Agricultural Reviews, 37 (1) 2016 : 77-80 AGRICULTURAL RESEARCH COMMUNICATION CENTRE

Print ISSN:0253-1496 / Online ISSN:0976-0539 www.arccjournals.com

Growth and export status of Indian floriculture: A review

Debajit Misra1 and Sudip Ghosh*
Department of Mechanical Engineering,
Indian Institute of Engineering Science and Technology, Shibpur-711 103, India.
Received: 27-03-2015 Accepted: 04-02-2016 DOI: 10.18805/ar.v37i1.9269
ABSTRACT
This paper aims at conducting a study on recent developments of floriculture industry in India, particularly in terms of
production of cut flowers and the growth of the industry and its trade with the world. Primary focus is on the flowers (loose
as well as cut flowers) that are grown commercially. Time series data covering a period of last two decades have been used
for the study. The paper also reports on the global trade scenario for floricultural products, indicating the major trading
countries and their trade. It is observed that during the period the production of both the loose and cut flowers have been
growing at a Compound Annual Growth Rate (CAGR) of 9.92% and 26.66%, respectively. However, the first decade did
not see substantial growth in export of floricultural products from India. During the last decade, export increased at a
CAGR of 4.33%. Indias share of global floriculture trade at present is only about 0.6%.
Key words: Cut flower, Export potential, Floriculture, Global trade, Loose flower.
INTRODUCTION government for the development of floricultural industry
Floriculture is the branch of horticulture that deals have been gathered from Agricultural and Processed Food
with the cultivation of flowering and ornamental plants for Products Export Development Authority (APEDA).
sales or for use as raw materials in cosmetic industry. Information related to global floriculture has been collected
Demands for floricultural products are steadily increasing from the official website of The International Association
both in the domestic as well as export markets. India has of Horticultural Producers (AIPH). United Nations
made significant improvement in the production of flowers, Commodity Trade Statistics Database has provided
particularly cut flowers, which have good potential for information of country wise global export as well as import
export. Floriculture is important from the economic of the floricultural products. In some cases, data related to
perspective as well. Commercial floriculture has been production and trade has been analyzed by using Compound
steadily increasing with increased use of protected cultivation Annual Growth Rate (CAGR), equation for which is given
employing greenhouse, shade nets, polyhouse etc. as: 1
Commercial flowers cultivation in India provides an Final Value n
CAGR ( ) 1
opportunity for rural development owing to its higher returns Initial Value
Where
per unit area and the new employment opportunities. India
n is the number of periods (years).
has a scope to bridge the gap between demand and supply
as global demand of floricultural products is growing at a International scenario: Globally more than 145 countries
faster rate. India is enriched with diverse agro-climatic are involved in floriculture industry and the global
conditions such as, fertile land, suitable climate, abundant floriculture trade is estimated to be at US$ 70 billion at
water supply, low labour cost, availability of skilled present (ICAR Vision 2050). According to The International
manpower, etc. which are quite beneficial for growing a Association of Horticultural Producers (AIPH 2010),
variety of flower plants throughout the year. 702,383 ha area was under flower production in different
countries of the world, of which the total area in Europe was
Data analysis strategy: The article has been made by
48,705 ha, North America was 21,067 ha, Asia was 523,829
collecting various information related to floriculture from
ha, the middle East was 4,026, Africa was 7,604 ha, North
books, internet sources, and relevant reports of various
America was 21,067 and central and South America was
institutions and organizations. Information regarding
97,152 ha. In that year, according to Indian Horticulture
quantity of production, area used for flower cultivation, state
Database, India occupied a floriculture area of 183,000 ha,
wise production, etc. have been collected from Indian
which was 26% of the global area.
Horticulture Database. Information regarding Indias
international export of floricultural products in various years, The global floriculture industry is experiencing
foreign exchange through floriculture as well as role of the rapid changes due to globalization and its effect on financial
*Corresponding authors e-mail: sudipghosh.becollege@gmail.com. 1Department of Mechanical Engineering, Saroj Mohan Institute of Technology,
Hooghly-712 512, India.
 78 AGRICULTURAL REVIEWS
development in the different regions of the world. At the Indian scenario: Indias, commercial floriculture has gained
same time, competition is increasing worldwide. The momentum in the 1990s. The development of Indian
Netherlands, USA, Columbia, Japan and Italy are well known commercial floriculture has centered around the production
as traditional growers of flowers. Some Asian countries like of rose, marigold, gerbera, chrysanthemum, gladiolous,
India, China, Bangladesh, Thailand, Vietnam, etc., are also anthurium, carnation, orchid, tuberose, lilium, alstroemeria
steadily improving horticultural production. Also in Latin etc.
America and Africa, production is increasing very rapidly. Figure 3 shows the area under production of
Major flower consuming countries in the world concentrate floricultural crops from 1993-94 to 2013-14. Production area
in the Western Europe and North America. Germany, USA, shows a continual increase since 1993-94. Only in the year
UK, the Netherlands, France and Switzerland together 2002-03 the area under cultivation decreases. In India, during
consume around 80 percent of the total flower production the year 1993-94, the area under flower cultivation was
[Global Horticulture (2014 -2018)]. Of the worlds ten largest 53000 hectare and then area has been increasing with CAGR
domestic markets for cut flowers, six are in Europe, namely (Compounded Annual Growth Rate) of 7.76%. It is seen that
Germany, the UK, France, Italy, the Netherlands and Spain. the growth rate has drastically changed during the year 1995-
Other important markets are the US and Japan, accounting 96, 2003-04 and 2011-12.
for around 20 percent each. Recently, Russia and the Middle
East have also become important markets demonstrating Figure 4 shows the trend of both loose flowers
rapid market growth. and cut flowers production starting from the year 1993-94.
It is evident from the figure that there is a gradual rise of
World floriculture trade is mostly depending on the flowers production in the following years. Loose flowers
trade of cut flowers and buds, cut foliage, potted plants and production almost keeps uniformity in its incremental rate.
bedding plants. Main cut flowers in world trade are rose,
chrysanthemum, carnation, gerbera, and lily. 1400000

