**General Trade Summary**

U.S. planting seed exports during the July-May period totaled1,128,129 metric tons valued at $857.6 million, increases of 84and 29 percent, respectively, over the same period last year.Imports for the period reached 216,875 tons valued at $334.9million. 

Two seedkinds, field corn and soybean seed, exceeded the $100million level in exports and continue to dominate the plantingseed export trade. 

Mexico continued as the best export market for planting seeds,having reached 391,765 tons and $193.5 million, up 91 and 49percent, respectively, from a year earlier. Two other exportmarkets, Canada and Japan reached the $100-million level in May:Canada at $103.6 million and Japan at $100.8 million. Italy, at$94.2 million could still reach the same level. With one monthleft to go in the marketing year, export values have alreadyreached new levels for all four countries. 

Canada led suppliers of planting seeds to the United States,shipping 132,250 tons, valued at $92.9 million, increases of 3and 17 percent, respectively. Although down from the nearly 40percent market share enjoyed by Canada less than 10 years ago, itstill has a comfortable margin over the next largest supplier,Chile. 

The following paragraphs are excerpts from U.S. AgriculturalAttache reports recently received in FAS in Washington. Copies ofthe complete reports may be obtained by contacting the Cotton,Oilseeds, Tobacco and Seeds Division at the address, telephone orFax number listed on the back cover. 

**Japan (Report number JA7035)****:**Japan's own agricultural sector, as a market for planting seeds,continued to remain limited in scope and constrained by anincreasing influx of farm products from abroad. The problem iscompounded by the declining farm population, increasing age ofactive farmers, lack of economic incentives to attract young farmsuccessors and stagnation in agricultural production. 

Following a consistent trend, Japanese seed production fell 6percent to 1,370 tons in 1996 while planted area declined 7percent to 1,420 hectares. Since 1988, important statisticalmarkers for planting seeds have all declined: planted area forseeds by 47 percent, seed production by 44 percent, and thenumber of seed farmers by 52 percent. Ordinarily, the outlook forU.S. planting seed exports would be optimistic. However, the E.coli O:157 outbreak attributed to Daikon radish sprouts grownfrom U.S. seed has put a damper on the short-term prospects. 

**Spain (Report number SP7037)**: Thedemand for U.S. planting seed in the next few years should remainat about last year's level. Demand for field crop seeds, pulseand forage and pasture seeds should remain stable as most ofthese crops are contingent upon acreage quotas. Demand for U.S.vegetable seeds, however, is likely to continue to grow,reflecting the expected expansion in produce production.Increased marketing opportunities are being created for U.S.vegetable seeds, especially tomato, pepper, lettuce, melon andwatermelon. Spain's competitive position within the EU is leadingto growing exports of these products for the rest of the EU. 

Trials for variety approval are conducted in the autonomousregions, who must inform the central government, which may modifythe trial program or request additional information. The resultsare reviewed by the National Biosafety Committee, which reportsto the Minister of Agriculture or to a newly createdinter-ministerial committee for national approval, before sendingit to Brussels for EU approval. Several biotechnology productsare currently going through the approval process including two BTcorn, one BT cotton, and two Roundup Ready soybean varieties. TheBT corn varieties are currently pending the AgricultureMinister's decision. The Agriculture Minister has withheld hersignature so far citing the need for caution and solidarity withother EU countries. The BT cotton varieties are currently underreview by the inter-ministerial committee. The two Roundup Readysoybean varieties are undergoing trials in the Estremaduraregion. 

