Kenya Flower Sector Blooms Amid Crises

Kenya is the number one supplier of cut and ornamental flowers to the European Union, with a market share of more than 35 percent.

Kenya's flower industry has shrugged off political violence in its Rift Valley heartland, drought, and the global recession to record improved export volumes of 93,000 tonnes in 2008.

"This shows the resilience of the flower industry in Kenya," said Jane Ngige, chief executive of the private Kenya Flower Council, whose figures showed a 2.2 percent rise from 2007.

Kenya is the number one supplier of cut and ornamental flowers to the European Union, with a market share of more than 35 percent, according to the council.

Horticulture is one of the biggest earners for east Africa's largest economy, along with remittances from Kenyans abroad, tourism and tea.

With growth slowing, and tourism and other agriculture still reeling from last year's disruption, the flower industry's performance provides a rare bright spot for Kenya.

Having survived 2007, when currency fluctuations and high fuel prices also weighed on the industry, flower growers are now in an upbeat mood, especially as their peak season -- Valentine's Day -- approaches later this month.

Farmers struggled, but ultimately succeeded, to keep activities going at the start of last year, especially in the Rift Valley town of Naivasha, where gangs from different ethnic groups were slaughtering each other and burning homes down.

"At the beginning of the year, when we had all the problems, the industry just continued producing, and the markets stayed with us, they were confident we would deliver," Ngige said.

EARNINGS FALL

Many of the flower workers were caught up in the violence and refugee movements, though farmers tried to provide protected camps and extra security including Maasai warriors armed with bows and arrows. Across Kenya, at least 1,300 people died while some 300,000 were uprooted. Despite increased export volumes from 91,000 tonnes in 2007, flower earnings fell 7 percent to about 40 billion shillings ($504.4 million) in 2008 from 43 billion the previous year.

Council chief executive Ngige, speaking to Reuters, said that would be explained at a news conference on Thursday.

"The growth (in exports) has occurred amidst tremendous challenges, among them: the post-election 2007 political crisis, persistent drought in Kenya, oscillating foreign exchange rates, high fuel prices, global economic crisis," the council said in a statement issued before the briefing.

"We are proud of our success."

Kenya's flower industry employs more than 100,000 people.

Growers here say flowers may not be as badly affected as other more expensive luxury items from the global downturn.

"At the start of the world crisis, a lot of people said 'oh, no one will be buying flowers any more'," said a foreign flower farmer in Kenya, who asked not to be named.

"But I'm hearing the opposite - that people are thinking 'well I won't have the skiing holiday, or the fancy car this year, but I will pick up the wife some flowers at the supermarket to cheer us all up'."