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BUSINESS OPPORTUNITIES REPORTMYANMAR’S AGRICULTURE SECTOR 1 ABOUT MYANMAR Myanmar (676,593 sq. km)...

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BUSINESS OPPORTUNITIES REPORT Investing in Myanmar’s Seed Sector Integrated Seed Sector Development Programme, Myanmar 2019 Jeroen Baas, Joep van den Broek and Swe Zin Myint Thein
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Page 1: BUSINESS OPPORTUNITIES REPORTMYANMAR’S AGRICULTURE SECTOR 1 ABOUT MYANMAR Myanmar (676,593 sq. km) comes from several decades in which it was a closed and in many ways self-sufficient

BUSINESS OPPORTUNITIES REPORT Investing in Myanmar’s Seed Sector

Integrated Seed Sector Development Programme, Myanmar2019

Jeroen Baas, Joep van den Broek and Swe Zin Myint Thein

Page 2: BUSINESS OPPORTUNITIES REPORTMYANMAR’S AGRICULTURE SECTOR 1 ABOUT MYANMAR Myanmar (676,593 sq. km) comes from several decades in which it was a closed and in many ways self-sufficient

3BUSINESS OPPORTUNITIES IN THE SEED SECTOR OF MYANMAR

Kachin

Chin ShanMandalay

Sagaing

Kayah

Kayin

Bago

RakhaingMagwe

AyeyarwadyYangon

Mon

Tanintharyi

500 km0

Dawei

Mawlamyine

Hpa-anYangonPathein

Bago

Si�weMagwe

Loikaw

Taunggyi

Mandalay

Myitkyina

SagaingHakha

Naypyidaw

TABLE OF CONTENTS

MYANMAR’S AGRICULTURE SECTOR 4

About Myanmar 5

Myanmar’s agriculture sector 5

MYANMAR’S SEED SECTOR 8

Introduction 8

Seed laws, regulations & procedures 9

CROP SECTORS: VEGETABLES, CORN, POTATO & SUNFLOWER 12

The vegetables sector 12

Hybrid corn 14

Potato 16

Sunflower 18

BUSINESS OPPORTUNITIES 20

Introduction 20

Seed production 21

Seed sales 23

Breeding 24

Opportunities in related materials or services 24

ANNEX 1 Seed companies active in Myanmar 25

ANNEX 2 Seed sector projects 26

ANNEX 3 Literature 28Mixed Deciduous Forest

Central Dry Zone

Temperate Montane Forests

Tropical Rain Forests

Cultivated Lowland

RICE

CORN

BEANS & PULSES

COFFEE

RUBBER

COTTON

SUNFLOWER

CHILI

SESAME

SOY

OIL PALM

FIGURES 1–2Myanmar geography (regions and states) and topography

FIGURE 3Climates and cropping systems

in Myanmar’s agriculture sector (Downing, 2018)

Page 3: BUSINESS OPPORTUNITIES REPORTMYANMAR’S AGRICULTURE SECTOR 1 ABOUT MYANMAR Myanmar (676,593 sq. km) comes from several decades in which it was a closed and in many ways self-sufficient

5BUSINESS OPPORTUNITIES IN THE SEED SECTOR OF MYANMAR4

After decades of isolation, Myanmar is one of the last countries opening its doors for foreign investment. Underdeveloped in several sectors it is looking for ways to push forward. The con-straints for development are similar across sec-tors: there is a lack of finance, lack of technical knowledge, little international experience and a number of rules and regulations that hinder economic growth.

The agricultural sector employs more than half of the population and has good potential for growth with enough land, water, fertile soils and several climatic zones. For development of the agricultural sector it is essential that there is reliable availability of quality inputs, services and equipment. The availability of quality seeds and planting material is seen as a key driver for increasing productivity.

Therefore, development of the seed sector has been given special attention. With this awareness and with the current progress in changing rules and regulations, the sector is offering good business opportunities, both for domestic and foreign seed companies.

MYANMAR’S AGRICULTURE SECTOR

1

ABOUT MYANMAR

Myanmar (676,593 sq. km) comes from several decades in which it was a closed and in many ways self-sufficient country. Only a decade ago there were mainly vehicles of more than 20 years’ old, internet and mobile phones were for the lucky few and electricity was an hourly luxury in most places. Now with the opening up of the country it is still rated as one of the least developed countries in the region.

Myanmar has limitations in its legal and banking system. However, a number of changes have been enacted recently and the playing field has opened up for foreign banks, offering international services. Transferring money in and out of the country has not always been easy but nowadays payments made outside of the country based on an official invoice are no problem.

In addition, some years ago there were no ATM machines and exchange of foreign currency was mainly a black market activity, while nowadays there are many ATM machines available and official money exchange is readily available (at standard rates). At the same time, the availability of credit, both short and long term, for a variety of activities is still limited. Insurance companies start offering some coverage, but also here there is still room for improvement.

Although the labour force is fairly inexperienced, you will find that people are hardworking and generally honest. A working month consists of 26 working days and minimum wages are now set at MMK 4,800 per day. Still in actual pay there are significant regional differences. Near Yangon and other cities people expect more than the minimum and in some rural areas it is normal that daily wages differ per season (higher in the rice planting and harvesting season) and in some cases men get paid more than women. For example in Mandalay area men get MMK 5,000 per day whereas women get MMK 3,500 per day. A just graduated BSc-holder in agriculture is paid around MMK 300,000 per month.

Compared to more developed economies nearby (China, Thailand) the country has little industry and the service sector is just starting to develop. Most materials and products are imported, thus increasing production costs of various processes and businesses. In general, the infrastructure is challenging; the road network is old and with the recent influx of new and second hand cars, it is stretched to its limits. Transport in Myanmar is expensive (1.5–2 times the price of Thailand) and import and export regulations and procedures are tedious and expensive. Port charges are one of the highest in South East Asia.

Myanmar is a very safe country to work in, especially in the areas where foreigners are allowed into. But there are still areas of the country where foreigners need special permission to travel. Some parts of Chin State, big parts of Northern Shan, several border areas with Thailand, parts of Rakhine can have restrictions for travel. This also has obvious implications for (foreign) business activity. Some people argue that these areas are already safe in practice and can be interesting for agricultural activities. For example Rakhine has great export possibilities for fresh produce to Bangladesh, and the border areas with Thailand can supply into the Thai market.

MYANMAR’S AGRICULTURE SECTORAgriculture is important in Myanmar. More than half the work force is employed in agriculture and it produces 40% of the GDP of Myanmar. Myanmar has a low public expenditure in agriculture. With a large area of arable land per capita (0.22 hectare per capita: ADB: UN 2012), more water available (24,164 cubic meters per person per year; ADB 2012) than most countries and a variety of climate zones suitable for several types of crops, Myanmar is seen as an uncut diamond for agriculture. Cutting the diamond will take some patience, skill, investment and proper groundwork. Nowadays the MOALI (Ministry Of Agriculture, Livestock and Irrigation) is open minded and gets support from several projects where they aim to simplify regula-tions and procedures creating an enabling environment for domestic and foreign investment in agriculture.

