The Baggie Method: This was the first method I ever tried. Here you fill 2-inch plastic pots with potting soil, insert the rose stem halfway inside the pot, then put the pots into a one-gallon plastic zip-lock bag. You can get four 2-inch pots into each gallon bag. I didn't like this method because it caused many of the cuttings to rot since the bags tended to fold over and therefore prevented the air from circulating. The success rate of this method is not very good. It may be helpful to place a couple of small sticks inside the bag to help keep it upright and full of air.


Everybody has a story to tell of how their grandma would stick a piece of rose stem into the ground and then place a Mason Jar over the stem to make it grow. There are tales of how the early American settlers of the 1800's traveled to the far reaches of the wild west in covered wagons, with grandma bringing along "starts" of her favorite roses from back home. Perhaps the treasures of these "monsters on wooden wheels" were raided, and they discovered the Yellow Rose of Texas hiding under the bonnets of the women. Or maybe the settlers used their precious "starts" to barter for provisions along the endless dusty trails.
After the rose seeds have soaked overnight, rinse them in a strainer and place them into the blender with at least a cup of plain purified water (making sure all seeds are covered), and turn it on for a few minutes. It usually doesn't chop up the seeds, but rather, it will clean off the pulp remaining from the rose hip, which would otherwise mold if left on the rose seed. You may see a few seeds chopped up, but those usually aren't viable anyway. Flush the rose seeds again through a strainer using fresh purified water.   
Growing roses from seed can be challenging, since the majority of seeds you collect often won't germinate regardless of your efforts. Fortunately, most rose plants produce a large quantity of seeds inside their rose hips, so it usually isn't necessary to achieve a high success rate. Keep in mind that the plants that grow may be different in appearance or other characteristics from the mother plant, especially if that plant is a hybrid of two varieties grafted together.
I would definitely mix in some compost with your garden soil as this will improve the structure of it. The dusting with fungicide is useful as it prevents the risk of infection, however, if you keep an eye on them and be ready to spring into action then it could be worth trying without . As for planting, I would personally keep them inside for a while, give them a chance to strengthen up before putting them outside in the elements!

The easiest way to begin experimenting with rose hybridizing, especially for the beginner, is to simply let some of your roses self-pollinate themselves, so they will "go to seed" and set hips. I have found that Playboy, Hurdy Gurdy, Peggy T and Fairhope are some of the easiest roses to set hips, and there are many others. Let the rose hips stay on the rose bushes at least four months before harvesting.   


Cover the cutting loosely, pot and all, with a plastic bag or plastic wrap and keep the soil moist. Putting a tall stake into the pot will hold the plastic away from the leaves. If the plastic touches the leaves, they remain wet and can succumb to a fungus disease. Along the same lines, make sure the condensation can escape from the plastic or the stem will rot.
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