Flower Exports Need Incentives

Flower Exports Need IncentivesFlower Exports Need Incentives

In the first ten months of the Iranian year (ends March 20), dried and fresh Mohamadi (pink rose) flower exports generated $1.69 million.

Among the ten producers of ornamental plants and flowers in the world, Iran holds 7th place, but has the 107th place among countries exporting this particular type of flower, according to donyaeghtesad.  Based on Iran Custom’s report in the first ten months of the year, roses worth $285,661 were exported to eight countries. Dried and fresh Mohamadi flowers were exported to 14 countries. Thus, the export level is not satisfying; although, the export of Mohamadi flowers increased compared to the last Iranian year (ended March 20, 2014). However, based on a trade statistics report, dried and fresh Mohamadi flower exports hardly earned $ 586,000.

According to Jalal Ajayebi, head of the Iran Horticultural Association, production of flowers and ornamental plants has noticeably increased in recent years, but the market is still stagnant. “It is a long time since the flower and plant market has not received export incentives, and we are looking forward to urgent help from the ministry of agricultural jihad to fulfill export promises,” he added.

 Potential Unused

Gholam Hossein Soltan Mohamadi, head of the flower and plant producers’ union of Tehran, says $100 million worth of flowers and plants are exported to neighboring countries annually, but as production is ten times higher, the exports are far less and “this issue requires authorities’ attention to boost exports.” Based on official statistics of the union, in the year ending March 20, Iran’s earnings are expected to be $75 million through flower and plant exports. A year earlier the figure was 100 million. Experts believe that Iran has the potential to export at least $300 to 500 million worth of ornamental flowers (in the form of cut branches and potted), trees and shrubs. It is said that the price of 30-40 rose flowers equals one barrel of oil.

However, this comparison is acceptable so long as the price of each barrel of oil does not slip below $ 50. Given the plummeting oil prices, it can be said that the price of 30-40 roses is equal to two barrels of oil.

Meanwhile, with production of 2 billion flowers, Iran is the world’s seventh largest flower producer, and with 30,000 tons a year, is considered the largest producer of Mohamadi flowers. Iran is the second largest exporter of roses after Morocco.