Page 4: BUSINESS OPPORTUNITIES REPORTMYANMAR’S AGRICULTURE SECTOR 1 ABOUT MYANMAR Myanmar (676,593 sq. km) comes from several decades in which it was a closed and in many ways self-sufficient

6 7MyanMar’s agriculture sector BUSINESS OPPORTUNITIES IN THE SEED SECTOR OF MYANMAR

In the table above you can clearly see that Myanmar has great potential for agricultural development. A low percentage of the land has been developed and there is more water available than in most countries of the region.

Several initiatives are looking to develop the ‘untapped potential’ of Myanmar. Part of this can be achieved by improving the technical knowledge (introducing enhanced farming techniques), making available quality inputs at a competitive price, improved training and education of people in agriculture and improving the rate of mechani-zation (especially in larger scale field crops). Of the quality inputs, quality seeds of improved varieties play a key role. Returns can be further increased by diversification and value addition; not only selling primary agricultural products but including other aspects of the value chain (e.g. through processing). Other restrictions mentioned are unsecure land rights, i.e. only 20% of all land is registered.

Myanmar is now using less fertilizer than other countries in the region (10% of the South Asian average) with about 1 million tons of fertilizer per year. State owned fertilizer plants supply 17% of the current demand of urea. This demand is expected to grow and with development in the sector, the demand for other higher quality fertilizers will increase. These fertilizers are now available only through imports.

The current irrigation infrastructure is limited to a few areas (see Figure 4). Water available in stable quantities at the right time, will increase yields, extend seasons and diversify crops. The use of furrow irrigation in still common in most crops where other methods like drip

irrigation (with fertigation) can reduce labour, increase fertilizer efficiency, reduce weeds, prevent erosion, reduce water use and increase yields (in cucumber yield increases are up to 75% compared to furrow irrigation).

In Myanmar there is hardly any reliable and afford-able credit available for farmers. A very low percentage of credit is given to agriculture (under 3%) whereas the sector represents 40% of the GDP. Many farmers borrow money from input suppliers or collectors at very high interest rates.

Individual farmers have little bargaining power for inputs or output produce (fresh). Therefore several people see contract farming (where inputs can be bought in bulk by the contracting party and given to the farmers in the form of credit) and the formation of farmer associations as an important step forward.

FIGURE 4Irrigation and water sources

in Myanmar

PICTURES 1–2Cauliflower farmer near Mandalay

and a cabbage farmer in Southern Shan

TABLE 1Key agriculture

indicators of Myanmar, com-

pared to other ASEAN countries

and Bangladesh

Population

in millions

Populationdensity

square km

Land area

in square km

Land useagriculture

(%)

Renewablewater /person

(cubic meters)

Myanmar60.6 80 653,290 19 24,164

Thailand66.8 130 510,890 41.2 6,275

Vietnam88.8 283 325,490 35 9,853

Philippines96.7 313 298,260 40.5 4,965

Bangladesh154.7 1,160 130,170 70 8,051

MYANMAR

THAILAND

VIETNAM

PHILIPPINES

BANGLADESH

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9BUSINESS OPPORTUNITIES IN THE SEED SECTOR OF MYANMAR8

Myanmar’s seed sector has recently started to develop. The first foreign companies started activities around the millennium. The first movers were Known You (vegetable seed company with first successes in melon and watermelon) from Taiwan and CPF (mainly field corn with Chia Tai as vegetable seed daughter) from Thailand. Some years later, vegetable seed company East-West Seed with Dutch roots and a head-office in Bangkok, started with a small team. One of the first international vegetable seed produc-ers was Genuine Seeds. They began producing seed on rented land in the Mandalay area with experienced Taiwanese supervisors and later expanded into contract vegetable seed produc-tion. Nowadays many seed brands from the Thai market are sold in Myanmar and several larger foreign seed companies are starting to distribute their seeds. Breeding activities are limited to some programmes executed by the Department of Agricultural Research (DAR) and Yezin Agricul-tural University (YAU). Though some companies have pre-commercial hybrid screening in Myan-mar for certain crops, private sector commercial breeding is not yet taking place.

As most people agree that the development of the agricul-tural sector to a large extent depends on the availability of quality inputs (including seeds), there has been increased attention from government and aid-organiza-tions to improve the supply. Both the ISSD (Integrated Seed Sector Development) and IFC Input Reforms projects are trying to support the Myanmar government in creating a conducive business climate for investment in the seed sector. Due to the joint efforts of government, public and private sector, several improvements have been made (see also the chapter on Laws, Regulations & Procedures).

Although quality seed supply in for example vegetables and corn has improved a lot over the last two decades, for many other crops there are still challenges to find sufficient quantities of quality seeds of superior varieties at the right time.

MYANMAR’S SEED SECTOR

2

SEED LAWS, REGULATIONS & PROCEDURESIn recent years much of the seed related laws, regula-tions and procedures have been changed. The latest version of the Myanmar Seed Law is from 2015 and the new regulations were approved in 2016. In addition, a new Law on Plant Variety Protection was approved in 2016. All seed-related Laws, regulations and procedures are brought together under the Myanmar Seed Portal, www.myanmarseedportal.gov.mm. This includes infor-mation on establishing a seed business, the registration of varieties and seed trade (import/export).

Starting a seed company

The procedures for domestic and foreign companies to start up a seed business are as follows:

» A company must be registered at the Directorate of Investment and Company Adminstration (DICA).

» Then, the company should process for import and export license at the Ministry of Commerce (MOC).

» After that, the company can apply for variety registration: the application for adaptability tests for a new variety. The application for the adaptability test is required for the import of seed and subsequent distribution of the variety in the country (see also the next paragraph).

» Once a variety has been registered, the applicant can apply for a seed business license at the Seed Law Unit.

» If all requirements are met, the TSC can allow the issuing of a seed business license. For each crop category, the fee is MMK 300,000 and the validity is five years. There are thee crop groups for which a (separate) business license is required: field crops, horticulture crops and industrial crops.

Variety registration

The Ministry of Agriculture, Livestock and Irrigation – Seed Division is responsible for issuing: (1) the variety recogni-tion certificate, (2) the seed business license; and (3) the recommendation letter importing and exporting seeds.

The process for registering a variety (and obtaining the variety recognition certificate) for 17 priority crops is as follows:

» the Seed Law Unit check the facts that are related to the variety and it prepares a recommendation for the adaptability test.

» Based on the recommendation of the Seed Law Unit, the Secretary of the Technical Seed Committee (TSC) assigns the locations for the adaptability tests.

» Multilocational trials (at a minimum of three locations) need to be implemented for one season for 16 priority crops and two seasons for rice.

» For non-priority crops variety listing is possible, based on information of successful trials abroad.

