Good Fruit Grower

December 2013

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PICO has new direction When Keith Carlson (center) was appointed CEO of PICO last summer, his family stepped in to run their Summerland orchard. Pictured with him are (from left) daughter Erin Carlson, wife Jan, daughter Claire Tamang, and son Marten Carlson. he Okanagan Plant Improvement Company (PICO), a fruit variety management company based in British Columbia, Canada, has a new direction with a new chief executive officer at the helm. PICO is refocusing on its mission to license new varieties developed by government and private breeders in Canada in a way that delivers the greatest possible benefits to Canadian growers. Since its formation 20 years ago, PICO has licensed a long list of new cherry varieties bred at the Pacific AgriFood Research Centre in Summerland, British Columbia, many of which have gained global status. It has also licensed a number of apple varieties that are now being produced internationally, including the privately owned chance seedling Ambrosia. T The variety management company is refocusing on supporting Canadian growers. by Geraldine Warner The B.C. Fruit Growers' Association, which owns PICO, decided that the company needed to place more emphasis on ensuring that Canadian growers benefit from the program. It also decided that it needed a person with long industry experience and an intimate knowledge of PICO to implement the change. The board terminated the contract of John Kingsmill, a former attorney who had been PICO's CEO since 2006, and in July appointed Keith Carlson, a cherry and apple grower who had been chair of PICO's board for the past six years, to succeed him. Carlson was given an initial 2-1/2-year contract. "I think there was a partial feeling that we were paying a little bit too much for what was getting done," Carlson told Good Fruit Grower. "Ultimately, PICO's mandate is to help Canadian growers to introduce new varieties Your Solution To Farm Labor Housing. . . 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Award of merit Carlson grows about 40 acres of cherries and a few acres of the Ambrosia apple at his orchard in Summerland, B.C., and owns the cherry packing and shipping company Carcajou Fruit Company Limited. In addition, he sells bird netting and packing equipment. He has served on numerous industry committees and received the 2013 Award of Merit from the B.C. Fruit Growers' Association for his contributions to the industry. For Carlson and his family, this career switch came at an opportune time. His daughter Erin graduated from the University of Guelph in Ontario, Canada, two years ago with a bachelor's degree in agriculture and has taken over management of the farm. His wife, Janice, is in charge of human resources, which involves hiring crews and doing safety training. PICO will continue to operate internationally, but Canadian growers will be more involved in deciding how varieties are introduced, and who will plant them and where, Carlson said. PICO's mandate is to put Canadian growers first, but that doesn't necessarily mean they have first access to the varieties. It means that when PICO negotiates with potential license holders in other countries, the interests of the Canadian growers should come first. Generally, international licensees are allowed to produce only a limited volume of a variety and cannot sell the fruit in markets where they would compete with Canadian growers. For example, Stemilt Growers, Inc., Wenatchee, Washington, holds an exclusive license for the Staccato cherry but cannot export it to Canada or Europe. Stemilt can only sell it in the United States and in export markets where Canada doesn't have access. PICO collects the royalties on behalf of the variety owners, withholding a portion to fund its operations. It operates a budwood orchard to provide grafting wood to the industry and supports industry research and development projects in Canada. PICO contracts with a number of experienced growers to provide extension services to the industry to ensure that fruit is harvested at optimum quality. Canadian growers pay only tree royalties, but international licensees might also have to pay an up-front signing fee, acreage fees, and per-box royalties, depending on what is negotiated between the two parties. With apples, it takes a critical mass of production for a variety to be recognized in the marketplace, so that's another way in which international partnerships can be beneficial to Canadian growers. www.goodfruit.com

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