www.issduganda.org

I n t e g r a t e d S e e d S e c t o r D e v e l o p m e n t U g a n d a P r o g r a m m e

Vision of ISSD Uganda

Through a vibrant and pluralistic

seed sector, ensure that quality

seed of superior varieties are

available and affordable to a

larger number of farmers,

thereby contributing to agricul-

ture for food security and eco-

nomic development in Uganda.

ISSD Uganda

Background

The formal seed sector in Uganda mainly consists of

seed companies with interest in seed of high profit mar-

gins with higher multiplication ratios such as hybrids and

open pollinated crops like maize, sunflower and sor-

ghum. The sector provides about 15% of seed needs for

the country, with the rest coming from the informal sec-

tor. Self-pollinated crops, which are the major food

crops for the country, are given low priority in seed com-

panies’ investments. It is the informal seed sector that

provides seeds for many of these crops.

ISSD Uganda looks at the opportunity of bridging the

gaps between these two sector, by engaging farmers in

seed entrepreneurship through the Local Seed Business

(LSB) model. When farmers are supported through ISSD

interventions and they become technically equipped,

strategically linked, professionally organized and market

oriented, they can sustainably provide quality seed to

smallholders farmers at affordable prices.

The LSB can therefore, engage in multiplication of self-

pollinated crops such as simsim, groundnut, beans, rice

etc., on condition that research provides early genera-

tion materials (basic or foundation seed), which is the

starting point for quality seed production.

If linkages with the Ministry of Agriculture, Animal

Industry and Fisheries (MAAIF) and the LSBs

exist, LSBs can produce quality seed and market

it after inspection and quality assurance proce-

dures have been done.

Local Seed Business

A Local seed business is a group of smallholder

farmers that are able to produce and market

quality seed of farmer-and market–preferred va-

rieties, and are able to sustain the business

through re-investing capital and efforts in the

business. To be sustainable, an LSB needs to be

commercially oriented and able to make the in-

vestment.

Supporting a vibrant, pluralistic and market oriented seed sector

Promoting Local Seed Businesses

Email: info@ISSDuganda.org

3

www.issduganda.org

Management and infrastructure. The principles of

general organisation management include decision

making, participation, communication, transparency,

task division, coordination and specialisation in the form

of truly cross-functional teams (e.g. quality control

committee, marketing committee, block farm

management, monitoring and self-assessment).

Strategically linked

LSBs that are strategically linked benefit from the

availability, accessibility, efficiency, affordability and

reliability of input and service provision. An analysis of

the availability, accessibility, efficiency, affordability and

reliability of the input or service should be critically

reflected upon accordingly to the specific capacity needs

and business plan of the LSB. Essential links include

access to germ plasma, agronomic inputs (fertiliser and

pesticides), seed certification, finance, information,

technologies, guidance/supervision, materials and

machineries, administrative documentation, stationary

and furniture, water and electricity, transport, licensing,

legal rights, security, lobbying and other important

institutional links.

LSB Success Factors

It is common for some groups to exhibit lack of

entrepreneurial spirit and eventually not able to become

sustainable local seed businesses. Such groups needs to

critically assessed and timely decisions made on whether

to continue with them or not. “Success factors” are used

to monitor whether the LSB is on the right track and are

necessary to become successful in their seed business

(figure below). The figure below shows the success

factors that are used to assess whether LSBSs are

commercially sustainable or not.

This means that the ISSD programme does not

provide free inputs to the groups but is rather based

entirely on capacity building provided by a seed

agronomist/expert on production aspects of seed, and

an agribusiness expert for the market aspects.

LSB building blocks

Looking at the LSB from one angle (inward), it should

be technically well-equipped to produce and add value

to its seed, it should also be professionally organised,

well managed and with access to appropriate

infrastructure. Looking at the LSB from another angle

(outward), the product should have demand from the

market, while the LSB should be strategically linked to

important, reliable and cost-effective inputs and

service provision.

Technically well equipped

This includes having the capacity for; (1) the

production of quality seed; which requires knowledge

and skills for site selection, field clustering, land

preparation, sowing, weeding, roughing, demarcating

isolation distances, fertiliser application, crop

protection and harvesting products; and (2)

processing/adding value to those products. Capacity

to produce includes LSB members having the

knowledge and skills for site selection, field clustering,

land preparation, sowing, weeding, roughing,

demarcating isolation distances, fertiliser application,

crop protection and harvesting.

Market oriented

Market orientation means the LSB has the marketing

capacity, including assessing markets and developing

products that are demanded and are satisfying

customer’s need.

Marketing involves finding out what your customers

want and supplying it to them at a profit. In order to

do so, the LSB needs the capacity to collect and

evaluate market information, and develop a

marketing strategy as part of a business plan.

Professionally organized

This looks at how well the business is organised

following a basic distinction between both general

Inward Outward

Product

Technically well equiped Market oriented

Organization

Professionally organised

Strategically linked

Building Blocks

Success factors

Technically

equipped

Quality seed production

Processing and value addition

Market oriented Market strategy

Customers feedback mechanism

Professionally

organised

Governance

Mobilization and use of resources

Business orientation

Strategically

linked

Access to inputs and services

Markets

Commercially sustainable LSBS

Supporting a vibrant, pluralistic and market oriented seed sector Email: info@ISSDuganda.org