Table 2 below provides the overview of the priority crops for which adaptability tests are required. In 2018 four crops were removed from this list: potato, papaya, onion and cucumber.

INTRODUCTION

PICTURE 3Demonstration site for new varieties and

vegetable cultivation in Pyay (2006)

Cereal Pulses Roots & Tubers

Oilseeds Horticulture Industrial

Fruits Vegetables

Rice Black gram Groundnut Watermelon Pepper Cotton

Corn Green gram Sunflower Melon Tomato Rubber

Chickpea Sesame Cabbage

Pigeon Pea Cauliflower

TABLE 2Priority crops for which adaptability tests are required

Page 6: BUSINESS OPPORTUNITIES REPORTMYANMAR’S AGRICULTURE SECTOR 1 ABOUT MYANMAR Myanmar (676,593 sq. km) comes from several decades in which it was a closed and in many ways self-sufficient

10 11MyanMar’s seed sector BUSINESS OPPORTUNITIES IN THE SEED SECTOR OF MYANMAR

The adaptability tests are often carried out by DOA and DAR Seed Farms. However, on-farm trials are also allowed (when approved by the Seed Division). The applicant needs to send the seed to the Seed Farm well in time and pays for tests (which includes the cost for crop manage-ment). After the adaptation trials, the applicant submits the evaluation report to the technical working group of the Technical Seed Committee (TSC), through the Seed Law Unit (that functions as a secretary). The Seed Law Unit checks the documents and submits the report to the TSC and afterwards to the National Seed Committee (NSC). The TSC inspects the trials, examines the report and advises the applicant where necessary. Only the NSC can provide a recommendation for the issuing of the variety recognition certificate. Once the NSC provides a positive recommendation, the Minister of Agriculture can officially approve the variety. The variety recognition certificate is valid for ten years and the fee for the variety recogni-tion certificate is MMK 500,000 for field crops, fruits and perennial crops, and MMK 300,000 for vegetables.

Seed import and export

For seed import and export a recommendation letter from MOALI is required (application forms can also be found online: www.myanmarseedportal.gov.mm). To this end the Seed Law Unit checks the variety recognition certificate and the seed business license, and submits the applica-tion to the TSC. The TSC decides on the recommendation for seed import and export.

Seed testing laboratory

Apart from that, the Seed Law allows companies to set up their own seed testing laboratory. To establish a private seed testing laboratory, the applicant must hold a bachelor degree and attain a seed quality testing certifi-cate. The Seed Law unit will check the qualifications and the seed testing certificate before preparing the seed testing laboratory certificate. It is the NSC that in the end decides on the seed testing laboratory certificate. Once approved, the certificate is valid for three years and the fee is MMK 300,000. So far, no company has started its own seed testing laboratory.

Myanmar Seed Portal and the envisaged One-Stop-Shop

Feedback from the seed companies includes that the seed regulatory procedures are lengthy and costly. Therefore, the Seed Division has, in recent years, removed a number of requirements, as well as reduced the number of priority crops for variety registration, and crop groups for seed business licensing. In addition, all applications can now be submitted online through the Myanmar Seed Portal. The next step is to develop a semi-automated one-stop-shop service in which all seed related procedures (including Plant Variety Protection and Quality Assurance) are brought together. This is envisaged for the 2019–2020 period with support of IFC.

Other seed-related regulations: PVP, PRA and recent NSC decisions

Applications for plant variety protection can be submitted since 2018. Applications for new varieties can either be based on: (1) documentation (from PVP trials abroad or through purchase); (2) own test results carried out by the breeder in Myanmar; or (3) test results carried out by MOALI (DAR). Amendments to the PVP law are currently being finalized to bring the Law in line with UPOV 1991. It is expected that the Law Amendment will be launched in March 2019. Breeders (both public and private) can apply for PVP registration at the PVP Office of DAR (Dr. Papa Win, Head of PVP Office, DAR, [email protected]).

The Pest Risk Analysis (PRA) requirement has been lifted for 211 crops. However, any country except Argentina, Australia, India, Korea, Netherlands and USA must provide PRA information for tuber seeds of potato (for planting) to the NPPO of Myanmar (Plant Protection Division). Likewise, any country except the Netherlands must provide PRA data for lily bulbs (for planting) to the NPPO of Myanmar. Coffee, cocoa and tea leaves for consump-tion are allowed to be imported from any country without providing PRA data. Similarly, any kinds of cut flower are allowed to be imported without PRA information.

Myanmar’s National Seed Committee (NSC) has approved a number of regulatory changes for the seed sector on 11 April 2018. The changes aim at improving the invest-ment and business climate for domestic and foreign seed companies. The main decisions of the NSC are that from now on:

» Companies need only one business license per crop group (either field crops, horticulture or industrial crops).

» The compulsory variety testing to access value for cultivation and use (VCU) has been removed for onion, cucumber, potato and papaya.

» There will be a one stop shop for all seed related activities (i.e. variety registration including PVP, quality assurance and seed business licensing).

» There will be a system of accreditation for internal quality assurance systems of companies (both field inspections and lab tests).

» Parental lines of varieties that are used for production of seeds that are destined for 100% export do not need registration; a morphological description suffices (no seed samples have to be submitted).

» A number of conditions for seed import have been cancelled: only the application form, seed and phytosanitary certificates and the invoice are required from 2018 onward.

» All measures have come into force with immediate effect; only for the system of accreditation and one stop shop new guidelines need to be developed first.

Page 7: BUSINESS OPPORTUNITIES REPORTMYANMAR’S AGRICULTURE SECTOR 1 ABOUT MYANMAR Myanmar (676,593 sq. km) comes from several decades in which it was a closed and in many ways self-sufficient

13BUSINESS OPPORTUNITIES IN THE SEED SECTOR OF MYANMAR12

With a variety in crops and relatively high prices, vegetables are an important source of income for around 750,000 smallholder farmers in Myanmar with a planted area of 400,000 ha (East-West Seed, 2016). With large export markets close by (China, Thailand and Bangladesh), there is a good potential for growth in the sector. For the main vegetables (onion, cabbage, cauliflower, tomato, pepper, melon, watermelon, cucumber and several of the Asian gourds) quality seed is available in the market, access to crop pro-tection products and technical knowledge still hinder further development. With the opening up of the borders in the ASEAN region farmers in Myanmar will face increased competition from neighbouring countries. The majority of vegeta-ble seeds available in the market are imported. For the moment there are no specific country adapted breeding programs in vegetables. Hybrid vegetable seeds are produced in Myanmar by a few international companies, but still most of these seeds are exported. CROP SECTORS:

VEGETABLES, CORN, POTATO & SUNFLOWER

3

Mostly grown on small farms (0.25 ha) the bulk of vegetable produce is for the local market. Post-harvest losses are high (30%) and cooled storage facilities are scarce. There is very little processing industry for vegetables (examples: tomato sauce, pickled cucumbers, pickled mustard, frozen foods). The first initiatives in high-quality vegetables produced in protected cultivation for sales in supermarkets have started, though they are still small-scale.

