Floriculture has become a flourishing business in Ethiopia in the past five years, with the industry’s exports earnings set to grow to $100-million by 2007, a five-fold increase on the $20-million earned in 2005.
Ethiopian flower exports could generate an estimated $300-million within two to three years, according to the head of the government export-promotion department, Melaku Legesse.
A score of investors from The Netherlands, Germany, India and Israel have secured licences for floricultural developments covering 450ha of land in 2006.
Legesse said the export estimates are based on revenues earned over the past two years as well as growing demand for licences to grow flowers for the international market.
The major United Kingdom retail chain Morrisons has announced recently that it would soon stock Ethiopian flowers such as roses, carnations and the red-brown berried hypericum, he said.
Indian floriculturist Karuturi Networks was among the latest investors to set up shop in Ethiopia recently with a 50ha farm at Holeta, west of Addis Ababa, and plans to acquire an additional 50ha, Melaku reported.
Other Indian firms are also in the process of getting a foothold in Ethiopia’s floriculture business, Legesse said.
The MD of Karuturi Networks, KS Ramakrishna, said Ethiopia’s proximity to European and west Asian markets, its climate and attractive investment conditions led the company to establish operations there.
Manjunath Reddy, executive of Pushpam Florabase, said Indian growers expect to benefit from lower freight costs by operating from Ethiopia. — Sapa-dpa