclving t h o s e prcblems which t h e y f e e l t h e m e r c h a n t s h a v e cct: cr cannct, s o l v e f c r t h e m . What - ever view we may held regarding the establishment cf such crganisaticns, we must realise that,they are i.n -fact springing up here and

.there thrcughcut New Zealand. I t?rink i n mcst c a s e s t h e i r , o b j e c t i v e s are still somewhat nebulcus, but they. are nevertheless organising

t h e i r f crces, a n d o n e ain, which- is perha,ps mere cr less defined, is t h e i r d e s i r e t o f i n d a n cutlet fcr t h e i r seed-a.

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:. A t t h e back c f t h i s mcxement i s a fcrce o f opinicn .wnic+l I.,;

b e l i e v e cculd b e mo.ulded a n d L e d intc prcfitabhe~ a c t i v i t y if,:,it.c.cuLd b e ,organised net b y o n e secticn o n l y b u t b y all, tho,se parties,whc ;ir’e

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dikedtly interested. ^.I

Fai Ling th,i& a r e t h e s e p u r e l y s e e d growers! o r g a n i s a t i c n s, tti e n t e r t h e Pield a s s e l l i n g a g e n c i e s i n a ccuntry a m p l y s u p p l i e d , n u m e r i c a l l y a t l e a s t , with. these facilities?

Are they going to take over from the Department t-he certif i c a t i c n o f t h e i r s e e d s ? While I believe that some of the respcnsibility m i g h t w e l l b e l a i d upcn s u c h a s s o c i a t i o n s , y e t !t

cannct see how they wculd functicn ad e f f i c i e n t l y , o r a s eccnqmically, as we can in the Department with a trained field staff to do the ^wcrk *

‘ W i l l t h e y ccnfine t h e i r attenticn t o t h e - a$vertJsi,ng o f t h e i r prcduc ts? I f so, t h e y tiannct f u n c t i c n a s i n d i v i d u a l b o d i e s , b u t m u s t d c s o ccllectively, advertising New Zealand seeds as a whole and this wculd surely e n t a i l t h e e s t a b l i s h m e n t c f a centraL fund., Moreover a

seL1:irig ,agency s e e m s t o b e t h e obvicus outccme o$ a c a m p a i g n ,in ,advertising.

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W h a t theti’ i s t h e s i g n i f i c a n c e o f t h i s a c t i v i t y ? I’t Leads US s u r e l y t o a reccgniticn c f a d e m a n d f c r o r g a n i s a t i c n , a,nd i f s u c h iS t o a r i s e , I f e e l t h a t i t w o u l d f u n c t i c n m o r e e f f i c i e n t l y b y a n

‘amalgamaticn of the two interests, n a m e l y t h e p r o d u c e r s a n d t h e di.stYibutcrs.

Many c f u s b e l i e v e t h a t t h e t.ime is. r i p e f o r a m o r e sympathetic understanding between these parties, and that a

cctiference between a few selected farmers and a few selected merchants might gc a long way toward better understanding. From such a

cdnferenc‘e o n e hcpes t h e r e m i g h t a r i s e scme v e r y c o n c r e t e ‘prcposals aimed at ,the advancement cf seed .prcdu.cti,cn and the seed t’rade

..- generally, a n d a n eLiminat,icn o f t h e parcchi,aL a t t i t u d e a d o p t e d b y ..

c e r t a i n secticns o f m e r c h a n t s a n d grcwers.

Early this year in England a.n Imperial Econcmic Committee conducted an investigdticn into all phases cf Empire seed and

,hcrticu ltural trades. Unfortunately the evidence submitted is ecnfidential a n d one .cannot m a k e u s e o f i t i n a.pproaching t h e

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” .sub ject u n d e r discussicn- Nevertheless one may say, perhaps, that t h e i d e a u.nder-lying t h e b u l k o f t h e evide.nce w a s t h a t o f o r g a n i s i n g the Empire’s resources, m o r e p a r t i c u l a r l y i n relaticn t o t h e prcduct- i o n o f supericr strai.ns o f g r a s s a n d c l o v e r s e e d s . -New Zealand as a ccuntry i n w h i c h l a r g e c o n t r a c t s m i g h t b e p l a c e d w a s c o n s i d e r e d

unsatisfactcry because she had nc crganisaticn for handling such ccntracts, t h a t i s , n c o r g a n i s a t i c n s u c h a s e x i s t s i n c e r t a i n o f t h e Ccntinental c o u n t r i e s .

