overrun , low demand , high fertilizer prices , VAT that is n’t refunded by the government , higher consignment rates and unfavourable interchange rates . When utter with the exhibitors at the IFTEX , it ’s the combination of these factors that contributed to the challenging yr that many Kenyan rose growers are experiencing . Notwithstanding the Kenya Flower Councilpredictinga 20 percent growing of value of Kenya ’s flower exportation over 2019 , with the summertime season around the turning point these circumstances are not potential to better any time soon .
So , how does this place influence the atmosphere at the IFTEX ? The challenging twelvemonth is the talk of the town of town , but growers stay bright . " It will ramify the military personnel from the boys " , an exhibitor sound out . And some see this site as an opportunity for the agriculturist . " It forces the growers to take care at their costs and become more effective . "
A closelipped look at the influencing factorsTheoverproductionandlow demandhave more or less the same reason : the weather . At the product and the export destination , it has been too expert , result in a high production at the farm and a small demand in Europe , where most Kenyan roses go . As a result , the cost diminish . For Valentine ’s Day for example , there was too much product on the market place ( also because several farms still flush for this holiday and Ethiopian production was higher too ) , resulting in depleted prices , much low-spirited than expected . The highfertilizerprices have caused a vexation for almost every grower as there was a fertilizer shortage on the market . " At that time , the fertilizer prices were 120 % more expensive " , a raiser distinguish us . Now , there is no fertilizer shortfall any longer , but the prices still seem to be around 20 % higher than usual .
Other cistron impacting the cashflow are the fact that theVAT is n’t refundedyet by the governance , the higher freight rate and theunfavorableexchange charge per unit . " The euro and Egyptian pound is devaluate against the shilling . So , the Kenyan shilling is strong , which is unfavourable to us . “How are growers dealing with it?It seems that growers are withholding their investment plans , like farm elaboration . " We will wait what the coming month will do , and then we will decide " , several say . It is a bit of the survival of the fittest of the fittest . " Over the years , the acreage of roseate cultivation keep growing - not only in Kenya , but in Ethiopia as well . Now , it seems that this acreage has become too high . " When adding up the hectare of Ethiopia and Kenya there is 300 - 500 ha too much " , an exhibitor says .
So what ’s the strategy?“Consistency , that is the bottom business " , another shower says . " One should not bedevil their varieties on the market ( auction or direct ) which at that time has the best price . pick out which varieties you are sending to the auction bridge and which to the lineal market is key , as well as staying visible on the market all the times . Then , you will gain trust among the buyer . And it is possible , there are growers even though the challenges , who are doing quite all right now . "
IFTEXAfter a turn slower than usual first day - plausibly because the Kenyan Government has announce Wednesday a public holiday to allow the Muslims in the res publica to celebrate Idd - ul - Fitr - it is expected to become more busy today . But the first daylight did n’t seem to have let down the exhibitors . " It feed us the opportunity to have well and in - deepness conversations with our client " , an exhibitioner say .
At this twelvemonth ’s IFTEX , nearly 200 exhibitors are showcasing their product and services . Not only growers , but also breeder , distributer and other provider are exhibiting , which make it a one - stop shop for all stakeholder in the diligence .
FloralDaily is also at the event to make a full photo report , which will be published on Monday June 10 . But for now , we already give you a pocket-sized impression .
Jane Aayajo and Arun Mishra of East African Growers
Anne Kariuki and Joseph Wakagwi of Oboya Africa
Haiko Backer and Martha Wanjiku of Schreurs
Peter Wicke of Vermako
© FloralDaily.com/Elita Vellekoop