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Chapter 1

Floriculture
Introduction:

Background of the study:


Colorful flowers with pleasant fragrance have been a source of attraction to
mankind. Flowers provide pleasure through enlightening colors and spreading
fragrance. Therefore, man has always taken support of flowers as a token of
expression of kind sentiments on number of occasions andconsequently, ever
increasing demand of flowers has made the floriculture of paramount importance
for conducting economic evaluation and marketing investigation.
In Pakistan, there was not any in depth study regarding the economics and
marketing of floriculture. However, some researchers have conducted economics
and marketing studies of floriculture including Valdellon and Lizarando (1983),
Subrahmanyam (1988), Mitra(1989) and Koelemeijer (1991).
The Netherlands, with its geographic location and development of capital intensive
production, has become the worlds main exporter of floricultural products.
Schnieder (1991) compared the production structure and marketing system of
floriculture industry in the Netherlands and recommended rationalizing marketing
in which the profitable segments of the channels should be maintained and the
unnecessary steps eliminated for future growth.

Floriculture in Europe:
Safflower exploitation in European floriculture rapidly increased during the last
two decades of the last century. In the year 2000, 35.2 million flowering stems
were supplied to the (local cooperative flower auctions) and the total value of sales
in that year reached about 5.3 million, so that safflower was ranked 39th among
all cut flowers in terms of its commercial importance. At the time it was ranked
19th among imported cut flowers, with a sales value of nearly 2.6 million.
However, from 2001 onwards, flowering stem production and imports of safflower
appear to have decreased and currently safflower is ranked 59th with a total sales
value of only 3.4 million (19.2 million stems sold). Today, twenty cultivars are
grown for ornamental purposes, although over fourty varieties have been offered
and subsequently rejected in the last decade. Spineless races of safflower are
available as late cultivars only, grown mainly outdoors for dried flower production.
Early varieties recommended for greenhouse fresh flower production remain
weakly spiny. Safflower varieties are still important for the flower trade, but further
breeding work seems to be necessary with the current cultivars.
Safflower is a multi-purpose plant cultivated since ancient times not only for its
dyestuff content in flowers, oil in achenes, and for medicinal activity its substances
but for floristic purposes were a fulgent inflorescence also exploited long ago. In
Egypt, antique safflower wreaths were applied at sepultures. Seed companies
E.C.K. Wrede and J. Moos were offered safflower seeds for gardens as early as the
beginning of the nineteenth century, and many authors reported about the
cultivation of safflower in flower gardens in their times. But in professional
horticultural literature safflower is mentioned as exception only: in larger scale, its

importance is increasing as a consequence of higher demand for dried flowers in


the last two decades of century.
Floriculture in Japan:
In 1603, a new Shogunate Shogun : a hereditary commander-in- chief in feudal
Japan was set up in Edo Tokyo by the Tokugawa family. During the Edo
period 1603-1868, Japan was isolated because Shogun forbade people to travel
abroad and there was very limited trade with other countries. Therefore, this period
was peaceful and various cultures flourished throughout Japan. Floriculture was no
exception. Every class of peopleemperors, generals, headquarters, merchants and
the commoners was fascinated with floriculture. Enthusiasm for floriculture
initially spread among the upper classes, and then permeated quickly to the
commoners. Edo city was full of greenery
and the city itself was like a garden Ogasawara, 2008. British plant hunter,
Robert Fortune 1812-1880 visited Edo and described in his book Yedo and
Peking' that One marked feature of the people, both high and low, is a love for
flowers. Almost every house which has any pretension to respectability has a
flower garden in the rear, oftentimes indeed small, but neatly arranged; this adds
greatly to the comfort and happiness of the family. The upper classes had large
gardens, while the lower classes kept plants in containers in front of their houses.
Regular flower markets were held in temples and shrines to sell container plants
and they were popular among the commoners. It is considered that Japanese
floriculture in this period led the world. This paper re- views how Japanese
floriculture developed and flourished in the Edo period.

