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How Will UPOV 1991 Affect Thai Wallets? When Seeds Could Reshape the Nations Food Cost Structure

Thai economics06 Oct 2026 15:34 GMT+7

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How Will UPOV 1991 Affect Thai Wallets? When Seeds Could Reshape the Nations Food Cost Structure

In the past few weeks “UPOV 1991” has once again become a hot topic in Thai society after being introduced in the Thailand-EU FTA negotiation table, especially the proposal for Thailand to upgrade its plant variety protection to comply with UPOV 1991 standards. This has become a sensitive issue that could determine the direction of Thailand's intellectual property rules on plant varieties, particularly concerning farmers' rights and future plant variety protection. Beyond that, this matter could affect something close to all of us: the food production costs and the money Thai people spend daily.

What is UPOV 1991 and who established it?

UPOVstands for the International Union for the Protection of New Varieties of Plants, an international organization that promotes breeders' rights protection through intellectual property systems.

UPOV originated in 1961 from an international convention created to establish a protection system for breeders' rights, akin to the principle that those investing time and money to develop new plant varieties should have control and receive returns from those varieties to incentivize ongoing research and development.

Under UPOV 1991, the rights of protected variety holders cover key activities such as production or propagation, offering for sale, marketing, import, and export, with minimum protection periods of 20 years for most plants and 25 years for trees and vines.

The convention was amended in 1972, 1978, and notably in 1991 in Geneva during the Diplomatic Conference held from 4-19 March 1991, leading to what is called the “UPOV 1991 Act.”

Therefore, UPOV 1991 is not a law of the European Union, nor is the EU the sole determiner of UPOV. It is a multilateral agreement developed through the UPOV system and negotiations among member countries. Currently, the EU is proposing the UPOV 1991 standard as part of FTA negotiations with Thailand.

When did Thailand become involved with UPOV 1991?

Thailand is not a member of UPOV 1991 but has its own legal system, namely the Plant Variety Protection Act B.E. 2542 (1999), under which farmers have the right to save and use propagation material they produce for replanting under certain legal conditions. The government affirms that Section 33 still protects farmers' rights in this regard.

This point has become central in debates because if Thailand accepts the obligations proposed by the EU and amends its laws to comply with UPOV 1991, the details of exceptions for farmers will become critical.

However, UPOV 1991 does not explicitly prohibit “all farmers from saving seeds” because Article 15(2) allows each country to determine exceptions for farmers to use harvested material for propagation on their own holdings, subject to national conditions. Therefore, Thailand's domestic law details remain a key variable going forward.

Why do farmers oppose it?

In September, farmer networks across many areas protested, concerned that strengthening breeders' rights might reduce farmers' ability to save, select, exchange, and use seeds, potentially increasing production costs, especially for smallholders.

Consumer councils have also raised concerns beyond farmers, warning that increased seed costs could pass through to agricultural and food product prices.

Meanwhile, the Ministry of Agriculture states that the new draft Plant Variety Protection Act under consideration still allows small farmers to save seeds of key food crops such as rice, corn, and beans for replanting on their own farms and confirms that indigenous, traditional, local, and public varieties remain accessible.

A Thai trade representative noted that intellectual property issues are not limited to plant varieties but relate to agricultural industry development, access to agricultural and food raw materials, and national policy space, requiring a balance between IP standards and national interests.

As of October, the government states Thailand has not decided to join UPOV 1991, emphasizing that Thailand-EU FTA negotiations are ongoing and the EU proposal is not the final agreement. The government clearly states that if negotiations or legal amendments cause farmers to lose rights or put Thailand at a disadvantage, it will not proceed without thorough impact assessments.

How does the seed business view this?

Contrary to public concerns about monopolies, some seed industry players see that stronger plant variety protection systems would incentivize R&D investment.

Led by the Thai Seed Trade Association, which supports modernizing domestic laws to align with international standards, though this must be considered alongside FTA conditions and national benefits.

If companies invest in developing new varieties but competitors can easily propagate and sell them, the incentive to invest diminishes. Conversely, stronger rights allow companies to generate revenue from seed sales, registration ownership, and exports.

