Posted September 17, 2014
An Oregon Wheat Commission administrator introduced terms of agreement between the commission and Oregon State University (OSU), according to a Capital Press article available here.
The terms were revealed at the OSU extension meeting and define how OSU spends royalties on OSU-developed wheat varieties.
According to the agreement, 75 percent of royalties collected by the university will be reallocated into the wheat breeding program. Five percent of royalties will support Crop and Soil Science Department, 10 percent will support variety inventors, and 10 percent to the OSU Research Office.
“That is much improved from the old system,” said Blake Rowe, Oregon Wheat Commission CEO. “I think it is a very good agreement.”
Mike Flowers, OSU Extension Cereals Specialist, stated that the agreement significantly decreases the percentage of royalty funds that will be recycled back into the wheat breeding program.
In the past few years, OSU has collected $1.2 million and $1.5 million a year in royalties through a 2 percent royalty on Clearfield varieties.
“(The Research Office) has been getting $400,000 or $500,000 a year the last five years or so,” Flowers said. “That is a big chunk of change, and growers wanted to see some of that come back into the program.”
For more information on commodity programs, please visit the National Agricultural Law Center’s website here.