13 



Senator Kerrey. So essentially the 20-year clock would start in 

 the first case when the derivation occurred, in the second case 

 when the initial variety was introduced, and in the third case when 

 the initial variety is introduced? 



Mr. Robinson. We are talking about dependency, the essentially 

 derived variety upon the initial variety, which is a consequence of 

 essential derivation. Otherwise, in the case of dependency, in this 

 case the owner of the essentially derived variety must get permis- 

 sion from the owner of the initial variety. 



But in this case, even though this protected variety was intro- 

 duced before the legislation, our proposal is to elevate its protection 

 in regards to essential derivation so that it can have dependency 

 over this essentially derived variety after the effective date of the 

 act. 



The transitional provisions as proposed by USDA would greatly 

 delay the effectiveness of the new right of essential derivation. A 

 good variety will last 10 or more years. It seems only right that the 

 varieties protected before the effective date of the act, whose pro- 

 tection is still in effect, should receive the additional protection. 



[The prepared statement of Mr. Schmidt, with attachments, fol- 

 lows:] 



Prepared Statement of Dietrich Schmidt, President, American Seed Trade 



Association 



Good afternoon Mr. Chairman. My name is Dietrich Schmidt president of Peto- 

 seed Company in Saticoy, California, and president of the American Seed Trade As- 

 sociation (ASTA). On behalf of the entire membership of the ASTA, I am pleased to 

 be here today to lend support and reaffirm our endorsement of S. 1406, a bill to 

 amend the Plant Variety Protection Act of 1970. 



Before I begin, however, I would like to take a moment to thank you and the 

 members of the subcommittee for your leadership and insight into this important 

 area that challenges all of us committed to keeping American farmers on top. Many 

 hours of discussions, research, and planning have gone into this legislation and our 

 membership appreciates your enthusiasm and willingness to bring this issue for- 

 ward for a thoughtful discussion and, hopefully, a quick resolution. 



As the leading national trade association charged with the responsibility and 

 privilege of representing over 500 large, medium, and small seed companies, both 

 with and without research programs, State and regional seed organizations, and 

 supportive service industries, the ASTA is firmly behind the intent and spirit of S. 

 1406. We do, however, believe that further discussion on the transitional section is 

 in order. Collectively and without hesitation, we wholeheartedly believe that it is in 

 the best interest of American agriculture and U.S. policy to join the 1991 UPOV 

 Convention. In doing so, the United States positions itself as a full partner in recog- 

 nizing intellectual property rights for developers of seed cultivars. Most important- 

 ly, however, the reciprocal plant breeders' rights that are afforded with adoption of 

 the 1991 UPOV Convention, assures developers and users of protected varieties of 

 clearly defined and internationally accepted standards. 



Joining the UPOV Convention Strengthens American Agriculture 



The supporters of S. 1406 recognize the importance of validating strong intellectu- 

 al property rights protection. Indeed, the 1991 UPOV Convention outlines standards 

 for protecting plant breeders' rights, while at the same time, helping to arm devel- 

 opers of new varieties with the protection and incentive necessary to bring new and 

 improved products to the markets. These new and improved varieties are developed 

 with the sole intent of providing the necessary tools American farmers need to 

 remain dominant in agricultural markets — high performing seed. 



American plant breeders fully understand their responsibility to the farmer. Pro- 

 viding enhanced seeds that incorporate characteristics of drought resistance and 

 pest resistance help the farmer to be a responsible steward, while achieving higher 

 yields and performance. 