| **U.S. Planting        Seed Export Highlights**                                                |
|------------------------------------------------------------------------------------------------|
| **July-June Marketing Year        1996/97 Compared to 1995/96**                                |
| **July-May**                                                                                   | **1995/96** | **1996/97** | **Change** | **1995/96** | **1996/97** | **Change** |
|                                                                                           | **Metric Tons** | **$1,000** |
| **ALL SEEDS**                                                                                  | **613,833** | **1,128,129** | **83.8%** | **665,937** | **857,577** | **28.8%** |
| **BY KIND**                                                                                    |   |   |   |   |   |   |
| **Grasses**                                                                                    | **43,428** | **54,347** | **25.1%** | **54,146** | **68,770** | **27.0%** |
| Tall        Fescue                                                                             | 4,887 | 9,359 | 91.5% | 6,276 | 9,700 | 54.6% |
| Annual        Ryegrass                                                                         | 10,372 | 11,588 | 11.7% | 8,271 | 8,785 | 6.2% |
| Perennial        Ryegrass                                                                      | 5,788 | 6,750 | 16.6% | 7,312 | 8,684 | 18.8% |
| Sorghum-sudan        Crosses                                                                   | 5,211 | 6,974 | 33.8% | 6,785 | 8,479 | 25.0% |
| Kentucky bluegrass                                                                             | 2,210 | 3,570 | 61.5% | 5,751 | 7,313 | 27.2% |
| Bentgrass                                                                                      | 1,267 | 1,669 | 31.7% | 4,111 | 5,547 | 34.9% |
| **Other Forages**                                                                              | **22,946** | **29,650** | **29.2%** | **59,039** | **79,707** | **35.0%** |
| Certified        Alfalfa                                                                       | 9,185 | 13,591 | 48.0% | 31,350 | 46,663 | 48.8% |
| Uncertified        Alfalfa                                                                     | 2,497 | 3,719 | 48.9% | 6,506 | 9,649 | 48.3% |
| Red        Clover                                                                              | 939 | 1,116 | 18.8% | 2,181 | 2,707 | 24.1% |
| White        & Ladino Clover                                                               | 438 | 422 | -3.7% | 1,293 | 1,291 | -0.2% |
| Crimson        Clover                                                                          | 636 | 981 | 54.2% | 974 | 1,210 | 24.2% |
| **Pulses**                                                                                     | **47,414** | **53,214** | **12.2%** | **39,892** | **48,074** | **20.5%** |
| Pea                                                                                            | 21,489 | 18,978 | -11.7% | 15,987 | 13,992 | -12.5% |
| Other        Kidney Bean                                                                       | 3,548 | 6,358 | 79.2% | 3,595 | 7,156 | 99.1% |
| Gram        Bean                                                                               | 3,923 | 3,684 | -6.1% | 4,236 | 4,792 | 13.1% |
| Navy        Bean                                                                               | 4,065 | 4,993 | 22.8% | 2,863 | 3,588 | 25.3% |
| **Vegetables**                                                                                 | **35,035** | **42,657** | **21.8%** | **181,991** | **209,428** | **15.1%** |
| Sweet        Corn                                                                              | 8,143 | 17,669 | 117.0% | 22,223 | 60,555 | 172.5% |
| Tomato                                                                                         | 1,147 | 1,353 | 18.0% | 20,293 | 21,165 | 4.3% |
| Onion                                                                                          | 1,637 | 962 | -41.2% | 16,029 | 12,513 | -21.9% |
| Mushroom        Spawn                                                                          | 5,510 | 4,924 | -10.6% | 12,694 | 10,878 | -14.3% |
| Pepper                                                                                         | 1,559 | 1,844 | 18.3% | 8,757 | 9,853 | 12.5% |