Currently, the Thai seed market includes Thai companies, businesses based in Thailand, and multinational corporations, with key players such as Chia Tai, which operates seed business and breeding research, East-West Seed, headquartered in Thailand and specializing in tropical vegetable seeds with R&D and market networks in many countries, Syngenta, a global leader in seed and agricultural technology,

and other global seed companies such as Groupe Limagrain, Rijk Zwaan, Enza Zaden, and Known-You Seed, considered major players in the Thai vegetable seed market by recent market research. Thus, regarding UPOV 1991, the stakeholders include not only Thai farmers and government but also a multi-billion-baht seed industry and global intellectual property systems.

Regarding market value, research byMordor Intelligenceestimates the Thai seed market at about 702 million USD (approximately 23 billion baht) in 2025, expected to rise to 727.4 million USD in 2026 and reach 868.8 million USD by 2031. This reflects that seeds are a significant economic sector with both Thai and multinational players.

In trade terms, Thailand is not only a seed importer but also a production and export base, withWorld Bank–UN Comtradedata showing that in 2024, Thailand exported seeds, fruit, and propagation spores classified under HS 1209 valued at 137.4 million USD (about 4.5 billion baht), totaling 6.29 million kilograms. Key export markets include the Netherlands, China, India, Pakistan, and the USA.

These figures illustrate that Thailand is not merely an endpoint in the seed supply chain but also a producer, exporter, and importer. When seeds are elevated from production inputs to "intellectual property," changes in rules affect not only farmers' rights but also business value, R&D investment, production costs, and bargaining power throughout the food supply chain.

How will it change the country’s food cost structure?

If Thailand upgrades its plant variety protection to align with UPOV 1991, the focus should extend beyond who holds seed rights to who bears the cost of those rights and how far those costs will be passed along the supply chain.

To illustrate, the chain starts from breeders/variety owners → seed companies → sellers → farmers, then continues from farmers → collectors → food processing plants → wholesalers/retailers → consumers.

When seeds become priced intellectual property, breeders' or owners' rights can translate into business value through seed sales, licensing, or royalties for variety use.

  • Farmer costs: If protected varieties become more expensive or have stricter propagation conditions, some farmers may rely more on purchasing commercial seeds. However, higher seed prices do not always mean higher unit production costs. If new varieties yield more, resist disease, use less water, or reduce loss, increased seed costs may be offset by higher output and thus lower per-kilogram costs.
  • Bargaining power: If many breeders develop varieties and farmers have choices, competition may force seed sellers to compete on price, quality, and variety performance. But if varieties meeting market demand are controlled by few rights holders, bargaining power may shift toward owners.
  • Food processing plant costs: When farmers plant seeds, resulting production costs accumulate in agricultural product costs. If yields do not increase sufficiently, these costs may be reflected in prices charged by collectors and food processors. Processors then must choose to absorb costs, reduce margins, or pass costs on to product prices. Given strong competition, fully passing costs to consumers may be difficult. Producers may instead reformulate, reduce package size, change raw material sources, or improve production efficiency.

Will it ultimately affect Thai consumers’ wallets?

The impact may not be immediate price increases because food prices are influenced by many factors beyond seeds, including fertilizer, energy, water, labor, transport, land rent, exchange rates, and market competition.

However, seeds are the "upstream start" of the food production chain. Changes in seed costs or usage conditions have the potential to cascade from farmers to collectors, food processors, retailers, and ultimately consumers.

Conversely, stronger plant variety protection may stimulate R&D to develop higher-yielding, cost-reducing, or climate-resilient varieties. In such cases, increased seed costs could be offset by improved performance. Therefore, the key variables are not only how much seed prices rise but also how much efficiency gains compensate and who benefits from the increased value.

If Thailand designs regulations to foster competition, innovation incentives, and maintain farmers' space, intellectual property benefits could return as national productivity and income. But if costs rise without efficiency gains and bargaining power concentrates upstream, some cost increases might flow down to product prices, ultimately increasing what Thai consumers pay.


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