Most exports are currently: melon, watermelon, hot pepper and onion (with a total export value of around US$ 50 million). Dried peppers are mainly exported to Thailand and Malaysia countries. Often they can not compete on quality with Thai and Indian peppers. This is mainly due to wrong harvesting techniques; insufficient

grading and wrong postharvest handling/storage (it needs a cold room). Watermelon and melon are exported to China at a large scale. The larger sized (minimum of 10 kg) watermelons are shipped by truck to the border. Recently there is an increase in cultivation of melon around Nay Pyi Taw (cool season) and Shan State (hot season) for export to China. Most melons are grown in simple plastic tunnels purchased from China or made with bamboo and local plastic.

Although vegetable seeds are available for many crops, their distribution is an area for improvement. There is still a widespread use of farm-saved seed, causing incidences of low germination, non-uniformity, disease, and poor shelf-life and transportability.

THE VEGETABLES SECTOR

1. China 234 kg

2. Vietnam 142 kg

3. Laos 134 kg

4. Korea 125 kg

5. Japan 101 kg

6. Myanmar 81 kg

7. Philippines 64 kg

8. Brunei 57 kg

9. Malaysia 55 kg

10. Thailand 52 kg

11. Cambodia 39 kg

12. Indonesia 33 kg

FIGURE 5Vegetable consumption per capita per year in

various Asian countries (ASEAN DNA)

Page 8: BUSINESS OPPORTUNITIES REPORTMYANMAR’S AGRICULTURE SECTOR 1 ABOUT MYANMAR Myanmar (676,593 sq. km) comes from several decades in which it was a closed and in many ways self-sufficient

14 15crop sectors: Vegetables, corn, potato & sunflower BUSINESS OPPORTUNITIES IN THE SEED SECTOR OF MYANMAR

HYBRID CORN

The corn market in Myanmar has grown fast in the last few decades, and especially after the arrival of the first hybrids. In the period from 1998 until 2010 the area cultivated tripled from around 0,6 million to 1.8 million hectares. Main areas for cultivation of corn are Shan State, Sagaing and Magway. Highest seed yields are found in Kayin (5.4 t/ha), Ayeyarwady (4.9 t/ha) and Shan (3.8 t/ha; JIRCAS, 2014). Because of the clear advantages of hybrids, the market penetration went fast. Currently more than 90% of corn is hybrid. The biggest growth came from field corn, which is grown as animal food ingredient. With the current expected annual growth of 15% in the poultry sector of Myanmar and increasing demand from China, expectations are that the domestic market for field corn will grow with at least 15–20% year on year. Exports for corn grew and peaked in 1998 but went down and finally dropped considerably few years ago. The main exporter is CPF who started producing field corn for export to China in contract farming schemes in the 1990s and established a corn seed processing plant near Taunggyi (Southern Shan). They had a large group of contract growers for corn in the region. Some years ago the profitability of seed

production went down and farmers lost interest. Main causes for this were: high disease pressure, related to limited crop rotation, and poor soil fertility management in combination with low market prices (personal communication with farmers).

In the season 2013/14, 78,000 hectares of hybrid corn were planted in Southern Shan and 120,000 hectares in Northern Shan (Regional Office, MoALI), through CPF reports numbers higher than 300,000 hectares. It is estimated that most of this corn (around 75%) was exported to China (Woods, 2015).

The market leader for hybrid corn seed is CPF with a market share of 35–40%. For years the variety 888 was market leader but is now on its return. The new variety 808 of CPF is now leading. Number 2 in the market is Syngenta with an estimated market share of 20%. Seed price for 808 is MMK 27,500 for a 5 kg bag. The competitors normally sell at slightly lower prices. The major seed supply for hybrid corn is from Thailand. For the 2017/18 season, the estimated area of corn in Myanmar was 498,000 hectares (MoALI, 2018).

Though most corn is grown for animal feed, there is also a market for human consumption. This market has two types. There is the more traditional local glutinous corn eaten for its sticky more bland taste, and the later introduced sweet corn. Although some local OPVs are still grown, also in this market the larger part of varieties are hybrids. In Thailand both sweet and glutinous corn is processed. In Myanmar there is no processing done yet. Active in both glutinous as well as sweet corn are the multinationals East–West Seed, Pacific and Syngenta. Also many other varieties are imported from Thailand and some from China that are offered in the market. High quality hybrids are offered for about US$ 15–25 per kg (from China clearly cheaper). Main required traits are good sticky taste in the glutinous corn, sometimes combined with sweetness and multiple coloured kernels. Only few varieties offer a combination of good downy mildew tolerance with the required shelf-life and taste. Shelf-life is an important factor for farmers. In this respect it is important to note that especially the tenderness and stickiness need to be maintained for several days after harvest. In sweet corn it is more about the sweetness that should last for a few days. No varieties are developed yet with high levels of virus tolerance (MCMV; maize chlorotic mottle virus).

For consumption corn, the timing of harvest is essential for an optimal taste and long shelf-life. Also the time it takes to reach the final consumer influences the quality and taste of the product. Therefore, to a large extent the combination of variety and logistics determine the success of the crop’s marketability. In Thailand there are bigger

traders with a large network of contract farmers that follow instructions on planting dates and areas planted to have adequate supply. Traders then employ harvest teams and coordinate transport to the markets. Putting in place this system, with much attention for quality, the product made a leap forward in uniformity and a consistent quality for the end consumer. As a result the market fast converted to hybrid dominance.

Systemic Downy Mildew Pathogens of Asia Peronosclerospora spp.

1. Thai variant, sorghum downy mildew (P. sorghi, proposed P. zeae)2. Java downy mildew (P. maydis)3. Philippine downy mildew (P. philippinensis)4. Rajasthan downy mildew (P. heteropogoni)5. Sorghum downy mildew (P. sorghi)

1 2 3

45

FIGURE 7Downy Mildew is for corn the

most important fungal disease

PICTURE 4Field test of hybrid sweet corn, left the old variety and on the right the new one

FIGURE 6Field corn in Shan State (left Southern Shan, and right Northern Shan),

estimated at 210,000–315,000 hectares in 2014 (Woods, 2015)

Page 9: BUSINESS OPPORTUNITIES REPORTMYANMAR’S AGRICULTURE SECTOR 1 ABOUT MYANMAR Myanmar (676,593 sq. km) comes from several decades in which it was a closed and in many ways self-sufficient

16 17crop sectors: Vegetables, corn, potato & sunflower BUSINESS OPPORTUNITIES IN THE SEED SECTOR OF MYANMAR

FIGURE 8Potato seed tuber flow in Myanmar (Haverkort, 2013)

JAN FEB MAR A

PR M

AJ JUN JUL AUG

SEP

O

CT

NOV

DEC

SUMMER CROP

(irrigated)

RAINY SEASON

CROPLATE-

MONSOON CROP

WINTER CROP

POTATO

Although already cultivated for many years, potato is still a relatively small crop in Myanmar. In 2017 only 600,000 tons were produced on 40,000 hectare. The main production area is Southern Shan, in the hills above 1,000 meter elevation. Here the crop can be produced almost year round. The second biggest area is Magway where potato is produced at lower elevations, in the short cool season (November–February). Current yields are low at an average of 15 tons/ha. With a farm gate price of US$ 180 per ton potato is already a profitable crop, though much can be improved.