| Cucumber                                                                                       | 1,033 | 997 | -3.5% | 9,612 | 9,243 | -3.8% |
| Squash                                                                                         | 1,193 | 1,390 | 16.5% | 7,664 | 8,990 | 17.3% |
| Watermelon                                                                                     | 1,234 | 1,082 | -12.3% | 8,995 | 8,447 | -6.1% |
| Carrot                                                                                         | 1,737 | 1,391 | -19.9% | 7,776 | 5,610 | -27.9% |
| Cantaloupe                                                                                     | 1,105 | 907 | -17.9% | 5,555 | 5,294 | -4.7% |
| **Field Crops**                                                                                | **460,159** | **944,271** | **105.2%** | **286,099** | **397,650** | **39.0%** |
| Field        Corn                                                                              | 81,758 | 78,403 | -4.1% | 139,563 | 141,671 | 1.5% |
| Soybean                                                                                        | 159,261 | 367,522 | 130.8% | 58,609 | 128,865 | 119.9% |
| Non-durum        Wheat                                                                         | 89,564 | 403,959 | 351.0% | 14,643 | 73,503 | 402.0% |
| Grain        Sorghum                                                                           | 51,561 | 56,818 | 10.2% | 14,274 | 17,340 | 21.5% |
| Cotton                                                                                         | 17,494 | 14,370 | -17.9% | 24,450 | 15,356 | -37.2% |
| Other        Sunflower                                                                         | 12,837 | 9,760 | -24.0% | 14,848 | 12,416 | -16.4% |
| **Miscellaneous        Kinds**                                                                 | **4,851** | **3,990** | **-17.7%** | **44,771** | **53,947** | **20.5%** |
| Flower                                                                                         | 240 | 353 | 47.1% | 27,409 | 34,045 | 24.2% |
| Tree        and Shrub                                                                          | 169 | 112 | -33.7% | 3,081 | 3,368 | 9.3% |
| Sugar        Beet                                                                              | 572 | 443 | -22.6% | 2,652 | 2,277 | -14.1% |
| Tobacco                                                                                        | 1 | 2 | 100.0% | 617 | 1,107 | 79.4% |
| **BY REGION**                                                                                  |   |   |   |   |   |   |
| North America                                                                                  | 280,926 | 540,347 | 92.3% | 219,216 | 297,044 | 35.5% |
| European Union                                                                                 | 133,903 | 133,313 | -0.4% | 216,976 | 252,139 | 16.2% |
| Other Asia 1/                                                                                  | 113,971 | 276,483 | 142.6% | 82,512 | 119,998 | 45.4% |
| **BY COUNTRY**                                                                                 |   |   |   |   |   |   |
| Mexico                                                                                         | 205,180 | 391,765 | 90.9% | 129,560 | 193,458 | 49.3% |
| Canada                                                                                         | 75,747 | 148,582 | 96.2% | 89,656 | 103,586 | 15.5% |
| Japan                                                                                          | 51,602 | 266,091 | 415.7% | 57,657 | 100,849 | 74.9% |
| Italy                                                                                          | 39,662 | 47,446 | 19.6% | 78,169 | 94,203 | 20.5% |
| Argentina                                                                                      | 12,805 | 24,199 | 89.0% | 30,136 | 54,039 | 79.3% |
| Netherlands                                                                                    | 28,494 | 15,759 | -44.7% | 33,468 | 35,161 | 5.1% |
| France                                                                                         | 13,504 | 16,545 | 22.5% | 27,370 | 30,861 | 12.8% |
| Greece                                                                                         | 12,191 | 11,351 | -6.9% | 23,268 | 27,128 | 16.6% |
| Spain                                                                                          | 21,599 | 13,212 | -38.8% | 20,878 | 19,934 | -4.5% |
