The All-India Crop Biotechnology Association (AICBA) and the Association of Seed Industry (ASI) have jointly urged the government to simplify procedures for export and import of seeds and revamp the functioning of plant quarantine offices.
They have also sought exemption of seed companies from the fringe benefit tax as constant communication with farmers is an integral part of their business operations.
The pre-Budget wishlist issued by the apex seed industry bodies calls for setting up of seed valleys in major seed producing states to facilitate establishment of research, production, processing and quality testing facilities.
This would result in higher investment in research and development of superior biotechnology products within the purview of the new intellectual property rights regime.
The bodies have demanded that import of small quantities of parent seed be permitted freely for custom production for exports.
This could be done on the basis of import permits to be issued directly by the plant quarantine authorities without going through the procedures laid down by the exim committee of the agriculture ministry.
They have also suggested setting up of a venture capital fund or priority lending by banks to support R&D in the seed industry. This fund could be on the lines of the research development fund for agriculture announced in the last Budget.
Besides, income tax exemption on research and development expenditure was needed to encourage the seed industry to invest more in this field.
Regarding genetically modified seeds, the industry bodies have called for restricting the time taken for approval of new seeds to no more than two years.
For this, multi-locational field trials to assess bio-safety and agronomic performance of the seeds could proceed concurrently.
The drive for information, awareness and education of the public regarding genetically modified products needed to be stepped up, these associations have stated.