The planting material used is often of poor quality (old crop leftovers or purchased from other farmers). Also, farmer practices are limiting higher yields, with no soil tests for fertilizer applications, suboptimal irrigation if any, and a low mechanization rate. For example simple machinery like a row cultivator, row planter and harvester could make a big difference. There is almost no capacity for storing planting material or fresh produce. This means farmers depend on prices at the moment of harvest, and often use poor quality planting material.

Potatoes produced in Myanmar are mainly used for fresh consumption or small scale potato chips / crisps production. So far no processing of potatoes has been established in Myanmar. In cooperation with the Netherlands Embassy there is a plan to improve the current situation. The Yoma Bank is setting up a lease facility for agricultural machinery in cooperation with Rabobank from the Netherlands, the company Soil Cares wants to undertake soil analyses for fertilizer advise, while Wageningen UR is helping to develop a Pesticides Selection tool that can recommend on the right use of chemicals. For the storage of planting material and fresh potatoes they intend to support the establishment of storage facilities. New investors in the potato sector can get guidance on their business efforts through the project.

Recent variety trials with improved farmer’s practices have shown that yields can be doubled through the use of new varieties. The extended variety trials done in Shan State showed several interesting new varieties for fresh consumption as well as processing with good tolerance to late blight (main field disease problem in potato). In these tests materials from China, USA and the Netherlands were compared. Planting material from China is clearly cheaper (US$ 0.6/kg versus US$ 1.5/kg from the Netherlands) but at the field days, the two Dutch varieties Carolus and Markies were the favourite of farmers in Heho.

Tuber moth is a serious problem during the storage of potato. Protected storage can solve part of these problems. New variety development for potatoes in the traditional way takes a long time. With new breeding techniques they are now able to speed things up (working at diploid level and using true potato seed instead of small tubers for planting). This opens up opportunities for faster development of locally adapted varieties that combine various traits like heat tolerance, late blight and bacterial wilt tolerance.

Potato in Myanmar is grown year round in four distinct seasons/regions (Haverkort, 2013):

» An irrigated spring crop in rice paddies from January through April. This crop is irrigated and grows on peaty and clay soils in river plains in Shan State. This is a major crop with relatively high yields of 25 t/ha. The seed is derived from the August harvest of the pre-monsoon crop kept (see Figure 8) or purchased from wholesalers.

» An early monsoon crop from April through August in the higher valleys (1,000–1,500 m above sea level)

in the hilly regions of Shan State. This crop is rainfed and is a minor crop during this season. The seed is kept from a previous crop but usually purchased from wholesalers at 1.5 x the price of ware potatoes.

» A late monsoon crop from August through November in Shan State. This is a major potato cropping season. The seed is derived from the April harvest in the paddy fields.

» A (minor) winter crop from November through February in the alluvial plains, irrigated crops in central Myanmar (main area Magway along the Salin river).

PICTURE 5–6Small tissue culture lab

used for multiplication

tests and formation of micro-tubers

(Heho)

PICTURE 7Potato demonstration day Naung Ta Yar, 13 October 2016

PICTURE 8–9Potatoes harvested at variety trials in Heho (Southern Shan), right front the favorites (from the Netherlands): Carolus and Markies

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18 19crop sectors: Vegetables, corn, potato & sunflower BUSINESS OPPORTUNITIES IN THE SEED SECTOR OF MYANMAR

SUNFLOWER

In the 1970s sunflower was an important crop in Myanmar; during that time yields increased considerably because of new OPVs that were imported from former Yugoslavia. In the 1990s new varieties from Australia were tested. These offered new yield increases but were not always well-adapted to the local climate. Nowadays the main variety is a reasonable local bred variety called Yezin-1. However, its seed availability is a major problem.

In the last 20 years the area under sunflower cultivation has increased steadily from 200,000 hectare in 1997 to around 800,000 hectare a few years ago according to government data, while others report a decline after a peak of about one decade ago (Wijnands et al., 2014). A decline in area was reported in both cultivation areas that we visited. Highest average yields are found in Shan State and Ayeyarwady (1.1 t/ha; JIRCAS, 2014).

Currently there is one company testing and importing hybrid sunflower seed from India (Tropical Biotechnology Ltd.). They have also started local seed production based on the parental lines from India. At the moment, the demand for sunflower seed is still much higher than the supply.

Oilseed crops are important in Myanmar. The country is the world’s number one for sesame and is reportedly in the top ten for groundnut. Only a small percentage is milled into higher value edible oils. Sunflower is clearly smaller in volume but still important. The Central Dry Zone (CDZ) is the main area for the production of edible oil crops. In terms of production problems are similar for most crops. In field crops farmers face problems with insufficient rainfall (especially in the CDZ), rising labour costs, increased international competition and lack of quality inputs. Most mills for edible oil production have outdated equipment; most of them use simple expellers.

The few government solvent expelling plants have a low solvency efficiency (i.e. a high use of expensive hexane; 3–4 kg/ton; while international standards are 0.5 kg hexane/ton) and therefore cost price is high. There is a lack of knowledge at the mills which has resulted in the production of low quality oils; and these products do not match international standards.

The market potential for sunflower (as for most edible oils) is good. For domestic as well as the regional market the demand is high. With already competitive production prices for the primary products, the use of new high-yielding varieties, improved cultivation methods, mechanization and more efficient solvent extraction, profitability can be increased along the chain.

FIGURE 9Area in 1,000 ha of planted

area for sunflower (2010) and annual rainfall in mm

(JIRCAS, 2014)

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21BUSINESS OPPORTUNITIES IN THE SEED SECTOR OF MYANMAR20

The total seed market value of Myanmar is estimated at US$ 0.5 billion, including the opportunity cost for farm-saved seed, half of which is rice (ADB, 2016). For many field crops the government is the main supplier of seeds, nevertheless for all crops combined it supplies less than 1% of the total farm-level seed demand. For maize, cotton and several vegetable crops the seed is supplied by the private sector. Already in 2016 there were over 30 seed companies active in Myanmar of which now at least 10 are producing or are preparing to produce seeds domestically.

In a developed market there is a healthy compe-tition between seed suppliers. Providing quality seeds of the best varieties alongside the right service and promotion, determines the success of a seed supplier in the market. Examples of this are seen in several countries (e.g. Thailand has over 50 seed companies), where there is strong competition between multinationals and local companies alike.

