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Floriculture in Kenya records significant growth in 2011

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The Kenya floriculture sub-sector recorded significant improvement in 2011 where 122 thousand metric tons valued at Kshs 44.5 billion were exported according to the USAID Kenya Horticulture competitiveness project (KHCP) statistics. This translated into a growth of 1% in volume and 25% in value compared to 2010.

Kenya secured Kshs 91.6 billion from the horticultural exports in 2011. This indicates that the horticulture exports grew by 18% in value in 2011 compared to 2010 where the industry earned Kshs 77.7 billion. Last year, 383 thousand metric tons were exported, a drop of 5% compared to 403 thousan metric tons exported in 2010.

According to the article on the Kenya Flower Council Blog, the potential growth in 2012 for the floriculture industry is promising despite the challenges from external factors. With only months remaining to the general elections, the industry is facing major challenges emanating from concern over the economic status of countries in the global market.

The sector may also face challenges in productivity as result of the impact of climatic change, stringent market standards requirements and also undue anxiety as a result of delay in the determination of the EAC EU EPAs. Other challenges will be in delayed VAT Refunds, aggressive NGO campaigns based on social accountability. Additionally the industry will face complexities arising from continuing implementation of the New Constitution, particularly the institutionalization of the Country Governments.

Source: KFC