b'SVUA ANNOUNCEMENT RAISES CONCERNS AROUND TRANSPARENCYProducer groups call for caution as a Seed Variety Use Agreement pilot project takes off.Compiled by Marc ZienkiewiczAS A PILOT PROJECTlaunches to evaluate how a trailing royalty system for value creation will work in Canada, producer groups are expressing significant concern about the pilot project and its potential impact on western Canadian wheat and barley producers. After the pilot project was announced Feb. 25, 2020, during the Prairie Grain Development Committee meet-ings in Winnipeg, the Manitoba Wheat and Barley Growers Association, Saskatchewan Wheat Development Commission, Saskatchewan Barley Development Commission, Alberta Wheat Commission, and Alberta Barley issued a joint news release calling for caution as the seed industry embarks on its first foray into seeing how a trailing royalty, or Seed Variety Use Agreement (SVUA), will work. The pilot project will implement the SVUA collectionTodd Hames (left) is chair of the Alberta Wheat Commission and Fred mechanism on farm-saved seed of selected crop varietiesGrieg is chair of the Manitoba Wheat and Barley Growers Association.through a contract agreement, which will require farmers to pay a royalty fee for every year they decide to divert some grain of an SVUA variety to use as seed (commonlyany pilot contracts and that producers clearly understand referred to as farm-saved seed). the impact of the contracts on their farms, added Brett The five wheat and barley commissions are not aHalstead, chair of the Saskatchewan Wheat Development party to, nor supportive of this pilot SVUA program. TheCommission. He said the group is also concerned that the pilot is separate from the federal governments consulta- proposed trailing royalty system could inhibit the adop-tion process on a new seed royalty structure and signalstion of midge tolerant varieties should they be included the seed industrys commitment to the SVUA modelas part of the pilot, which he said would have negative despite the ongoing consultation, the five producerimplications for the Midge Tolerant Wheat program.groups said in their statement.Jason Skotheim, chair of the Saskatchewan Barley The consultation process, which also includes the EndDevelopment Commission, said the pilot program should Point Royalty (EPR) model in addition to the trailing royaltynot expand to other crops such as barley that already model, was initiated by the federal government to informstruggle with variety uptake.the value chain and attempt to work toward the best modelThe pilot program will introduce an SVUA system for all involved including farmers. Further, the SVUAs arefor a limited number of seed varieties sold for planting being implemented via contract law and not a regulatorybeginning in spring 2020. Although no public varieties change, resulting in significant concerns from the commis- created in Canada have been chosen to take part in the sions about the future of the consultation process. SVUA program at this time, Alberta Wheat CommissionFred Grieg, chair of the Manitoba Wheat and Barleychair Todd Hames said that should this ever occur, it must Growers Association, said the group has questions aboutbe taken into account that farmers have already made a the implications of the proposed SVUA pilot and its impactsubstantial investment in the development of those varie-on the ongoing consultation process being managed byties through the current system overseen by the producer AAFC and the CFIA with regard to value creation.commissions.He said the group is also continuing to wait for an eco- It is critical that the government complete consulta-nomic analysis to be released by AAFC as the next step intions with grain producers and put a transparent and the consultation process surrounding value creation. accountable process in place to demonstrate that the Sask Wheat wants to ensure producers rights, such asmoney raised by the SVUA is, in fact, advancing varietal the right to use farm-saved seed, are being protected indevelopment, said Dave Bishop, chair of Alberta Barley. 46GERMINATION.CAMARCH 2020'