BUSINESS OPPORTUNITIES

4

Now in Myanmar only 14% of vegetables are produced from hybrid seed. And the estimation is that approximately half of the area is still planted by farm saved seed. The current vegetable seed market is estimated at US$ 7–7.5 million and is expected to grow to US$ 25 million in the next 5–8 years.

Thailand, with a high investment in vegetable seed has a good enabling environment and long tradition of seed production. High volumes of quality seed are produced, processed, checked for quality, treated and packed in various ways and locations. Support services by government and universities are well established and ‘simple but effective’ suppliers for seed extraction machinery are available.

SEED PRODUCTION

Good locations for seed production have the right climate for that specific crop, the right soil type and enough quality water. Seed production is an activity that requires (for many crops) a lot of workers and hence is done in cheaper labour countries. Then there is the need for availability of inputs and services within conducive business climate (of accommodating rules and regulations).

Myanmar offers a wide variety in soils and climates. The availability of land and water is good. Daily wages are still fairly low (US$ 3–4 /day versus >US$ 10 /day in Thailand). Now with the recent changes in the regulatory framework by the government, Myanmar becomes very interesting.

Seed production of vegetables

During the decades of isolation the locally used seeds were multiplied within Myanmar. This created groups of farmers with experience in seed production of certain crops. In some cases these seeds were produced in suboptimal climates (like radish seeds along the road from Yangon to Pyay), however cauliflower seed production in the Pyin Oo Lwin area has for years been good (especially in the mountains east of Mandalay with an elevation of 800–1,100 masl). In that same area, several companies have set-up seed production farms where they produce on their own farms with groups of contract farmers around it. Results for pepper and tomato are best going from the late rains into the early cooler period. The coolest months are often too cold for good plant development and are more suited for crops in the brassica family and iceberg lettuce.

The highlands near Heho (1,100–1,400 masl) offer good potential for seed production of various temperate crops like tomato and sweet pepper. Other interesting highland areas are in: Chin State, Kachin State, Shan State, Kayah and parts of Kayin. In Chin State there are locations with elevations of over 2,000 masl offering the possibility of seed production of a number of cabbages (early types), carrots and beetroot depending on the reliability of water in the dry period. Sudden rains can damage open field seed production, resulting in less reliable germination when stored.

INTRODUCTION

PICTURE 10OP cauliflower seed production (Pyin Oo Lwin) and locally produced carrot seed

PICTURE 11 Seed production farm East–West Seed in Pyin Oo Lwin (860 masl), winter season

POPULATIONmillion

PRODUCTION AREA 1000 ha

SEED VALUEMARKETmillion USD

VALUE SEEDS PER HA

(USD)

SEED VALUE

per capita

67 524 64 117 0.91

247 1060 80 75 0.32

89 848 50 59 0.66

1236 7,500 400 53 0.32

97 726 35 48 0.36

15 96 3 27 0.19

60 400 6.5 16 0.1

THAILAND

INDONESIA

VIETNAM

INDIA

PHILIPPINES

CAMBODIA

MYANMAR

TABLE 3Basic info from

East–West Seed International

2012, updated for Thailand and

Cambodia

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22 23business opportunities BUSINESS OPPORTUNITIES IN THE SEED SECTOR OF MYANMAR

For several of the Asian cucurbit crops (bitter gourd, wax gourd, ridge gourd, sponge gourd, snake gourd, Asian cucumber, local melon, bottle-gourd etc.), good results are possible in several locations in lowland areas like the CDZ in the period starting in August-September with harvests in December-February (with a start during the monsoon and harvesting of seed in the cooler dry period). By moving up in elevation while avoiding harvesting during the heaviest rains, seed production for (tropical) cucurbits can almost take place on a year round basis.

Seed production of corn

Seed production of hybrid corn is possible in many locations but if possible a little cooler weather can help for seed quality. In Thailand there are many regions developed for hybrid corn seed production. In general these don’t need much elevation and crops do well and produce good quality seed in the lowland areas, with planting dates in the period September–November and harvesting in January–March. If slightly higher altitude areas are available the season can be extended, and the efficiency of the shelling facility can be increased. For sweet corn, due to its sensitivity to fungal infections in the ripening stage it is important that the ripening ears do not get wet and the ears are brought in exactly at the right time for drying and shelling.

At the moment of writing the shelling facility of CPF near Taunggyi was lying idle. It would be interesting to see if there is a possibility to revitalize this facility through the organization of sufficient supply from the region. One of the problem probably is that the disease pressure in commercial growing areas is high and transport distances become long.

Of the corn seed production areas in Thailand some are very advanced. Farmers produce seed almost year round in the lowland with drip irrigation and good disease and pest control. Several companies are competing for seed producers and prices offered are profitable. A similar set-up is possible at several locations in Myanmar. Once certain areas have skilled farmers, more companies will come and try to contract them. If one company wants to set up a high quality shelling facility it is able to offer drying and shelling services to others. This is fairly common practice in several countries as the shelling of the hybrid seeds is not very sensitive for protecting their intellec-tual property. The hybrid seed is the same as anyone can purchase in the market.

Seed production of sunflower

In the Central Dry Zone with limited rains and several months of dry weather, there is a high potential for the production of seeds for a variety of field crops. Given the current shortage of seeds in for example sunflower combined with the common use of poor quality seeds, if you just produce good germinating seed of an in-demand variety, market demand will not be an issue.

Obvious opportunities can also be observed in the processing of fresh produce (sunflower seeds) into edible oils, snacks and animal feed. Both in seed production and production of grain there is a big potential for forming farmer groups, providing mechanization services (tilling, planting, harvesting) and training of contract farmers.

Seed production of potatoes

Southern Shan and possibly also other highland locations offer good possibilities for the production of seed potatoes and even (in the longer run) for the production of potato seed. At the moment, the main limitation is technical knowledge, experience and a proper capacity for cold storage. With the expansion of the planted area in the region, increased transport costs from Europe and low labour costs in Myanmar, it becomes interesting to look into investing in seed potato production in Myanmar (with export opportunities as well).

SEED SALES

Given the large market size and good opportunities for crop production (see Chapter 3) it is clear that there are ample opportunities for the sales of good quality seed of vegetables, hybrid corn, potato and sunflower. At the same time, clear differences exist between the oppor-tunities for each of the crop groups. When entering the market for vegetable or hybrid corn seed you will compete in a reasonable well-supplied market with experienced companies, multinationals and local, who have well-adapted varieties on sale and who know the market.

For potato and sunflower there is still a clear shortage of good planting material, so just entering the market with good quality seeds of currently known varieties can be a first step.

Even though much seed of in-demand varieties is being sold, distribution is not yet perfect. For several areas in the country the availability of seeds is low; and the main centres for seed sales are still in Yangon or Mandalay. In addition, there are crops for which hardly any varieties have been introduced so far, making opportunities for a fast market entry higher.

