Selling seeds saved from a home garden offers an appealing way to share unique varieties, promote sustainable practices, and earn a small income. However, the act of selling seeds moves the gardener from a hobbyist to a commercial entity in the eyes of the law. While selling seeds is legal, the process is governed by overlapping federal and state regulations. Understanding the legal structure that regulates seed quality, labeling, and intellectual property is necessary before entering the marketplace.
Hobbyist Exemptions vs. Commercial Sales
The first step in determining legal obligations is defining the scale of the operation, as most states offer “hobbyist” or “small vendor” exemptions. These exemptions typically allow a small-scale grower to sell seeds without requiring a formal seed dealer license, provided the volume or revenue remains below a certain threshold. For instance, some state laws exempt sellers dealing only in pre-packaged flower or vegetable seeds in containers weighing less than one-half pound.
A person selling a few dozen small packets at a local farmers market might fall under such an exemption. Once the operation moves significant volume, sells online across state lines, or exceeds a specific weight limit, the seller is generally classified as a commercial dealer. Washington State, for example, requires a Seed Dealer endorsement for any business selling seeds not packaged in containers of eight ounces or less by a registered labeler. These thresholds minimize regulatory burden on micro-businesses while ensuring consumer protection for larger transactions.
Mandatory Federal Labeling and Testing Requirements
Even if a seller qualifies for a small-volume exemption at the state level, they must adhere to the quality and truth-in-labeling standards set by the Federal Seed Act (FSA), particularly when engaging in interstate commerce. The FSA requires specific information to be clearly listed on the seed package, including the kind and variety name of the seed.
Sellers must provide the germination rate, which is the percentage of seeds expected to sprout, along with the specific month and year the germination was tested. This ensures consumers know the viability of the product, as seed longevity decreases over time. The label must also declare the seed purity, which is the percentage of pure seed versus other crop seed, weed seed, or inert matter.
Sellers must also perform a noxious weed seed examination, listing the presence and rate of any restricted noxious weeds per pound. Prohibited noxious weed seeds, specified in state-level rules, must be certified as entirely absent from the seed lot. All required information must be based on testing conducted according to standardized methods, often involving sending samples to a qualified seed testing laboratory.
Navigating State Registration and Licensing
Beyond the federal labeling rules, selling seeds requires compliance with varying state-level requirements, often enforced by the State Department of Agriculture. Most states mandate that commercial sellers obtain a “Seed Dealer” or “Seed Seller” license, which typically requires annual renewal. These licenses involve paying a fee, which can range widely, such as a low-cost $10 Retail Seed Dealer Permit in Illinois to annual fees over $100 in other states.
State laws often require a separate license for each physical location where seeds are offered for sale. For any small grower planning to sell seeds into another state, they must comply with both their home state’s licensing rules and the destination state’s specific laws. This multi-jurisdictional compliance is a primary hurdle for small operations looking to sell nationally through online platforms. Licensing programs allow state authorities to monitor the seed supply, ensuring compliance with state and federal quality standards.
Intellectual Property Concerns for Seed Sellers
A separate but important legal consideration is the intellectual property status of the genetics being sold. While open-pollinated or heirloom varieties generally have no restrictions, many modern seeds are protected by federal laws that prohibit their unauthorized sale for planting purposes. These protections fall into two categories: Plant Variety Protection (PVP) and utility patents.
The Plant Variety Protection Act (PVPA) grants patent-like rights to breeders of new, distinct plant varieties. Varieties protected under the PVPA, especially those granted protection after 1995, cannot be sold for reproductive purposes by anyone other than the certificate owner. Selling seeds saved from a protected variety, even unintentionally, constitutes infringement and can lead to significant financial penalties.
Utility patents offer the strongest form of protection, commonly used for hybrid or genetically modified varieties. These patents contain no “farmer’s right” to sell or save the seeds. If a seed is protected by a utility patent, saving and selling it for planting is a direct violation of patent law, regardless of compliance with labeling or licensing rules. Sellers must check the seed package for identifying marks like “U.S. Protected Variety—Unauthorized Propagation Prohibited” or a patent number before offering seed for sale.