Business

 

Exporting dried flowers and plants
Dried flowers and plants may become substantial foreign exchange earners in the future under a programme now being undertaken by the Export Development Board (EDB).

Dried flowers are not exported on a commercial scale at present, though there are sporadic instances of exports on irregular intervals, an EDB statement said.

Total world trade in dried flowers and parts of plant were around $ 89 million in 1999 according to available statistics and is expected to have increased by now. World trade in value added herbal medicine, herbal teas and other products in the range is around $3.6 to $4.4 billion.

Dried flowers and plants considered as eco-friendly have a high demand in EC countries mainly in Germany, the USA and Japan. These are mainly used for potpourri, for flower arrangements and for producing eco-friendly natural fragrances in preference to artificial air-fresheners. The U.K. is the biggest potpourri market in the EEC for both imports and exports.

The EDB said it identified floricultural products as having market potential and started assisting the sector in 1980.

The progress has been considerable, quality of products have improved and Sri Lanka is known as a producer of quality flowers and plants. However, the needs of diversification have been felt due to a number of reasons.

Under each category of products, the assortment is limited and the production of the limited varieties by several companies has led to competition among companies for uneconomic profit margins.

The perishable nature of fresh flowers and plants, limited air cargo space and unavailability of regular flights to major markets have adversely affected the industry. In the case of dried flowers the flight time and duration will not be a problem as well as the space.

They can be sent to any market in the world by sea freight. The competition for fresh flowers and plant material is very high and the high cost of freight makes it difficult to compete in the European and USA markets.

Major suppliers of dried flowers and plant material are India, South Africa, Israel, China, Australia, Kenya, Mexico and the Netherlands. Sri Lanka enjoys a number of advantages being in the tropical belt but at the same time having diverse climatic conditions and terrain suitable to develop a range of floricultural products ranging from tropical to temperate flora. A number of natural botanic resources can be used for the development of the dried flower industry.

Farmer communities could be set up for production bases and this will create a number of employment opportunities due to the labour intensive nature of the cultivation. As dried flowers and plants do not face the high risk of perishability in transport and the quality also does not become as crucial, a chain of small farmers for collection and exports could be established.

Among the varieties that could be developed are not only flowers, plants and parts but fruits and vegetables such as pineapple, manioc, kiriala, leeks, tomato, capsicum, seasonal fruits, mango, papaya and melon are also used to produce fragrances, the EDB statement added.

Considering the high potential for the development of this sector the Asian Productivity Organisation has offered to assist the EDB in the development of the sector. A resource person has been allocated who will work with the Agriculture Division of the EDB.

A field survey will be carried out to identify natural botanic resources that can be used for the production of dried flowers and fruits.

A seminar for this purpose will be held on August 16 at the auditorium of the EDB from 9.30 a.m. to 4.30 p.m. The world market and future trends for dried flowers and dried plant material, potential markets and customer needs, possibility of marketing currently available products, planning price strategies to be competitive in the export market, monitoring profitability, process of drying flowers and plant material and quality maintenance and packaging are the main topics that will be dealt with.

Around 50 growers and exporters of cut flowers, potential entrepreneurs willing to establish export oriented dried flower projects, scientists and officials from universities, entrepreneurs who have done trials on drying fruits and vegetables, cut flowers and foliage for the herbal industry and the food industry and Department of Agriculture, Industrial Development Board (IDB), and the Industrial Technology Institution (ITI) will participate at the seminar.

A half-day meeting also will be held with the companies engaged in the herbal industry to create an awareness on development of edible herb/medicine from dried flowers

The resource person is Kunio Ishizuka, a Japanese consultant for dried flowers with 22 years' experience in designing and production of dried flowers and who has worked for one of the biggest dried flower companies in Japan.


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