Floriculture in China:
Since the 90s, many Chinese farmers switched from growing vegetables to flowers,
due to higher revenues. Particularly Yunnan province (SW China) has developed
into a major region for flower production, mainly because of the favorable climate.
This province now produces approximately 60% of Chinese flowers and exports
are more and more flowers are exports to other Asian countries. A major problem is
the lack of cold chain. Only at logistic centers as auctions and airports cold storage
is available, albeit inadequate. The packaging and handling is far from optimal as
well. Despite improvements in recent years, plant breeders' rights are still a
problem. Protection is now possible for many species (based on UPOV 1978), but
registration and enforcement are inadequate. The Chinese government is aware of
its importance, however, and supported by Plantum NL and Naktuinbouw the
developments are positive. The Dutch sector in China is particularly active in
propagation material, since in that field cultivation technique makes the biggest
difference. In 2006-2007, 6 Dutch companies have established a production facility
in China, backed by EVD grants. Furthermore, a number of Dutch bulb exporters
have been active on the Chinese for many years, often hampered by phytosanitary
problems though. Over 80% of the flower bulbs used in China are imported from
the Netherlands. In the season 2009/10 the value was 25 million euro, up 60%
from the previous season. Lily and Tulip account for 77% and 17% of these
imports. The demand for Dutch propagation material is large, especially when
combined with good cultivation guidance. The retail market is still immature,
especially since it is aimed primarily at low cost and less at quality and new
varieties. Although coming from a low level, China and surrounding markets are

emerging markets, so the quality of demand will grow in the coming years. To let
China make the previously mentioned system jump, there are good opportunities
for Dutch supporting industry with know-how and products, such as greenhouses,
installations, cold storage, training and education, etc., especially if Chinese
governments offer financial support.

International Scenario and Trade:


About 305,105 ha area was under flower production in different countries of the
world, of which the total area in Europe was 44,444 ha, North America 22,388 ha,
Asia and Pacific 215,386 ha, the Middle East and Africa 2,282 ha and central and
South Africa 17,605 ha. Flowers grown under protected greenhouses in different
countries around the world total 46,008 ha. India has the maximum area under
ornamental crops (88,600 ha) followed by China (59,527 ha), Indonesia (34,000
ha), Japan (21,218 ha), USA (16400 ha), Brazil (10285 ha), Taiwan (9.661 ha), The
Netherlands (8,017 ha), Italy (7.654 ha), the United Kingdom (6,804 ha), Germany
(6,621 ha) and Colombia (4,757 ha).
Globally more than 145 countries are involved in the cultivation of ornamental
crops and the area under these crops is increasing steadily. The production of
flower crops has increased significantly and there is a huge demand for
floricultural products in the world, resulting in growing International Flower Trade.
The world consumption of cut flowers and plants is increasing and there is a steady
annual increase of 10 to 15 per cent in all importing countries. Due to globalization
and its effect on income,there is growing per capita floriculture consumption in
most of the countries .In case of developed countries, the consumption of flowers
is closely linked with GNP per capita income and urban population.

Table.1: World production of flowers and potted plants (in


million euros) Country 2010 share in 2010
Countries
2010
Share in 2010
Eu
10 310
39.4%
USA
4 719
18.0%
China
3306
12.6%
Japan
2606
9.9%
Columbia
1104
4.2%
Australia
763
2.9%
Canada
731
2.8%
South Korea
598
2.3%
Kenya
333
1.3%
others
1726
6.6%
Total
26196
100.0%
Source: AIPH (International Association of Horticultural Producers)/Union Flours
(International Floricultural Trade Association)
Looking to the international situation in the flora culture industry, Holland is
market leader with about 65% of the total sales of flowers and plants. Not only that
but Holland is also maker leader by supplying all kind of young plants material,
seed, equipment and they have a very high standard and they are updated with the
latest trends and techniques. Holland is also the middle point of the daily market in
selling flowers and plants. The two big auctions "Aalsmeer" and "Flora Holland"
which are operating five days a week, play a major role in the international selling
of flowers and plants and what Wall street in New York is for the International
Financial World that are this two auctions for the Flora Industry.
On those auctions the daily world market prices are settled and in a few minutes
people all around the world can follow this by high communication systems and
latest techniques. Last 40 years Holland created a big Flora Culture Industry and
now the day more than 100 countries are sending their flowers and plants to this

market and from there wholesalers send them to customers all over the globe.
Those wholesalers are able to supply each customer with wide range of products.
About every day millions of different flowers and plants in all kind of colors are
available for the International Buyers and all according the International Standards
which took about 40 years to develop and at the moment everybody in the world
are following this International Standards.

The countries like Canada, USA, France, Britain and Italy have well-established
flower industry. Demand for flowers is now even discernible in developing
countries, where cultivation of flowers of various types holds a promise of
increasing economic returns under the efficient and reliable marketing system. In
Pakistan, the flower business is mainly concentrated around the big cities like
Karachi, Lahore, Islamabad, etc. and is also turning towards a booming business.
Therefore, with increasing demand of flowers for number of utilities, flower
business is likely to gain expansion.

