Consumer behaviour is always changing. Sometimes buyers want a good quality plant or bunch of flowers for a low price. At other times they want something very special and purchase price is not an issue. Millennials are driving further growth in online sales. Babyboomers are set to retire and are expected to increase their expenditure on flowers and plants. In the next decade, Rabobank is expecting a 2% growth per year in cut flower and potted plant expenditures in Europe and North America, with Asia growing 6-8% annually. Rabobank expects the growing demand in Asia to be mainly fulfilled by products grown in Asia.

Hybrid consumer

Nowadays, the cut flowers and plants consumer is unpredictable. One moment they want a very luxurious bouquet or exclusive plant, the next moment they buy a low-priced bunch of flowers at a discounter or big box retailer. They want different products at different times. We call this the ‘hybrid consumer’. This requires industry players to adapt their products and services to several consumer purchasing moments.

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The share of the rejected stems in the Kenyan supply chain from farm to the market with the current packaging is roughly 20% on average. A more standardized box will help us save on this. However growers could not well agree on what should be the first step in piloting a new box. While most agreed that the cost of the box would be the main consideration, others felt processes and handling procedures in the supply chain should dictate the standard box. Floriculture Magazine spoke to some of the industry stakeholders. Below are the excerpts:

Statistics available reveal that Kenya is losing millions in Cool Chain Management (Pack house, refrigerated Lorries’ road transport, cargo handling at the airport and cargo plane of flowers). Most of these losses are occasioned by the type of boxes used in the cool chain management and how they are handled. This makes our flowers less competitive in the market. Carton manufacturers must invest a lot to provide solution for these losses in addition to ensuring that there is no compromise on quality as well as training growers on cool chain and carton handling.

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Q : For export, Flowers must be packed. Kindly discuss the importance of quality cartons in packaging of flowers?
A: The quality of a carton is important as it determines the state in which the produce will reach the market. A good quality box should be able to withstand the harsh conditions in the supply (cool) chain. The primary purpose of a carton is to protect, preserve and ship the produce to the market in top quality sustainably- in as near perfect condition as possible-allowing for good returns.

 

It is pointless to put so much effort in getting a quality produce from the farm only for it to arrive in bad state in the target market due to poor quality packaging fetching low returns and being subject of claims etc.

Q: For a layman, a carton is a carton; briefly discuss factors to consider when choosing the best carton for flowers?
A: A box is a box to a layman however you could have two boxes constructed of the same quality material (paper from same sources) but the resulting box could be very different in terms of capability- or ability to perform in the hostile conditions that it is subjected to.

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November 23, 2017: The second edition of Flower Logistics Africa 2017 had a full house representing a cross-section of the entire value chain of flower trade. Revolved around the core theme of “Enhancing Africa’s flower power through better logistics,” the event was held at the Radisson Blu Hotel in Nairobi and attracted participation from Africa and outside.

The participants of the day-long conference deliberated on the typical challenges faced by the flower industry as a whole. The discussions revolved around the need for standardisation that will enhance exports and gain traction for Kenya’s flower industry in the global market.

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The second edition of the Flower Logistics Africa (FLA) and Perishable Logistics Africa (PLA) was held on the 22nd and 23rd November consecutively at the Radisson Blu Hotel in Nairobi. The event was organised by various stakeholders and went on successfully for the two days. The occasion brought together key industry players including growers, exporters, freight forwarders, the airlines etc.

 

The conference was structured in to panel discussions where various panellists handled different topics as the audience actively participated in the discussions. The discussions on Flower logistics revolved on the theme: ‘Enhancing Africa’s flower power through better logistics’ and highlighted issues on technology trends in cool chain management, standards in packaging of flowers etc. while for the perishables was ‘Creating Africa’s future logistics grid for perishables’ and covered topics on industry collaboration, better logistics leads to profitability and reduces wastage, temperature management as well as transparency in transport from farm to fork. Logistics refers to the whole framework whether physical, technical or administrative for the transportation of perishables.

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UK ornamentals market up 4.7%

UK ornamentals were worth £1.2 billion in 2016, an increase of 4.7% compared to 2015, according to the latest horticulture statistics from the Department for Environment Food & Rural Affairs

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The value of ornamental imports was just below £1.2 billion an 11% rise on 2015. The Netherlands accounted for 74% of imports, mainly indoor plants, chrysanthemums and roses. Kenya accounted for 5.8% of imports, mainly cut roses and carnations. Imports of cut flowers showed a 13% increase and bulbs a 6.4% increase

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Initiate New Role Model of Trading Fair Poinsettias

Since 2016, Selecta one supplies Fairtrade certified young plants to their poinsettia growers besides conventional ones. All poinsettias are sourced from Wagagai Ltd. in Uganda. Besides improving health and safety measures, enabling freedom of association and collective bargaining the employees benefit from a Fairtrade Premium, which can be used for social projects. Already in 2016, Selecta generated through their poinsettia sourcing at Wagagai a return of 8,000 Euro to local workers as a premium. Independently from this Selecta and Wagagai are fulfilling all environmental and social standards set by Fairtrade to meet the certification requirements.

In Uganda as well as in other developing countries, basic wages in agriculture are well below what would be considered a living wage. Pay is insufficient to allow workers and their families meet their essential needs and afford them a decent standard of living. The absence of a minimum wage in Uganda compounds the problem. Besides that, wages cannot keep up with the rate of price increase. As a consequence people loose purchasing power. In addition many public services like schools are charged in developing countries. Often people do not have enough cash to send their children to secondary school.

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Unique Style Connects with Growers

Product branding and Consistency:
“Agrichem Africa stand is designed well and everything is labelled and placed appropriately, visualized for audience and generation of credible messages about the products .This creates a unique sequence in its construction. All the banners, artworks, product labelling and the display racks are affixed on the more viewable places. What potential and existing customers see is arguably appropriate level of professionalism, said James Gacheru, Technical Manager Flower City Thika. when interviewed by The Floriculture Magazine Team.

Bigger exhibition Booth: “There’s a reason everyone wants to see the Grand Canyon: it’s really big! Similarly, one of the key factors in which exhibition attendees remember most is booth size” said James Gacheru, Technical Manager Flower City Thika. Agrichem Africa Ltd had bigger booth space; attractively designed, calling for attention and action from customers.

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