Valuation of Plant Variety Protection Certificates

Abstract

Hedonic pricing is used to value certificates of plant variety protection for soybean seed in New York. The estimated price premium of 2.3 percent (.7 ¢/lb.) is low, and another indicator that US Plant Breeders' Rights protection likely provides inadequate incentives for breeding investment. Soon the Congress will decide on amending the Plant Variety Protection Act to strengthen protection. The current results suggest strengthening is needed, but additional study is required to determine if the proposed amendments are optimal.