Variety use and development, seed production and storage by farmers under local conditions, and seed exchange mechanisms are presented as the three principal components of a dynamic system that forms the most important seed source of food crops for small farmers in developing countries . The information on this topic is based on a literature review and a case study . Analysis of strengths and weaknesses of local seed systems leads to the conclusion that local seed systems and the formal system are complementary . Integrated approaches in breeding, and seed production and distribution show to have promising potential for improving seed supply for small farmers .

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Plant breeding collects, induces and rearranges genetic diversity followed by selection. Breeding may contribute to diversity in farmers' fields or significantly reduce it. History has numerous examples of both. The diversity of many crops have gone through domestication, dispersal and modernization bottlenecks. Between these major decreasing processes, diversity has picked up through different evolutionary processes, and plant breeding affected by policies. Major negative effects of plant breeding on diversity have been recorded following the modernization bottleneck, but alternative breeding strategies have come up as well, both in the formal system and in the interphase between formal and farmers' seed systems. Multiline breeding and participatory plant breeding are introduced as examples to also analyse effects of current developments in technology and policy. This paper intends to shed some light on the questions: how will current developments in technology and policy affect crop genetic diversity? Are we heading for a new bottleneck-either a molecular or a policy bottleneck, or a combination of both? Or could the future become more diverse? We look at the relationship between breeding, policies, and crop genetic diversity in farming systems with a birds-eye view. Notably because of current policy trends we warn for a new diversity bottleneck.

Current farmers' breeding goes beyond the gradual selection in landraces, and includes development and maintenance of major new farmers' varieties that are rather uniform, in particular in South-East Asia. Modern varieties developed in the formal sector have simply replaced landraces as the source of diversity, but have not abolished farmers' breeding practices. Interpretations of the new international agreements on plant genetic resources should protect the development of modern farmers' varieties. However, ensuring recognition of collective innovation, allowing access to relevant germplasm sources for farmers' breeding activities, keeping materials freely available, and arranging for effective benefit sharing, all form major challenges. This paper proposes a new protective measure: namely "origin recognition rights."

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