KFC

Untitled Document

	FAQs on Kenya’s Floricultural Exports
	The country continues to play a significant role in the international trade, exporting to the world market over 35% of cut flowers and ornamentals, while earning the country great revenue in foreign exchange. Below are the reasons behind the success of the floriculture industry. 1. Why is Kenya a top producer and exporter of flowers? Kenya is a top producer and exporter of cutflowers and ornamentals owing to the fact that the country has got an ideal climate for producing a wide range of top quality flowers in different parts of the country all year round. With the equator cutting across the country, the light levels at the equator are maximised while high altitude keeps temperatures from exceeding optimum levels for temperate crops. Some tropical crops can also be grown at low altitudes e.g. Anthurium. Having the sun directly overhead produces straight stems naturally. The country is also endowed with plenty of good quality water for production, and highly educated, trained and hardworking work force at competitive wage levels. The country’s JKIA is a major regional hub and is very well served by major airlines and charter operators giving easy airfreight access to the European markets and from there to the rest of the world, compared to other competing countries. The country has a dynamic small holder production base for certain crops which are labour intensive, with a massive investment by both local and overseas investors in high tech projects with emphasis on varieties and adding value coupled with good marketing by the growers. 2. What is the current value of exports? The total declared FOB value of flower exports in 2008 was Kshs 40 billion with export volumes of over 93,000 tons. Horticultural exports are Kenya’s biggest export earnings after tourism. The economic stability of the country is therefore dependent on the continued success of the industry. Annual growth has averaged over 10% for the past six years and is projected to continue. 3. What are the main products? Although the main flower under production are roses, the country produces a diverse range of other high quality cut flowers and ornamentals, including summer flowers used as fillers mixed with other flowers and greenery in bouquets. 4. Which are the most important destinations? About 97% of exports are to the EU, which is believed to consume over 50% of the world flowers. The major markets for the flowers are to the Netherlands, UK, Germany, France, and other EU countries. With market diversifications, the USA, Japan and Dubai are coming up quite fast. 5. What is the level of investment? There are currently over 300 active exporters of floricultural products to the EU, with total capital investment being more than $800 million (€600 million). The area under commercial floriculture is more than 2,000 hectares. The government provides a high level of supporting infrastructure including a port, airports, roads, telecommunication etc
	Page 1> 2 > 3