Figure1 shows the worldwide trade of the major

Import of cut flowers and buds ('000USD)

1200000

countries in cut flowers and buds export. It is seen that the

1000000
Netherlands is the world leader. Total world export of
floriculture products stands at USD 9,784,525,000 and 800000

Netherlands claims 47.7% of total world exports. The other 600000

major countries are Colombia, Ecuador, Kenya, Ethiopia and
400000
Belgium. India is in 14th position in exporting floricultural
products. 200000

Figure 2 shows the major importing countries in 0

United Kingdom

Belgium
Russian Federation

Switzerland
Germany

Japan

Italy

Spain

Poland

Denmark

Norway
United States of America

France

Canada

Austria
Netherlands

the world in cut flowers and buds. It is clearly seen that

Germany possesses leading position, UK and USA
possessing second and third position respectively. Other
European countries are the major destinations for cut flowers
and buds export. FIG 2: Worlds leading cut flowers and buds importing countries
Source: ITC Trade Map- International Trade Statistics, 2014
5500000

5000000
250000
4500000
Export of flowers and buds ('000USD)

A rea un de r floricu lture (ha)

4000000
200000
3500000

3000000
150000
2500000

2000000
100000
1500000

1000000
50000
500000

0
0
Belgium
Netherlands

Thailand
Germany

Italy

Spain
Colombia

Ethiopia

Lithuania
Kenya

Malaysia

China

India

Canada
Israel
Ecuador

1993-94
1 9 9 4 -9 5
1 9 9 5 -9 6
1996-97
1 9 9 7 -9 8
1 9 9 8 -9 9
1999-00
2 0 0 0 -0 1
2 0 0 1 -0 2
2002-03
2 0 0 3 -0 4
2 0 0 4 -0 5
2005-06
2 0 0 6 -0 7
2 0 0 7 -0 8
2 0 0 8 -0 9
2 0 0 9 -1 0
2 0 1 0 -1 1
2 0 1 1 -1 2
2 0 1 2 -1 3
2 0 1 3 -1 4