For onion, although a big crop, there are hardly any serious market entries yet. For carrot, a crop with good potential, only low quality ‘Kuroda types’ are grown while high quality carrot types can be suitable for some of the cultivation areas. There are various other tropical and more temperate vegetable crops that can be produced but seeds for these are not available yet.

PICTURE 12–13Farmers peeling harvested ears (top) and

selection of ears before drying (bottom)

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2524 business opportunities

BREEDING

All seed companies know that investment in breeding is essential for the long term success of the company. Often investments are high, while returns take time. However, at this stage a lot is possible with fairly little effort. The logic first step for most foreign companies is to start variety trials in collaboration with a local partner. With the information of these trials a first market entry can be formulated and possible breeding goals formulated. At some point pre-commercial tests can start, with specific materials developed for the market, while actual selection can be considered within Myanmar.

For companies with breeding stations in nearby countries it might not make sense setting up an additional full-fletched breeding station, but the potential market in Myanmar does justify a pre-commercial variety testing site. During the last decade international seed companies have shown more interest in the region and several of the newer companies set up breeding stations in Thailand and Vietnam. At the time, Myanmar was not on the priority list because of a number of discouraging rules and regulations. Given the fact that many of these restrictive regulations have now been cleared, for new companies entering the Southeast Asian market, Myanmar should definitely be on the priority list from now on.

For local breeding companies there are various opportuni-ties, but for the crops mentioned in this report it probably makes more sense to look for a partnership with a foreign company that can kick-start breeding activities.

OPPORTUNITIES IN RELATED MATERIALS OR SERVICES Once seed production really takes off it will create a demand for the support industry and services. Some of the bigger seed companies will have their own laborato-ries for seed testing but many others will be interested in services from third party seed testing laboratories for seed testing for germination, seed vigour and certain seedborne diseases. For more professional farms there will be a need for soil testing laboratories as well that can undertake analyses like: available nutrients, leaf sample testing and farm-specific fertilizer recommendations, based on water and soil analyses.

For seed production inspections and disease, pest and virus identification there is a need for pathology / virology support. In some countries this is done in cooperation with universities as a (semi-)commercial service. But this could also be done by a private company.

With the production of seed there is a need for: seed extraction, fermentation, wet treatment, seed drying, seed trashing, seed processing, seed priming, seed coating, seed packaging and seed storage. All of these activities need specialized materials, machines, equipment and storage facilities.

Once seed producers are more concentrated it becomes interesting to start small enterprises that offer services with machines for tilling, planting and harvesting (per hour or per acre). In areas where many farmers produce their own seedlings there is an opportunity for specialized seedling producers and suppliers for materials in seedling production.

Known You Seeds (taiwan)

a “high quality vegetable seed company”, that changed the landscape in most asian countries with respect to melon and watermelon (quality and cultivation). started early in Myanmar with doing (contract) seed production and training farmers for fresh cultivation. currently they have a small market share. in Myanmar active in production and sales.

Charoen Pokphand Foods (cpf, thailand)

cpf is the largest player in the agricultural input sector in the region. They are market leader for field corn seeds (no 888 long time popular) and have a quality vegetable seed daughter ‘chia tai’ that started distribution of seeds in Myanmar early. chia tai has a market share of approximately 15% in the vegetable seed market. in Myanmar active in production and sales.

East–West Seed Co. Ltd. (netherlands/thailand)

Market leader in tropical vegetable seeds worldwide. they started operations in Myanmar in 2004 and became the first fully registered, 100% foreign owned seed company in Myanmar. with a current market share of 20–25%, they are the market leader. in Myanmar active in production and sales.

Golden bug / Schweboga (Myanmar)

a local vegetable seed trading and seed producing company working mainly for east–west seed.

Genuine Seeds / BMN (thailand)

a professional seed producer with main production areas in china, thailand, Myanmar and india. they produce many tons of cucurbits (and some solanaceae) on contract for several customers. production done on controlled farms and through contract farmers.

Namdhari Seeds (india)

a quality vegetable seed company. Main market in tomato seeds at inlay lake.

Seng Heng Huat (thailand)

a vegetable seed trader from thailand, strong in opV seeds and hybrid brassica seeds. Regionally, a first mover into new markets, later often replaced by other brands.

AWBA (Myanmar)

Mainly known as a long term reliable supplier for chemicals and fertilizers, they are now also exploring the market for field crop seeds, through a project in beans and pulses.

Syngenta

they entered the market mainly selling tomato seeds in the inlay lake area. they still have a reasonable market share there and are the second biggest in hybrid corn.

Tropical Biotechnology Limited (Myanmar)

already active in pulses and oil crops, they have ambition going into seed production for various crops. currently they are importing sunflower hybrids from India.

Agro Bio Products Co. Ltd. (Myanmar)

importing and selling seeds of several brands.

Marlarmyaing Company Ltd. (Myanmar)

One of the first importing and selling seeds of several quality seed brands.

Few relatively new international companies starting distribution through partners in Myanmar are:

• RijkZwaan—quality vegetable seed focused on protected cultivation

• Bejo—quality vegetable seeds for open field cultivation

• Enza—quality vegetable seed company with breeding in indonesia

• Nunhems—quality vegetable seed focused on protected cultivation

PICTURE 14Poor quality seeds sold at low prices (F2 seeds, left) and uniform F1 hybrid seeds (right)

ANN

EX 1 SEED COMPANIES ACTIVE IN MYANMAR

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26

ADB Climate-friendly Agribusiness Value Chains Sector Project

The proposed project supports fulfilling the government’s Agriculture Development Strategy (ADS), 2018–2023 and the National Export Strategy, 2015–2019 by boosting competitiveness in value chains for rice, beans, pulses, and oilseeds in the Magway, Mandalay, and Sagaing regions in the central dry zone (CDZ). The project will increase climate resilience for critical rural infrastructure, promote quality and safety testing capacity, strengthen technical and institutional capacity for climate-smart agriculture (CSA), and create an enabling policy environment for climate-friendly agribusinesses. The project will reduce food insecurity and rural poverty, increase incomes and access to markets for smallholders and poor landless households, and improve resource efficiency and environmental sustainability for agribusinesses.

Agriculture Income Improvement Project

The implementation partner is Department of Agriculture; seed division and extension division. It is funded by Japan ODA loan, JICA. The project supports to establish rice seed centres in Sagaing Division. The project will run from 2018 to 2024. The objective of the project is to improve the agriculture income in the Shwebo area of Sagaing Region, the largest irrigable area in Myanmar with a total of approximately 200,000 hectares, by rehabilitating irrigation facilities and the distribution infrastructure as well as strengthening agriculture extension and mechanization, thereby contributing to the economic growth in the rural areas in Myanmar.

Integrated Seed Sector Development (ISSD Myanmar)

The Integrated Seed Sector Development Project was funded by WCDI and consortium partners are DOA, WUR and WHH. The project was launched in April 2017. The project focus on seed sector development of rice, pulses and oil seed crops. Project interventions (2017–2020) focus on increasing local availability of quality seed at an affordable price to smallholder farmers; increasing business performance of EGS producing seed farms and improving seed sector coordination.