Floriculture industry in Pakistan:


Pakistan is also engaged in the production of Cut flowers for past few decades;
however it is an infant industry as far as its growth is concerned. Though Pakistan
has one of the most fertile lands and climatic conditions for production of flowers
are favorable but due to lack of resources and skilled persons the industry has not
been developed at par with other sectors of the economy. Most of the flowers
produced in Pakistan are sold locally and a small quantity is exported to Middle

East. Similarly a large number of fresh cut flowers are wasted due lack of
infrastructure, improper packing, mishandling and other related problems.
But unluckily in agrarian economy of the country, the floriculture remained a quite
neglected segment of agriculture. Thus, this study has been conducted to examine
the economic returns associated with the flower production and marketing margins
of various functionaries involved in marketing channel of flowers in Lahore
market. The main objective of this paper is to determine the economics and
marketing of selected flowers right from producers, retailers, intermediaries to the
final consumers, to identify the constraints in flower business mainly at farm and
retail level and to provide recommendations in enhancing the flower business in
Pakistan.
Pattoki serve is the centre for floriculture activity in Pakistan about 1million of
pieces of cut flower are daily exported from Pattoki to different market in Pakistan
more important of which are Karachi, Peshawar, Lahore and Islamabad.

Production area in Pakistan:


As compared to other provinces floriculture is relatively better developed in Punjab
due to increasing competition in agriculture sector and the presence of major
markets of Lahore, Rawalpindi, Faisalabad and Islamabad. However it is still far
behind in competition at international level. Pattoki is the major center for
floricultural production and marketing in Pakistan. In recent years flower
production has also increased in Kasur and Sheikhupura districts. Other flower
producing areas include Lahore, Chunian, Okara, Kallarkhar, Rawalpindi,
Faisalabad, Narowal, Sahiwal, Gujranwala, Manshara and Abbotabad.
Major buyers of the cut flower are in the larger cities including Karachi, Peshawar,
Lahore, and Islamabad. However marketing of cut flowers in these areas is still

unorganized. In most cities flowers are brought to wholesales markets, which


mostly operate in open yards. The markets are dominated by few flower merchants
who buy most of the produce and distribute them to local retail outlets. The retail
florist shops are scattered at different locations normally operating on roadsides.
The production and consumption of cut flowers has increased over the past decade
and this increase is expected to continue. Demand for cut flowers is growing
tremendously as more and more people are becoming aware of the beauty of
flowers as decorative items. Weddings, birthday parties, seminars, and other such
social gathering events are incomplete without floral decorations.
There is a great scope in value addition of flowers as well specially for essential oil
production of rose, tube rose, jasmine etc. similarly there is a good demand for use
of these flowers specially rose in traditional medicine.
Floriculture exports can earn huge revenue for the government Pakistan has a lot of
potential to develop floriculture. But lack of attention of concern authority is
prevented growth in this sector. The market demand of floriculture products is
growing fast, the chief executive officers of harvest he said that Pakistan is a
country of small farming household agriculture is the best option for enhancing the
income for the poor. They need much less land and the water for production than
other crops. He said net against the investment much higher for these crops as
compared with others convectional crops. He said the product over high demand in
all over the world. He said that there is lack of resources and skilled persons to
developed the floriculture industry up to international standard. Pakistan has export
potential land in global market like UAE, Saudi Arabia, and Russian federation and
European Union. The majority of flowers produced in Pakistan in winter season.
While Europe yield low production is the same season due to snow. Its in
excellent opportunity for Pakistan to promote the floriculture sector to fulfill the

demand of European market. 8 countries exports 74% of the value of the world
floriculture crops of the Netherland, Israel, Columbia, Italy, Belgium, Denmark
and United States. More than 50% of the floriculture products come from the
Netherland if we compare Pakistan with Netherland we have in area of 20 time
larger, manpower to 10 time, bigger and better climate soil and irrigation system.
And our market need to draw the experience of other countries our production need
to be stream line in according to their policies. And other to compete the world
market we need to study the economic trains, such as shortage or oversupply of
some flowers specious and particular reason as such factor result in change in price
that may become too low to grow them economically flowers prepared in all types
ceremonies as well as in perfume industry and many Auradic and Greek medicine
preparation. Here included the flowers tubrose, tulip, lily, jasmine.
State bank of Pakistan has issued directive to bank for issuing soft loan and order
to boost this industry ZTBL (ZarriTaraqyati Bank Limited ) can also play
important role for boosting this sector in the country.

Types of flowers produces in KPK:


Varieties of Flowers to be Produced
In this report feasibility of following four flowers will be considered for
production.

