The seed industry, with its affiliated institutions and services together, constitute the seed system or seed sector. There are several dimensions to seed system analysis which broadly cover technical, institutional, financial, economic, social, environmental, policy and commercial issues. These are not separated in function, but are rather inter-dependent. This book has been prepared to meet two specific purposes: first, to provide information on the economic basis of seed operations and second, to suggest guiding principles in running cost-effective seed businesses. The text is intended primarily for the students and teachers in the field but it will also be useful to the professionals and researchers.