Relief in Non-Proprietary Cultivar Levy renewal

Relief in Non-Proprietary Cultivar Levy renewal

Federated Farmers congratulates the herbage seed industry on voting to renew its Non-Proprietary Cultivars (NPC) and Uncertified Herbage Seed Levy Order for the next six years.

Hugh Wigley, Federated Farmers Herbage Seedgrowers Subsection Chairman, is pleased with the renewal of the levy “With all the hard work put into promoting the levy, it is tremendous to have the support of farmers and the wider industry to continue with it.”

Hugh explains that the Herbage Seedgrowers’ Subsection of Federated Farmers represents all NPC growers in New Zealand and collects a levy from growers based on the number of kilograms of ryegrass and white clover cultivar seed they grow to ensure those varieties continue to be available for farmers in New Zealand.

NPC varieties are known as Commons and the levied seed varieties include: Pawera, Huia, Tama, Moata, Manawa, Nui, Ruanui and uncertified ryegrass, red and white clover, and is collected by all testing stations on first purity and germination tests.

''There is no restriction on who can grow them, and that is what sets them apart from the proprietary ryegrass and clovers. In the past two seasons when there has been a shortage of contracts for proprietary cultivars, having the commons available meant that farmers could continue to grow herbage seed as part of their rotation.”

“However it costs money to ensure the seed stock are maintained and don’t get mixed with other cultivars or genetic material, which is run by AgResearch and paid for by the levy.”

He added that production of grass seeds is vital to New Zealand’s economy.

“The total value of the seeds as part of the arable industry is estimated to be $244 million.

Hugh says in the past the earnings from grass production have grown from $93 million in 2011 to $106 million in 2013 which shows not only a value in the industry but the levy.

“Growers have given a clear signal that they want the Commons to remain in grower control rather than the government's, and are prepared to continue the NPC levy for another six years.” He concluded.

The New Levy Order starts on 30 March 2015 and runs for six years.

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