Japan International Cooperation Agency (JICA)

On 22th June, 2017 (Thursday), the Signing Ceremony for Record of Discussion (R/D) for “The Project for Improvement of Accessibility of Rice Certified Seed” was conducted at Ministry of Agriculture, Livestock and Irrigation (MOALI), Nay Pyi Taw. The project aims to increase the farmers’ accessibility to rice certified seed (CS) in the Shwebo District, Sagaing Region and Ayeyarwady Region in order to improve the productivity and quality of rice in the area. The project will support the government’s agricultural extension service and seed laboratory to improve Certified Seed production with a practice of field inspection and laboratory test. For further promotion of certified seed production, the project will also coordinate Public-Private-Partnership involving rice millers and other rice market stakeholders to promote the awareness of advantages of certified seed utilization and high potential of milling output for the competitiveness in global market in line with national Export Strategy. The project will run from 2017 to September 2023. The project will be implemented under the technical cooperation scheme of Japan Cooperation Agency (JICA) from October, 2017 for 5 years and 6 months.

SEED SECTOR PROJECTS Korea International Cooperation Agency (KOICA-KSVS)

KOICA-KSVS initiated Capacity Building for Improving Seed Quality Assurance System of Rice in Myanmar. The project duration is from 2015 to 2017. The project supports equipment of seed quality assurance laboratory and capacity building of seed staff in seed quality testing. The project covers Yangon, Mandalay and Naypyitaw regions. The project is fully implemented by Seed Division, Department of Agriculture.

LIFT Dry Zone (Awba)

LIFT envisioned the creation of a private company with cooperative principles in order to address the market needs and opportunities especially for pulses, oil seeds, and other open pollinated variety crops. The primary goal of this project is to increase the supply of high quality seeds to small holder farmers in Myanmar, particularly those in the central dry zone and other needy areas, and thereby improve farmers’ livelihoods, expand the agricultural economy and advance rural development nationwide. The project commenced in April 2018. Awba company is implementing partner as joint venture in seed production. More than 2500 farmers will grow seed under contract for MAFSCO (company with cooperative principle). The farmer company represents farmers on MAFSCO board and distributes dividends. In MAFSCO farmer entity is 49% and Awba occupies 51%. MAFSCO will process and package seed and contracts farmers. Then, Awba will market and sells seed.

Rice Seed Sector Development (RSSD)

The rice seed sector development project (RSSD) is funded by LIFT. The consortium partners are Department of Agriculture (DOA), WUR and Welthungerhilfe (WHH). The project was launched in January 2018. The project is designed to strengthen the formal private and public seed system to improve farmers’ access to quality seed. The project will increase the capacity of government seed farms to produce early generation seed, upgrade laboratories to provide quality assurance and seed certification to international standards and incentivise the private sector to engage in seed production. The project runs until December 2019.

USDA Lower Mekong Initiative Seed Project

The Lower Mekong Initiative (LMI) is a multinational effort to foster integrated sub-regional cooperation and capacity building among Cambodia, Laos, Myanmar, Thailand and Vietnam. Under the LMI Agriculture and Food Security Pillar, the United States is supporting LMI partner countries to improve agriculture and food security sector growth throughout the Mekong sub-region in an environmentally sustainable manner. This pillar is co-chaired by Myanmar and the United States. The LMI Agriculture and Food Security Pillar is designed to expand agriculture trade and investment in the region and increase private sector, farmer, and civil society engagement. This pillar seeks to:

• Promote collaboration in research and development, delivery of interventions in extension services, institutional capacity building, and human resources development;

• Enhance the implementation of agreements that will improve food production, access, quality, and nutrition;

• Build the capacity of households to meet food security and nutritional needs; • Promote sustainable land and water use management for agriculture and aquaculture;• Strengthen sustainable fisheries and aquaculture;• Encourage trade of agricultural products to address food security; and• Promote public-private cooperation for agri-business development.

ANN

EX 2

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CITATION OF THIS REPORT: Baas, J., Broek, J. A. van den, and Swe, ZMT. 2019. Business Opportunities Report – Investing in Myanmar’s Seed Sector. Integrated Seed Sector Development Myanmar Programme, Research Report 4-2019.

ANN

EX 3

/ ADB, 2016, “Opportunities for the Myanmar Seed Sector”, TA-7996 REG: Final report, prepared for the Asian Development Bank, 11 April 2016.

/ Clive Murray, “Opportunities in developing Myanmar Seed Industry”, Syngenta Foundation Seed Sector Workshop, Park Royal Hotel, Nay Pyi Taw, 30th August 2016.

/ East–West Seeds, 2016, “Opportunities for Myanmar’s vegetable sector”, East–West Seed International, 2016.

/ Haverkort, A.J., 2013, Rapid appraisal of the Myanmar potato industry: Opportunities for seed production, Plant Research International, Wageningen.

/ Holdinga M., Wustman, R., Haverkort, A.J., Pronk, A.A., 2014, Improvement of basic seed potato production in Myanmar, Report CDN seed potato project Myanmar, Report No 597, Plant Research International, Wageningen.

/ IPPC, Pest Risk Analyses training, IPPC (International Plant Protection Convention).

/ JIRCAS, 2014, Production and Trade of Major Crops in Myanmar, JIRCAS.

/ KPMG, 2012, “Myanmar’s untapped opportunity”, commissioned by UN / ADB.

/ Pronk A., Haverkort, A., Veldhuijsen, C. van, Meijer, B., 2015, Potato value chain development to secure healthy diverse food in Myanmar, WUR.

/ Pronk, A., 2016, Baseline potato cultivation in Myanmar, WUR, 2016.

/ Raitzer D.A., Wong, L.C.Y., Samson, J.N.G., 2015, Myanmar’s Agriculture Sector: Unlocking the Potential for Inclusive Growth, ADB.

/ TNS, 2015, “Vegetable Consumption preferences and supply chain Myanmar”, TNS.

/ Turner M., 2016, The Role of National Seed Policies in Re-structuring the Seed Sector in CEEC, CIS and Other Countries in Transition.

/ VSAT, 2016, Myanmar Vegetable Farmers are in Business! Accelerating the growth and development of the vegetable sector in Myanmar, VSAT.

/ Wijnands, J.H.M., Biersteker, J., Hagedoorn, L.F., Louisse, J., 2014, Business opportunities and food safety of the Myanmar edible oil sector, Wageningen

/ Woods K., 2015, CP maize contract farming in Shan State, Myanmar: A regional case of a place-based corporate agro-feed system.

/ http://ppdmyanmar.org/plant-quarantine-pq/allowed-import-plants-and-plant-products-that-do-not-need-data-information-for-pest-r isk-analysis-pra-11-11-2018/

LITERATURE


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