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- Property Rights will Remain Key to Ag’s Economic Prosperity
- By Joe Guenthner
University of Idaho
- “… by pursuing his own interest he promotes that of society.”
British economist Adam Smith, who wrote “The Wealth of Nations” in the 1700s, said that economic freedom and property rights were the keys to a prosperous economy. The United States was founded on Smith’s principles, but only recently have property rights been available for plant varieties.
Now that people can own potato varieties in the United States, there is a powerful economic incentive to bring new varieties to market. California-Oregon Seed, Inc. (COS) is one of the pioneering firms responding to that incentive.
Under the management of Rob Campbell, his daughter Amanda and Jim Camp, COS has begun to produce and market the Sierra Gold potato variety. Sierra Gold has russet skin and a rich golden-colored flesh. Dr Creighton Miller of Texas A&M University, developed the variety.
Sierra Gold is coming to the fresh retail market as a premium branded potato in three special packages. The smallest potatoes are packaged in 2.2-pound (1 kg.) bags that include recipes for using the entire contents in one meal. The medium-sized tubers are in five-pound poly bags with reclosable slide-rite tops. The largest potatoes are individually labeled in 25-pound Euro cartons.
COS contracted with a major retailer for this year’s Sierra Gold production. Spring 2003 test marketing conducted by COS subsidiary Discovery Gardens will provide valuable information for future marketing efforts. Company officials are also exploring opportunities for Sierra Gold with restaurant chains and processors.
Sierra Gold will not be the only player in the private variety game. Green Giant is marketing Klondike Rose, a red-skinned variety with yellow flesh. Other private varieties will soon follow. COS plans to bring another private potato variety - Ivory Rose - to the long white market.
There are big changes coming to the fresh potato market. The old public varieties, such as Russet Burbank, with downward trending commodity-like prices, will lose market share. New private varieties, with higher prices that come from top quality and supply control, will push them off the shelf.
A couple hundred years ago Adam Smith predicted that people with property rights, acting in their own self-interest, would improve the well being of others. Proprietary varieties will do that, not just for those who own them, but also for the industry from producer to consumer.
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