Keith - I don't see any problems with using this as a seedling cover. Most seedlings have such a hydraulic lift capacity that pushing aside a thin layer of this stuff shouldn't be a problem. I think in general, when we grow something from seed, we tend to pamper our seeds and seedlings too much and treat them as they are young infants struggling to grow up and need our constant and vigilant protection. This also flies in the face of millions of years of evolution. I always opt for the more "mother hen" approach than leaving stuff to chance, however I still marvel at just how robust seedlings are and how they seem to manage to proliferate despite some horrendous natural conditions. One just has to sit back and imagine how that agave or cactus seed penetrated the desert pavement and survived to itself, bear seed. Good luck!