I have attempted in this paper to lead up to the main theme c f o u r d i s c u s s i c n t o n i g h t , t h e o r g a n i s a t i o n o f t h e s e e d t r a d e , a n d .hcpe it will serve as an intrcducticn t o t h e p a p e r s t h a t a r e ‘tc fclLol!d.

Mr-. Foy, Seed, Analyst, cf the Department cf Agricul’ture, is t o r.ead a p a p e r e,nti.t l.ed “Expert Marketing of Agricultural, Seeds,‘I’

and fo llcwing this., one by Mr.’ Levy,, Agrostclcgist, on ‘tl’Th,e Extension of Overseas Markets for New Zea.land Certified Seeds.”

I n presenting’theae paper-s we realise that the seed trade, .its methods and ramificatic.ns,,. have been established. only after years\ sf. p r a c t i c a l b u s i n e s s e x p e r i e n c e . We are net here as destructive

-britics, ncr are we attempting ,to teach the seed. trade its business, f c’r w e q u i t e realise. o u r limita.ticns. .As disinterested observers,

hcwever, we see a, little of both sides, that cf the grower and that o f t h e m e r c h a n t , a n d o u r cnly cbjective is to .serve in what capaci’Gy we can a.trade w h i c h w e b e l i e v e c o u l d h a v e a p r o m i s i n g f u t u r e .

j We realise.also that Government interference -in private 9I b u s i n e s s i s a n a t h e m a t o t h e t r a d e , a n d I wculd Like to disarm at cnce.

any.tirit.icism i n t h i s directicn b y emphasi.?ing that what we suggest ia t h a t t h e prcducer and distributor should help themselves, while we . stand by and offer what advice we can, when and if it is asked.

After Mr.. Levy has concluded his paper, Mr. Mulholland,is to read one- on *‘The Organisation of the Seed T.rade from the producer’s’

Viewpoint,. ” to be f ollcwed by Mr. Hewlett, of the Canterbury Seed Ccmpany, dealing.with t h e s a m e s u b j e c t frcm the poi-nt of view of the m e r c h a n t .

M a y I ccncLude.by m a k i n g a b r i e f r e f e r e n c e t o t h e organisat-

‘3c.n of the Canadian Seed ‘Trade which is reccgnised the wcrld over as a

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mcst p r a c t i c a l a n d e f f i c i e n t o r g a n i s a t i c n , a n d t h e t y p e c f ‘orgahisatic:;I., which might well be considered in relaticn to New Zealand ccnditicns.

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The whclesale seedsmen are crganised thrcugh an asscciaticn named

“The Canadian Seed Trade Asscciaticn, Cl with headquarters at Tcrc&.

We have its ccunterpart in the New Zealand Grain Seed and Prcduce

ltierchant’s A s s c c i a t i c n . The reccgnised seed grcwers are inccrpcrated under the name cf “The Canadian Seed Grcwer’s Asscciaticn.lt Their’.

membership consists of persons (or .crganisaticns) resident in Canada whc are engaged in the planting and propagating cf stcck or seed

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grcwn i n ccnfcrmity with the by-laws and regulaticns cf the Asscciat- i c n , scmewhat similar to cur New Zealand cert.ificaticn regulaticns.

T h e cbject c f t h e A s s c c i a ticn i s t c s e c u r e a n d m a i n t a i n a h i g h s t a n d a r d o f e x c e l l e n c e i n t h e yie1.d a n d q u a l i t y c f f i e l d a n d g a r d e n’ crcps t h r c u g h t h e u s e cf supericr prcpagating stcck.

