For contemporary and economical livestock production, especially cattle and sheep raising, it is necessary to achieve high production of livestock feed while reducing production costs. Improving the production of perennial grasses and legumes creates a good basis for the development of livestock production in different agro-ecological conditions of Serbia. It also establishes a link between farming and animal husbandry, which is of particular importance for the preservation and higher fertility of arable land and the protection of agro-ecosystems. An important factor for the cheaper production of livestock feed is the possibility to provide sufficient quantities of quality seeds at affordable prices. Production of quality seeds of local varieties of perennial legumes is possible to obtain sufficient amounts of good quality forage. Current situation in forage crop seed production of the Republic of Serbia is unsatisfactory because the seed of perennial grasses are mostly imported. Domestic production of alfalfa, red clover and birdsfoot trefoil met domestic needs only in some years. Seed of imported varieties are often not satisfactory because those varieties are not adapted to our local agro-ecological conditions. The present results provide the basis and direction for further researches that may provide solutions to increase seed yields and which will be widely accepted in practice, which will make the production more cost-effective. Institute for forage crops Kruševac is making a significant contribution to the development of technology of seed productions, especially alfalfa, red clover and perennial grasses. Therefore the role of the Institute is very important and necessary link between production, processing and trading seeds of perennial legumes and grasses in Serbia.