| United Kingdom                                                                                 | 6,294 | 14,118 | 124.3% | 11,358 | 18,179 | 60.1% |
| Saudi Arabia                                                                                   | 2,875 | 6,547 | 127.7% | 8,696 | 15,773 | 81.4% |
| Germany                                                                                        | 6,838 | 6,418 | -6.1% | 10,385 | 11,559 | 11.3% |
| Australia                                                                                      | 5,161 | 4,714 | -8.7% | 9,201 | 10,518 | 14.3% |
| Egypt                                                                                          | 1,191 | 29,415 | 2369.8% | 4,789 | 9,003 | 88.0% |
| South Korea                                                                                    | 6,422 | 5,680 | -11.6% | 9,684 | 8,517 | -12.1% |
| Chile                                                                                          | 2,204 | 3,302 | 49.8% | 5,849 | 8,047 | 37.6% |
| Turkey                                                                                         | 1,856 | 4,266 | 129.8% | 5,029 | 7,946 | 58.0% |
| Brazil                                                                                         | 1,043 | 3,688 | 253.6% | 6,249 | 7,785 | 24.6% |
| Philippines                                                                                    | 937 | 39,800 | 4147.6% | 2,406 | 7,690 | 219.6% |
| Ecuador                                                                                        | 675 | 20,528 | 2941.2% | 1,595 | 6,261 | 292.5% |
| South Africa                                                                                   | 869 | 2,490 | 186.5% | 3,219 | 6,191 | 92.3% |
| Portugal                                                                                       | 1,228 | 1,970 | 60.4% | 4,035 | 5,872 | 45.5% |
| China                                                                                          | 53,913 | 2,463 | -95.4% | 10,415 | 5,511 | -47.1% |
| Colombia                                                                                       | 6,041 | 1,803 | -70.2% | 4,876 | 4,323 | -11.3% |
| Peru                                                                                           | 1,334 | 2,381 | 78.5% | 2,529 | 3,153 | 24.7% |
| Austria                                                                                        | 1,078 | 1,369 | 27.0% | 3,267 | 2,814 | -13.9% |
| Hong Kong                                                                                      | 995 | 1,320 | 32.7% | 2,383 | 2,749 | 15.4% |
| Venezuela                                                                                      | 806 | 519 | -35.6% | 3,675 | 2,736 | -25.6% |
| Belgium                                                                                        | 591 | 2,400 | 306.1% | 644 | 2,459 | 281.8% |
| United Arab Emirates                                                                           | 538 | 244 | -54.6% | 5,216 | 2,458 | -52.9% |
| Israel                                                                                         | 1,682 | 612 | -63.6% | 3,290 | 2,436 | -26.0% |
| Taiwan                                                                                         | 1,033 | 928 | -10.2% | 2,326 | 2,372 | 2.0% |
| Pakistan                                                                                       | 1,541 | 1,148 | -25.5% | 3,029 | 2,312 | -23.7% |
| Syria                                                                                          | 454 | 975 | 114.8% | 2,995 | 2,209 | -26.2% |
| Denmark                                                                                        | 583 | 878 | 50.6% | 1,648 | 2,024 | 22.8% |
| Costa Rica                                                                                     | 402 | 272 | -32.3% | 1,742 | 2,015 | 15.7% |
| Guatemala                                                                                      | 476 | 565 | 18.7% | 2,467 | 2,015 | -18.3% |
| \1 Other Asia        region includes China, Hong Kong, Japan, Korea, Macau,        and Taiwan. |   |
| Source: Compiled        from U.S. Bureau of Census records.                                    |   |
| Prepared by        USDA/FAS/COTSD                                                              |   |
| July 1997                                                                                      |   |   |   |   |   |   |