Binally, the, Canadi,an Minister cf Agriculture appcints an Advisory Beard under the Seeds Act which meets frcm time to time as

cccasicn warrants to ccnsider s t a n d a r d s t h a t , i n t h e i r opinicn, shculd a p p l y f c r t h e d i f f e r e n t g r a d e s c f s e e d s a n d t c m a k e s u c h r’eccmmendat-

icns, to t h e M i n i s t e r f c r apprcval. T h i s ddviscry S e e d Beard is ccmpcsed of equal represehtaticn from the seed trade, seed grcwers, vegetable grcwers and farmers with a representative frcm the

24gricultural Ccmmittee of the Hcuse of Ccmrncns and the Cccperative Wheat Prcducers, Ltd., tcgether with the Seed Ccmmissicner, Ottawa, as Chairman’; and the chief of the Seed Division, Seed Branch, Ottawa, a s S e c r e t a r y .

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,,,ii tfi.6

cOnClusi,o& ..of“the .~,a&& .on :hG ‘&& tp&e.‘,&a. g.biop :

to,the dLsq&.ions.whi:& t&y ,evoked, I,$; Hadfield &de the foll&ns' st~ateme'nt.;; ,: .' '. i ,, !, ,,

p .a.: : ,

~APtiough r@&$sjAie for the; organi.q&:i.ori of'.this evening"s meeting, and for invgtktig ihe papers .you ha';e,-,h~~.ra,:lsTet I."am .at, .sotie disadvantage :in- not.-bavihg had an earlier oppdrt&i,ty oF:readiilg these papers.which mine was intended to introduce. l$y paper wa,sintended :,

to p'ave the Way for.those to follow, but I can see now that it has-

proved inadeQuate in this respect,. and the,.C,hairman,has kindly gra&- ', ed me a few minutes..to make certain e$plan,a%i‘ons,

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In the first-place,. the papers you ,have ho&d ar.e indivi,dual 'rs, that is, they express the views of the' individuak and not;.

&essarily those of the several interests reptiesentative of the

readers, '.

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$econdly,.,i should like to ass&e .you that the discussion arose from a sindere desire on the part of a;few of us‘t'o cleati'the :,

air of parochiali&; and recharge it with a,&ationaL:v-kewpoint'; -to

clear, away misunderstandings out of whi,.h 'ti'&s undoubtedly arisen" __

discontent, and to see if aq$one - whethe$:grower, ,research.worker,.

instructor or merchant. - has any conqtrtictive prop.osals to bririg

forward to help along the' industry, moee particularly‘with a view'*@ ; the expansion of our markets for herbage seeds. I have heard' 'SW-;

era1 remarks that we are,attempting to teaoh the merchants their . . .,. : business0 I do not think that a fair criticism, nor do11 think there,

is anything in these papers to warrant such a conclusion,, :

Attention has been drawn in tvrio paoers to the disadvantagcL' ous 'reports' received from tierchants abroad, .showing'apathy arid .evon opposition to 'our certified seeds. Threeor four 'years ago'we had .:

a parallel case in New Ze.al.and. IJost,of you will remcmb-er the cry::

Of' opposition that arose in,Southland.regarding certified perennial,., 8 ryfxrass 9,

day, Yet

the echoesof which are still reverberating around us to-.

at this conference we have representatives from Wuthland who are in the best position to judge 'the value of tiertified~~crcn-

nial ryegrass in that district and who speak of.it with unstinted I1 praise.

If we accept this &favourable.verdict on our seeds, or even if we do not,accept it yet make no aggressive attempt to ovc&

come the difficulties attending export, then I feel that this meet- ing will not have borne the fruit for which, I hoped. But if we arc to counter this defeatism attitude, then any organization or concerted policy must com‘e from within, tither from the grower or the merchant, and I still believe that a constructive policy could' be framed, or an advisory committee created, by an amalgamation of

both intcrcstsON

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