FIG 1: Worlds leading cut flowers and buds exporting countries FIG 3: Area under floriculture (ha) in India from 1993-94 to 2013-14
Source: ITC Trade Map- International Trade Statistics, 2014 Source: Indian Horticulture Database, 2008 and 2014
 Volume 37 Issue 1 (2016) 79
90000
Production of cut flowers (M illion Nos)
1 80000 0
the year 2006-07. Indias total export of floricultural products
80000
C ut flowers 1 60000 0
during that year was 42,545.29MT with an export value of
L oose flow ers 652.70 crores. It is also observed that from 2006-07

Prod uction of loo se flow ers (M T)

70000
1 40000 0
60000 production quantity as well as value slowly decreases up to
1 20000 0
50000
2009-10. In the time periods 2009-10 to 2014-15 though
40000
1 00000 0
the quantity of the total exported products varies slightly,
8 00000 export value has significantly increased. It has happened due
30000
6 00000 to the increasing trend of global market price. Thus, India
20000
4 00000 has an opportunity to increase the export potential by
10000
2 00000
increasing the productivity of commercial flower.
0
Figure 6 shows the major countries, where India
199 4-9 5
199 5-9 6
199 6-9 7
199 7-9 8
19 98-99
19 99-00
200 0-0 1
200 1-0 2

200 5-0 6
200 6-0 7
200 7-0 8
200 8-0 9

20 10-11
201 1-1 2
201 2-1 3
1993 -94

2002 -03
2003 -04
2004 -05

2009 -10

2013 -14
exports floricultural products, its quantity, and value. It is
observed that the export to the different countries is quite
FIG 4: Yearly production quantity of important Indian loose uneven. In the year 2014-15 the floricultural products have
flowers (MT) and cut flowers (Million nos)
been exported to 105 countries, of which 86.3% are exported
Source: Indian Horticulture Database, 2008 and 2014
to the 18 countries shown in the figure. It is clearly seen that
the biggest export market is the USA importing 5490 MT
It can be observed that cut flowers production slowly quantity by 98.13 crores. The USA imports 23.9% of the total
progresses up to the year 2006-07; thereafter its production exported quantity followed by UK, Germany, the Netherlands,
tremendously rises at a CAGR of 40.5%. From the graph, it UAE, Canada, Japan, Australia, Italy and Singapore. These
is clear that the cultivation of cut flowers is in the process of ten countries together import more than 70% of the total
accelerating the floriculture development in India. Since at exported quantity. The Netherlands, which is known as the
present cut flowers are highly demanding particularly for leading exporter in the world trade of flowers, also imports
export purpose and India has been shifting from traditional a large amount of floricultural products from India.
flowers to cut flowers production.
6000
Export potential of Indian floricultural products: Indian 100

floricultural products have been attaining to the world 5000 Quantity

Value
floriculture trade by increasing the productivity. The 4000
80

Agricultural and Processed Food Products Export

Export quantity (MT)

Export value (Crores)

60
Development Authority (APEDA) manages for developing 3000

and promoting agri-exports including flowers. 40

2000

Figure 5 shows Indias export of the floricultural

1000 20
products from 2000-01 to 2014-15. It can be observed that
2001-02 was the exceptional year. During that year Indias 0 0

share to the global market was just 18,803.67 MT with an

Belgium
US A
UK

UAE
Netherland

NewZealand
Germany

Japan

Poland
Italy

Spain
South Africa
Canada

Australia

Singapore

Malayasia
China

France
--

--
export value of 115.33 crores, afterward both quantity as
well as value increases and reaches maximum position in
4 5 00 0 700 FIG 6: Floricultural products export from India to major importing
Q u an tity
countries by quantity (MT) and value (Crores)
4 0 00 0 600
V alue
E x p o rt q u a n t it y (M T )