Gladiolus
Marigold
Statice
Chrysanthemum

1.Gladiolus
The gladiolus, popularly known as Sword Lily is an easy-to-grow flower,
especially valued for use in floral arrangements. Gladioli produce tall spikes of
large blossoms, in a rainbow of colors including white, pink, red, purple, yellow,
orange, salmon, and even green gladioli are available, along with many bi-colors.
It is found in South Africa and Mediterranean regions.
Season of growth
"Glads" grow from corms (bulb-like structures) that are not winter-hardy. They
must either be dug in September or stored until planting time the following
April, May, or replaced annually. Some gladiolus experts recommend treating them
as annuals because you are more likely to get large, healthy blooms each
year that way, and you don't have to fuss with storing them.
Special requirement
Plant Gladiolus as early in the spring as the soil is fit to work.
Nitrogen has significant effect on the flower health in different
cultivars.
The blooming season can be stretched by making succession
plantings, by planting bulbs of several sizes, and by using varieties
which take different lengths of time to mature.

Varieties
Gladiolus is found in a variety of types that include both the species and hybrid
glads. The different types of species represent the geographic and ecological range
of the many species in this genus. The different combination of species used to
create the different hybrids has led to the establishment of several different types of
hybrids as well.

2.Marigold
Marigolds are hardy, annual plants and are great plants for cheering up any garden.
Broadly, there are two genuses which are referred to by the common name,
Marigolds viz., Tagetes and Celandula. Tagetes includes African Marigolds and

French Marigolds. Celandula includes Pot Marigolds. Merigold originated in


Africa and have been cultivated in subcontinent for quite some
time.
Season of growth
The marigold is hardy and easy to grow. They can be grown in wider climatic
conditions. It is mainly propagated by seeds. It is a very tolerant plant, growing in
any soil that is not waterlogged, but prefers directly by sowing seeds from March
and April. Plant to Plant distance should be from 15" to 18" so that branches may
have room to spread. The pointed-oval leaves are slightly hairy. The flowers, either
single or double, are brilliant yellow or bright orange with long flowering season.
Marigolds require approximately 60 to 75 days flowering after seeding; therefore
seeding indoors should be done in late Feb. The plants should be ready for planting
outdoors late March and early April.
Special requirement
Do not fertilize marigolds for 7 to 10 days after transplanting
Thereafter use fertilizer about equal in nitrogen and potassium
content.
Growers should test medium pH and soluble salts on regular basis.
Provide water on weekly basis
Plant distance should be selected so that equal amount of sunlight
is available for every plant
Varieties
Marigolds come in different colors, yellow and orange being the most common.
Most of the marigolds have some odor and has great value in cosmetic treatment.
There are many varieties of Marigolds available today. Some of the major
Marigold varieties are listed below:
o African or American Marigolds:
o French Marigolds
o Signet Marigolds
o Mule Marigolds
3.Statice
Statice or Sea-lavender is any of 120 species of flowers in the genus Limonium.
The genus was formerly often known by the synonym Statice. Statice Flowers
come in white, lavender, and pink colors. The tiny funnel-shaped Statice flowers
have a delicate, airy, hazy appearance, almost like smoke.

Season of growth
Statice is easy to grow and salt tolerant. Statice Seeds can be initiated indoors 6-8
weeks before planting or sown directly outdoors. Seeds are planted in nurseries in
Feb while they are shifted outdoors in March and April.
Special requirement
Statice is fairly drought tolerant.
Statice Seed can be planted directly inthe ground after frost has passed.
Once established, plants can be propagated in spring.
Statice is easily grown in full sun and in well drained average to sandy soil.
Statice is a low maintenance plant.
The plant benefits from a light fertilizer in early spring.
Potential pests or diseases are rare.
Varieties
Some species of Statice have an offensive odor. English Statice comes in 1- to 2inch clusters of Calyxes, each about 1 inch across. Stems are 1 to 1 feet long. The
German Statices' small gray bracts arch backward, while the English Statice
feature calyxes that are yellow, white, purple, lavender or pink with tiny white or
yellow flowers inside. Latifolia Calyxes are white with blueviolet flowers. Statice
Flowers can be spray dried with a fixative.
4.Chrysanthemum
Chrysanthemum was named from two Greek prefixes, 'Chrys', which means golden
(the color of the original flowers), and 'anthemon', meaning flower.
Chrysanthemums are one of the most popular flowers in the world, next only to the
Rose.
Season of growth
Chrysanthemums are easy to be grown and are propagated by division of roots,
cuttings and seeds. Chrysanthemums are not specific to any season.
Chrysanthemum plants can be grown in any kind of soil, but they require a sunny
weather for best performance. Chrysanthemums have a long flowering period.
Chrysanthemum seeds are sown in those areas which experience low rainfall
during the rainy season. Usually, the Chrysanthemum seedlings are transplanted
after about a month of sowing. But sometimes seeds can also be sow directly and
seedlings thinned out after germination. Chrysanthemum plants flower in about
three months of sowing.

