Abstract
The purpose of the study was to understand the recent developments in the seed industry as well as farm-level information from seed villages on the structure and composition of the of the rice seed system in the Telangana state. A focussed group discussion approach was adopted to collect the primary data needed for the study with 8 to 10 progressive and experienced seed farmers in 30 selected seed villages of two predominant seed producing districts of the state in two points of periods 2014 and 2021. The results indicated that the sizeable portion of seed business has been shifted to other neighbouring states specially to Chhattisgarh in case hybrid paddy due to special incentive is being given to seed growers. Similarly, cotton seed production area is being shifted to Karnataka due to less cost of production compared to Telangana. As a result, the relative share of Telangana in India’s seed business has declined from about 30 per cent to 18 per cent between 2014 and 2020. The commission paid to intermediators (organisers) by companies has increased by 40 per cent while the procurement price paid to seed growers increased merely 14 per cent in the case of inbred paddy seed and less than 1 per cent in the case of hybrid paddy seed. The MNCs' participation in both inbred and hybrid rice seed production has decreased substantially. The average yield of hybrid rice seed has decreased, and there is no improvement in its procurement price offered by companies between 2014 and 2021. The per cent of farmers who entered into a contract without specifying a price has been increased in last seven years. The companies reduced their services like insurance to farmers, supply of critical inputs like GA3 for free and prolonged payment period after procurement, and limited compensation in the event of crop loss, which influenced the farmers to convert from hybrid rice seed production to other crops.
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