500
CONCLUSION AND FUTURE PROSPECT
3 5 00 0
It is concluded that production and trade of Indian
E x p o rt v a l u e (C ro re s)

3 0 00 0
400 floricultural products have been consistently increasing over
300
the last decade. Though India dominates in terms of area
2 5 00 0 under cultivation compared with some leading countries
200 which are quite prosperous in floriculture like the
2 0 00 0
Netherlands, Colombia, Ecuador and Belgium, Indias yield
100

1 5 00 0
per hectare is low. As a result, Indias contribution to the
2 0 0 0 -0 1

2 0 0 1 -0 2

2 0 0 2 -0 3

20 0 3-0 4

2 0 0 4 -0 5

2 0 0 5 -0 6

2 0 0 6 -0 7

2 0 0 7 -0 8

20 0 8-0 9

20 0 9-1 0

2 0 1 0 -1 1

2 0 1 1 -1 2

2 0 1 2 -1 3

2 0 1 3 -1 4

20 1 4-1 5

global floricultural export market is very minimum. However,

--

in order to become sustainable, new strategies should be

FIG 5: Export of the floricultural products from India in quantity followed, which can give fruitful results on long-term basis.
(MT) and value (Crores) Since worldwide floricultural trade and consumption are
Source: APEDA 2000-01 to 2014-15 increasing rapidly, there is a still an opportunity to India in
80 AGRICULTURAL REVIEWS
achieving a consistent growth in production and export, thus
earning valuable foreign exchange. Those matters are of
paramount importance for development of floricultural
industry in the country. The Government of India has initiated
many developmental programmes mainly through the
schemes of Ministry of Agriculture (National Horticulture
Board, National Horticulture Mission, Horticulture Mission
for North East & Himalayan States etc.) and Ministry of
Commerce (APEDA). National Horticulture Board (NHB),
National Horticulture Mission (NHM) and Rashtriya Krishi
Vikas Yojana (RKVY) have created awareness regarding
horticulture in rural areas. National Bank for Agricultural
Rural Development (NABARD) is providing financial
assistance to the farmer to adopt protected cultivation and
precision farming. Research activities on floriculture are
being carried out at several research institutions under the
Indian Council of Agricultural Research (ICAR), Council
of Scientific and Industrial Research (CSIR) and in the
horticulture departments of state agriculture universities and
under the All India Co-ordinated Floriculture Improvement
Project. To meet the demand of flower seeds, several seed
companies have developed production units in major flower
growing states. India Government introduces various training
related programmes for farmers and entrepreneurs. The
Government offers a range of concession on seeds, planting
materials, various types of equipment and airfreight for
export. It is anticipated that improved policies would enhance
floriculture in world trade.

REFERENCES
APEDA 2001-02 to 2014-15. Ministry of Agriculture, Government of India, New Delhi.
http://agriexchange.apeda.gov.in/indexp/genReport_combined.aspx
APEDA agriexchange 2014-15.
http://agriexchange.apeda.gov.in/index/Product_description_32head.aspX?gcode=0101.
ICAR, Vision (2050), Directorate of Floricultural Research Shivajinagar, Pune 411 005, Maharashtra, India. www.icar.org.in.
International Association of Horticultural Producers (AIPH), International Statistics Flowers and Plants, 2010.
Global Horticulture (2014-2018)- Pink and Healtthy. http://www.prnewwire.com/news-releases/global-horticulture-
2014-2018.
ITC Trade Map (2014) - International Trade Staticstics 2014.
http://www.trademap.org/tradestat/Country_SelProduct_TS.aspx
Indian Horticulture Database. (2008). Horticulture Database 2008, National Horticulture Board, Ministry of Agriculture,
Government of India.
Indian Horticulture Database. (2014). Horticulture Database 2014, National Horticulture Board, Ministry of Agriculture,
Government of India