|                                                            |            |        |       |        |        |
|-----------------------------------------------------------------|-----------------|-------------|------------|-------------|-------------|
| **U.S. Planting Seed Import        Highlights**                 |
| **July-June Marketing Year        1996/97 Compared to 1995/96** |
| **July-May**                                                    |
|                                                            | **1995/96**     | **1996/97** | **Change** | **1995/96** | **1996/97** | **Change** |
|                                                            | **Metric Tons** | **$1,000**  |
| **ALL SEEDS**                                                   | **191,862**     | **216,875** | **13.0%**  | **270,065** | **334,937** | **24.0%** |
| **BY KIND**                                                     |            |        |       |        |        |   |
| **Grasses**                                                     | **23,777**      | **37,578**  | **58.0%**  | **25,810**  | **46,073**  | **78.5%** |
| Red        Fescue                                               | 14,756          | 21,006      | 42.4%      | 13,470      | 22,792      | 69.2% |
| Perennial        Ryegrass                                       | 779             | 8,106       | 940.6%     | 1,817       | 11,289      | 521.3% |
| Wheatgrass                                                      | 663             | 1,308       | 97.3%      | 1,126       | 2,521       | 123.9% |
| Bromegrass                                                      | 2,980           | 2,630       | -11.7%     | 2,079       | 1,698       | -18.3% |
| Timothy                                                         | 1,192           | 1,104       | -7.4%      | 1,869       | 1,667       | -10.8% |
| Kentucky        Bluegrass                                       | 1,235           | 616         | -50.1%     | 2,047       | 1,146       | -44.0% |
| **Other Forages**                                               | **12,338**      | **8,620**   | **-30.1%** | **20,539**  | **16,827**  | **-18.1%** |
| Uncertified        Alfalfa                                      | 3,353           | 3,034       | -9.5%      | 7,140       | 7,139       | -0.0% |
| Certified        Alfalfa                                        | 808             | 1,019       | 26.1%      | 1,761       | 2,406       | 36.6% |
| Red        Clover                                               | 3,293           | 1,145       | -65.2%     | 4,356       | 1,911       | -56.1% |
| White        and Ladino Clover                                  | 570             | 532         | -6.7%      | 1,645       | 1,389       | -15.6% |
| **Pulses**                                                      | **52,207**      | **54,229**  | **3.9%**   | **22,677**  | **26,475**  | **16.7%** |
| Pea                                                             | 11,026          | 12,811      | 16.2%      | 6,596       | 8,707       | 32.0% |
| Gram        Bean                                                | 16,459          | 24,520      | 49.0%      | 4,884       | 7,909       | 61.9% |
| Lentil                                                          | 2,730           | 3,963       | 45.2%      | 1,365       | 1,750       | 28.2% |
| **Vegetables**                                                  | **6,245**       | **11,765**  | **88.4%**  | **70,104**  | **89,511**  | **27.7%** |
| Tomato                                                          | 254             | 229         | -9.8%      | 21,253      | 21,276      | 0.1% |
| Pepper                                                          | 88              | 106         | 20.5%      | 9,201       | 14,673      | 59.5% |
| Watermelon                                                      | 217             | 347         | 59.9%      | 6,641       | 7,722       | 16.3% |
| Pumpkin                                                         | 1,995           | 3,181       | 59.4%      | 4,593       | 6,974       | 51.8% |
| Onion                                                           | 150             | 349         | 132.7%     | 4,870       | 5,018       | 3.0% |
| Cantaloupe                                                      | 39              | 72          | 84.6%      | 2,833       | 4,432       | 56.4% |
| Other        Melons                                             | 153             | 146         | -4.6%      | 2,126       | 3,073       | 44.5% |
| Squash                                                          | 107             | 91          | -15.0%     | 2,185       | 2,564       | 17.3% |
| Cucumber                                                        | 72              | 40          | -44.4%     | 2,092       | 2,304       | 10.1% |
| Cabbage                                                         | 15              | 22          | 46.7%      | 1,459       | 2,033       | 39.3% |
| Spinach                                                         | 203             | 529         | 160.6%     | 955         | 1,812       | 89.7% |
| Celery                                                          | 1,845           | 2,161       | 17.1%      | 1,438       | 1,629       | 13.3% |
| Lettuce                                                         | 61              | 42          | -31.1%     | 1,298       | 1,232       | -5.1% |
| Cauliflower                                                     | 15              | 13          | -13.3%     | 1,165       | 1,157       | -0.7% |
| Broccoli                                                        | 13              | 21          | 61.5%      | 1,379       | 1,149       | -16.7% |
| **Field Crops**                                                 | **96,254**      | **103,325** | **7.3%**   | **80,466**  | **98,334**  | **22.2%** |
| Field        Corn                                               | 44,120          | 52,535      | 19.1%      | 57,107      | 76,098      | 33.3% |
| Soybean                                                         | 8,141           | 14,008      | 72.1%      | 5,216       | 7,898       | 51.4% |
| Rape        and Colza                                           | 5,410           | 1,100       | -79.7%     | 3,902       | 3,937       | 0.9% |
| Non-durum        Wheat                                          | 20,378          | 16,619      | -18.4%     | 4,532       | 3,721       | -17.9% |
| Other        Sunflower                                          | 2,657           | 914         | -65.6%     | 5,765       | 2,426       | -57.9% |
