Back to Insights
GuideJanuary 16, 20266 min read

How to commercialise a new plant variety: choosing the route that pays

Years of breeding and real money go into a new variety. What you do in the months before and after launch, confidentiality, protection, and above all the commercialisation model, decides whether it earns what it is worth.

By Tomer Biran, Founder of Greenstone

You have spent years and real money on a new variety, and the instinct, once it works, is to get it selling. That instinct is also where a lot of value leaks away. The question is rarely whether to commercialise a new variety. It is how, and in what order, because the commercial decisions you make in the months before and after launch decide whether the variety earns what it is worth or a fraction of it.

Greenstone was recently asked to map exactly this for a breeder bringing a new variety into the United States for the first time. The pattern repeats across crops and regions, so here is the practical version: what to sort out first, how the main commercialisation models actually differ, and where the money sits.

Start with the variety's story, not the sales pitch

Before you talk to a single partner, you need to know what you are selling. That means a clear, evidence-based profile of the variety: yield, fruit size, firmness and handling, shelf life, disease resistance, seasonality, flavour, and how all of that compares with the leading genetics already in your target market.

This is not box-ticking. Where your variety sits against the competition decides your commercialisation model, your choice of partner, and your leverage in the negotiation. A variety that fills a real gap in the season, or beats the incumbent on shelf life, is a different conversation from a me-too. Build the spec sheet, benchmark it honestly, and gather structured feedback from the growers who have already trialled it. Do all of this before outreach begins.

Stay quiet until you are protected

Here is the trap we see most often. A breeder, proud of the result, posts photos of the new variety, with its name, on social media, or shows it at an event. In doing so they may have just started, or even blown, the clock on their ability to protect it.

Premature public disclosure can cost you novelty, and novelty is the foundation of plant variety rights. Distributing plant material, exhibiting, or publicly naming the variety can all count as making it available, which can narrow or close your protection window. There is a quick self-test: search the variety's name and any reference to it online. If results come up, you may already have a problem.

You can still run controlled, limited trials, but only with the right confidentiality and agreements in place first.

Show a new variety off too early, and you can give away the right to protect it.

Protect it, then decide who sells it

Protection is the base layer, not the strategy. In most markets that means plant variety rights; in the United States it can also mean plant or utility patents, often alongside a trademark for the consumer-facing brand. These tools stack. The variety right protects the genetics, and a trademark can carry brand value long after the variety right expires, as long as the denomination and the trademark are kept apart. We cover those mechanics, and the patent side, in detail elsewhere, so we will not repeat them here.

The point for now is simple. Protection is necessary, but on its own it does not make money. The model you commercialise under does.

The decision that sets your return: the commercialisation model

This is where most of the value is won or lost. There are several ways to take a variety to market. The four below are the most common, but they are not the only ones, and the right answer depends heavily on your crop, your sub-sector, your resources and your goals. Many real programmes are hybrids that borrow from more than one.

Open

Access barriers are low, many propagators and growers can take part, and you earn mainly through plant sales and plant royalties. The upside is reach and low overhead. The trade-off is control: a weaker grip on plant quality, channels and brand, more leakage, and limited ability to hold a premium. For commoditised crops it can work; for premium categories it often erodes value.

Club, or semi-exclusive

You keep the key levers, who may access plants, how fruit moves, what compliance looks like, and admit qualified partners on tightly framed terms. Plants flow only through authorised nurseries, fruit sells only through approved channels, trademark use is mandatory, and audits keep everyone honest. It protects quality and brand and supports a stacked royalty, but it is resource-heavy to run. Most of the well-known managed fruit brands on supermarket shelves are clubs.

Head licensee

One capable partner runs a whole region: import, propagation, grower development, reporting and route to market, under your rights and your brand. It buys you speed and gives you their network. The risks are concentration on a single counterparty, and your variety being deprioritised if it does not fit their portfolio.

Territorial exclusives

Separate exclusive partners, one per country or territory, each running their own market. You gain local depth and resilience, a weak partner can be replaced without the programme collapsing, at the cost of more administration and a near-certainty of some cross-border leakage.

