MARKET FACTORS IN THE DEVELOPMENT OF AGRICULTURAL SEED PRODUCTION (ON THE EXAMPLE OF POTATO)

Abstract

Potatoes comprise such species of crops which experienced the greatest fall in the production of seeds in 1989–2006. There is a need and an economic justification to revert the decreasing tendencies in seed production and to increase the usage of qualified seed-potatoes in agriculture by 2–3 times. In light of the analysis, which was carried out, it is the demand factors, i.e. size of production and profitability of agriculture, quality of seed-potatoes and level of marketing, which are the major barriers in the restoration of seed production. Meanwhile, there is a need to limit the barriers which hamper the increase of supply (profitability of seed production, phytosanitary requirements, short life cycle of the cultivar). In 2005–2006 there has been a significant increase in market prices of seed- -potatoes. The elimination of most of the barriers in market development that are discussed in the paper is necessary to rebuild seed production.