| Barley                                                          | 8,330           | 8,982       | 7.8%       | 1,650       | 1,653       | 0.2% |
| **Miscellaneous        Kinds**                                  | **1,047**       | **1,359**   | **29.8%**  | **50,469**  | **57,716**  | **14.4%** |
| Flower                                                          | 434             | 605         | 39.4%      | 46,130      | 50,755      | 10.0% |
| Tree        and Shrub                                           | 211             | 219         | 3.8%       | 1,735       | 3,314       | 91.0% |
| **BY REGION**                                                   |            |        |       |        |        |   |
| North America                                                   | 135,581         | 134,520     | -0.8%      | 89,704      | 105,005     | 17.1% |
| South America                                                   | 36,493          | 53,236      | 45.9%      | 64,986      | 86,037      | 32.4% |
| European Union                                                  | 4,900           | 5,176       | 5.6%       | 41,007      | 51,695      | 26.1% |
| **BY COUNTRY**                                                  |            |        |       |        |        |   |
| Canada                                                          | 128,405         | 132,250     | 3.0%       | 79,112      | 92,916      | 17.4% |
| Chile                                                           | 24,648          | 32,325      | 31.1%      | 47,440      | 63,529      | 33.9% |
| Netherlands                                                     | 1,657           | 1,525       | -8.0%      | 22,727      | 24,126      | 6.2% |
| China                                                           | 6,833           | 6,960       | 1.9%       | 18,987      | 22,681      | 19.5% |
| Argentina                                                       | 10,305          | 18,847      | 82.9%      | 14,903      | 18,997      | 27.5% |
| Japan                                                           | 78              | 189         | 142.3%     | 15,041      | 14,245      | -5.3% |
| Mexico                                                          | 7,176           | 2,270       | -68.4%     | 10,593      | 12,089      | 14.1% |
| New Zealand                                                     | 2,325           | 7,524       | 223.6%     | 4,382       | 11,434      | 160.9% |
| France                                                          | 1,372           | 1,202       | -12.4%     | 5,308       | 8,334       | 57.0% |
| India                                                           | 1,859           | 2,800       | 50.6%      | 5,726       | 7,167       | 25.2% |
| Germany                                                         | 212             | 281         | 32.5%      | 4,719       | 6,829       | 44.7% |
| Thailand                                                        | 540             | 619         | 14.6%      | 5,534       | 6,193       | 11.9% |
| Australia                                                       | 1,213           | 3,388       | 179.3%     | 3,762       | 6,122       | 62.7% |
| Denmark                                                         | 868             | 1,301       | 49.9%      | 3,762       | 5,539       | 47.2% |
| Guatemala                                                       | 15              | 14          | -6.7%      | 6,895       | 5,030       | -27.0% |
| Taiwan                                                          | 108             | 108         | 0.0%       | 2,212       | 4,818       | 117.8% |
| Israel                                                          | 74              | 155         | 109.5%     | 4,167       | 4,636       | 11.3% |
| United Kingdom                                                  | 206             | 249         | 20.9%      | 2,045       | 3,586       | 75.4% |
| Italy                                                           | 439             | 508         | 15.7%      | 2,069       | 2,752       | 33.0% |
| Costa Rica                                                      | 185             | 104         | -43.8%     | 681         | 2,490       | 265.6% |
| Brazil                                                          | 532             | 1,167       | 119.4%     | 1,050       | 2,100       | 100.0% |
| Peru                                                            | 695             | 814         | 17.1%      | 813         | 1,335       | 64.2% |
| Hungary                                                         | 360             | 565         | 56.9%      | 684         | 1,123       | 64.2% |
| Kenya                                                           | 1               | 1           | **-10.1%** | 1,440       | 1,100       | -23.6% |
| South Korea                                                     | 11              | 17          | 54.5%      | 561         | 752         | 34.0% |
| South Africa                                                    | 225             | 264         | 17.3%      | 1,033       | 699         | -32.3% |
| Indonesia                                                       | 1               | ---         | -18.7%     | 339         | 497         | 46.6% |
| Hong Kong                                                       | 136             | 194         | 42.6%      | 497         | 488         | -1.8% |
| Turkey                                                          | 340             | 135         | -60.3%     | 581         | 456         | -21.5% |
| Egypt                                                           | 67              | 198         | 195.5%     | 233         | 447         | 91.8% |
| Vietnam                                                         | 3               | 4           | 1030.6%    | 102         | 336         | 229.4% |
| Zimbabwe                                                        | 7               | 2           | -71.4%     | 110         | 264         | 140.0% |
| Burma                                                           | 188             | 360         | 91.5%      | 133         | 234         | 75.9% |
| Honduras                                                        | 0               | 1           | NA         | 0           | 206         | NA |
| --- indicates less        than 500 kilograms                    |
| Source: Compiled        from U.S. Bureau of Census records.     |
| Prepared by        USDA/FAS/COTSD                               |
| July 1997
                                                 |

|                                      |
|-------------------------------------------|
| *Last modified: Wednesday, June 24, 1998* |