View Single Post
Old May 5, 2013   #5
frogsleap farm
Tomatovillian™
 
frogsleap farm's Avatar
 
Join Date: Nov 2008
Location: Minnesota
Posts: 568
Default

A germplasm royalty of 10% net sales is pretty typical for exclusive, or perhaps co-exclusive distribution rights of an OP variety - as long as the exclusivity is maintained. Without PVP protection, maintaining the exclusivity is unlikely to last more than a year or two as various small seed companies buy seed of the new variety, produce their own seed and offer it for sale. If you also produce the commercial seed you will also be paid for that - but at a rate no higher than the seed company could contract that activity themselves. If seed of the finished OP variety, or earlier generations of the variety, are distributed widely - all bets are off on getting a seed company interested in paying a germplasm royalty.

Tom, Brad and Fred/me are all trying new and different business models to capture value for the efforts of breeders - I'd say with at least moderate success. Ultimately any model for rewarding breeders for their efforts will depend on seed buyer willingness to purchase directly from the breeder/developers, or from their authorized distributors.
frogsleap farm is offline   Reply With Quote