Our own view, for premium categories at least, is that more controlled models usually beat looser ones: the gains in quality, brand integrity and reliable reporting tend to outweigh the reach of an open approach. That is a starting position, not a rule. Choosing the structure is genuinely situation-specific, and it is one of the first things we work through with a client, because the choice shapes everything downstream.

Where the money actually is

However you license, the economics usually arrive in three layers, and the better structures combine them on purpose:

  • A licence fee, paid up front, often in the tens of thousands.
  • A plant royalty, charged per plant as material is shipped.
  • A production royalty, taken as a share of the value of the fruit sold.

Stacking all three captures the most value when the variety justifies it. The catch is that a heavy, rigid royalty demand can shrink your pool of interested partners and slow you down, especially with smaller players. The art is in the balance, and it moves with the variety's strength, the partner's role and the market. This is where a deal is really won or lost, and where a generic template tends to leave money on the table.

The model decides who sells your variety. The royalty stack decides what you keep.

Sequence, timing, and the things that cost you

A few habits separate the programmes that hold their value from the ones that leak it. Expect any serious licensee to want a season or two of trials before they commit, so plan for it. Tie exclusivity to performance, minimum plantings and dated milestones, rather than handing it over open-ended. Make trademark use mandatory through the chain, and build in reporting and audit rights, because royalty leakage almost always traces back to weak reporting. And time your outreach around the moments the industry actually meets, the major trade shows, rather than cold approaches out of season.

None of this is exotic. It is just rarely done in the right order, and the cost of getting the order wrong is measured in seasons and royalties.

Getting it right is a commercial decision

Registration is the part that is easy to understand. What a variety is worth depends on the model you pick, the royalties you structure, and the order you do things in. Those are commercial calls, and they are the ones breeders tend to get the least help with. That is the gap we fill, and we do it wherever in the world the variety is headed.

Frequently asked questions

What are the main ways to commercialise a plant variety?

Common models include open access, a club or semi-exclusive programme, a single head licensee for a region, and country-by-country territorial exclusives. They differ mainly in how much control and brand value you keep versus how much reach and speed you get. They are not the only options, and the right one depends on your crop, sub-sector, resources and goals.

Is an open or a controlled (club) model better?

It depends. Open models give reach and low overhead but weaker control and more leakage; controlled models like clubs protect quality, brand and reporting and support a stacked royalty, at the cost of more resource to run. For premium categories, controlled models usually hold value better, but it is a situation-specific call.

How are plant variety royalties usually structured?

Often in three layers: an up-front licence fee, a plant royalty charged as material is shipped, and a production royalty taken as a share of the fruit sold. Combining them captures the most value when the variety justifies it, but a heavy, rigid demand can shrink your partner pool. The right balance is specific to the variety and the market.

When should I approach potential licensees?

After you have a clear variety profile and your protection strategy is in place, and ideally around the industry's main trade events rather than cold, out-of-season approaches. Expect serious partners to trial the variety for a season or two before committing.

Can I show my new variety before it is protected?

Be careful. Premature public disclosure, posting it online with its name, exhibiting it, or distributing material, can narrow or close your ability to secure plant variety rights. Run only controlled trials with the right agreements in place first.

Book a free 30-minute session

Bringing a variety to market and weighing how to license it? In a free 30-minute session, we will help you think through the route and the model.

A free, no-obligation 30-minute call. We use your details only to arrange it. What this session is, and is not, is set out in our terms.

Related topics

commercialisationplant variety rightsPVRlicensingclub modelroyaltiesmarket entrystrategy

More insights

Tomer Biran

About the author

Tomer Biran, Founder of Greenstone

Tomer Biran is the founder of Greenstone. He has spent more than twenty years on both sides of the table: as a qualified lawyer and former General Counsel to international organisations across multiple jurisdictions, and as a founder and operator of B2B and B2C businesses across the UK, EU, and US. He has served as General Manager of a leading plant breeders' company with a global footprint and as General Counsel of an international fresh produce marketing group. He holds a Master of Law and Business from WHU and Bucerius Law School in Hamburg, where he was a Joachim Herz Excellence Scholar, and a Bachelor of Laws. That blend of commercial operating experience and legal depth is what drives Greenstone's commercial-first approach to plant variety rights and commercialisation.

Connect on LinkedIn