Exporting fresh-cut flowers from Kenya proves to be profitable as China's market opens

When Kevin He landed in Kenya in June 2012, it dawned on him that the East African country was not just a big fresh flower producer - it was the world's second-biggest exporter of blooms.

He also learned that the flowers China imported from the Netherlands came originally from Kenya, making them expensive due to double taxation, among other factors. This aroused his entrepreneurial instinct.

"What if I started exporting cut flowers directly to China?" he thought. That question, coupled with the fact that some airline companies were offering direct flights from Kenya to China, gave birth to Kevin International Group (Africa) Ltd in 2015.

Today, He takes pride not only on running a profitable business, but also on opening up the Chinese market for Kenya's fresh-cut flowers.

"In 2014, there were no Kenyan fresh-cut flower exports to China, but today, flowers from the East African country account for 40 percent of the imported flowers in China," he says.

Initially, He had to supply free samples to the flower dealers in all Chinese large and medium-sized cities for six months to familiarize them with the product. His company also participated in the Beijing Flower Fair, held in May 2015, which enlightened dealers about the availability of quality fresh-cut flowers from Kenya.

Kevin International deals with wholesalers and dealers in China's first-and second-tier cities who have expanded their business network to third-and fourth-tier cities.

In 2016, the company sold 320 metric tons of flowers to China, and it estimates a similar volume this year. He says the company specializes in flowers that aren't available in China.

The peak season for the business is between December and February. This is the winter season in China, when low flower production means dealers must rely on imports.

The location of Kenya is good for quality flower cultivation because it's along the equator and has high altitude, says He. This is in addition to the soil, climate and temperature fluctuations between morning and evening.

The flowers therefore have big petals, are brightly colored and pest-free. They also undergo a longer blossoming period than those from other countries.

He gets flowers from farms in Nakuru, Naivasha and Nanyuki, the main producing areas, and works with more than 30 farmers.

The Chinese market is opening up at a time when the European economy is slowing down. Kenya is the lead exporter of roses to the European Union, with 38 percent market share.

Currently, the number of people exporting cut flowers to China is increasing by the day, thanks to He's opening the market and offering advice to local businesspeople about penetrating the market.

Previously, China imported cut fresh flowers from Ecuador, Colombia and the Netherlands, but He believes Kenya could soon become a big exporter of fresh flowers to China.

While China has been a big producer of flowers, the increasing demand for better quality and different varieties has compelled dealers to look overseas.

"China is a big flower-consuming market. The country has a big population, so the market is huge. Young people are also coming up with new ways of expressing love and affection through flowers, thus increasing the demand," says He.

He says damage is his company's biggest challenge. "Flower damage is inevitable owing to the chains that they follow, from farmers, Kenyan airport, Chinese airports to the end user. This chain takes about three days," He says.

Big losses are recorded during transportation when the flowers arrive in Guangzhou, where the temperature at the airport is high.

Despite the challenges, He finds satisfaction in having helped to open up the Chinese market and in enlightening farmers on improving the quality of cut-flower packaging. He has also advised farmers on the high-demand varieties in the Chinese market.

The main cut flowers grown in Kenya are roses, carnations and alstroemeria. Others include arabicum, hypericum and statice.

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(China Daily Africa Weekly 10/20/2017 page28)