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Time
Export Constraints
• Infrastructure and marketing issues –
– High import tariff
– Low availability of perishable carriers
– Higher freight rates
– Inadequate refrigerated and transport facilities
• Challenges related to availability of basic inputs
– Quality seeds
– Planting materials
– Efficient irrigation system
– Skilled manpower
Indian Scenario
• Area under floriculture production in India is 232.74 thousands hectares
with a production of 1.729 million tonnes loose flowers and 76.73 million
tonnes cut flowers.
• Major States of Flower Cultivation are: Maharashtra, Karnataka, Andhra
Pradesh, Haryana, Tamil Nadu, Rajasthan, West Bengal have emerged as
major floriculture centres.
• Emphasis has been shifting from traditional flowers to cut flowers for
export purposes.
• Mainly, Flower Market is divided into parts:
Traders Wholesaler
Trader’s Commission
5% Other 5% Personal
4% Packaging &
1% Govt.
Transportation
Local agent charges 2-3% commission. 2% from farmers and 3 % from retailer.
Demand Uncertainty
• Demand is uncertain in flower sector. Mostly depend on final
customer side.
• Quick forecasting can be done during festivals, pooja and
wedding seasons.
• Price also increases during peak time.
Price can go as low as 5/- Rs/kg during slack demand and 70-80 Rs/kg during diwali and other festivals. Maximum 100 Rs/kg
of Marigold. Wet Marigold can’t be sold and create huge losses during rainfall
Supply Chain of Marigold
Price can go as low as 5 Rs/kg and yield increases upto15-20 kg per farm in April. During this time of the year rose water
(Gulkand) and other rose related products are manufactured.
Storage of Flowers
Loose roses & marigolds are kept at room temperature.
• Mandi Agent:
Shelf life of Marigold: 1 day
Shelf life of loose rose: 1-2 day
• Retailer Outlet:
Shelf life of Marigold : 3-4 days
Shelf life of loose rose: 3-4 days
Type of Packaging
http://www.fedex.com/us/packaging/guides/Flowers_fxcom.pdf
Roorkee Retailer Side of Story