Special requirements
Chrysanthemum plants can be grown in any kind of soil, but they require a
sunny weather for best performance.
Chrysanthemum seedlings are transplanted after about a month of sowing.
But sometimes seeds can also be sown directly.
After the transplants, the Chrysanthemum beds should be weeded and
watered regularly.
In some cases staking of Chrysanthemum plants is necessary.
A careful check should be made of diseases and insect pests and prompt
control measures adopted to control them.
Varieties
Chrysanthemum flowers bloom in various forms, and can be daisy-like, decorative,
pompons or buttons. Chrysanthemum blooms come in a huge variety of shapes and
sizes. Chrysanthemums come in wide range of colors. In addition to the
traditional yellow, other popular colors are white, purple, and red. They are very
popular in floral bouquets and flower arrangements.
o Corn Marigold or Corndaisy
o Tricolor Daisy
o Crown Daisy
o Shasta Daisy
o Alecost
o Yellow Daisy
o Fever Few
o Florists Chrysanthemum
o Pyrethum Daisy
o Marguerite
Land / Field Preparation:
The first step for the production of cut flower farm is preparation of Land / Field.
First of all the field has to be leveled. Small channels will also be required for
water supply. The best way for field will be to divide the field in parallel cut flower
fields having water canals on one side and driveway on the other. So the water
canal will water the fields on its both side and it will be the case with driveways.
Wind can also cause damage to the flowers to protect the site from wind breaking
trees or shrubs should be grown around the farm. Artificial windbreaks can also be
used if there is a danger of competition between trees and flowers for available
moisture and nutrients.

Building and other infrastructure is also required for the production of cut flowers
which are described in detail in a separate heading. Bed preparation depends upon
the variety of the flowers. If plants are relatively tall with dense foliage, the bed
should be narrower because insufficient sunlight will penetrate the center of the
flowerbed, resulting in poor plant growth. Workers can easily reach 2 feet into a
flowerbed to make a proper cut and remove the flower without damaging the crop.
So the flowerbeds will not be wider than 4 feet.

Some of the problem faced by the floriculture producer in Pakistan:


It is difficulty of a former to obtain quality plant in the desire variety
Availability of appropriate facilities for harvest and post harvest

management
Non availability of sufficient amount of water in accordance to its need
Lower productivity and high cost of production
Inadequate storage facilities and out debated method used in processing
Inadequate market information
Difficulty in obtaining of suitable land for expansion and in obtaining

financial assistance
Lack of irrigation facilities
Non availability of cold chain storage facilities
Lack of well established information database
Floriculture, or flower farming, is a discipline of horticulture concerned with the
cultivation of flowering and ornamental plants for gardens and for floristrythe
floral industry. Floriculture crops include bedding plants, houseplants, flowering
garden and pot plants, cut cultivated greens, and cut flowers.
Looking to all of this, in Pakistan not much emphasis has been given to this
lucrative business in the past. Recently, Pakistan Horticulture Development &
Export Company (PHDEC) has taken the initiative to promote this important area

of Horticulture with the objective of making Floriculture exports as one of the


sunshine sectors of the country.
Cultivation under controlled environment of Green houses is recommended to
overcome the weather conditions and to provide most suitable growing
environment for top quality and high yield. Green House cultivation is an
expensive medium and can be out of reach of individual farmers
Floriculture in Khyber PukhtoonKhwa (KPK):
The common plants grown by the nurserymen in KPK during a year include Rose
plants, Jasmine, Bouganvallia and other ornamental plants such as Dracena,
Schefflara, Ashoka, Money plants and Elephant Ear etc.
Rose plants are grown by 95% of the total respondents in the research area of
KPK. Rose plants raised from cutting, varies from 200 to 5000 with an average
number of 2720 plants. In district Haripur a large number of rose plants (3750)
were propagated as compare to other districts. More than 95% of the total
respondents propagated jasmine, Bougainvillea and other ornamental plants in the
research area, while the seasonal plants are only raised in two districts such as
Peshawar and Haripur. The result shows that all of the Respondents (99%) grown
ornamental plants in the target area. It is remarkable that like all other floral plants,
ornamental plants were grown in large number of quantity in district Haripur.
Floriculture plants purchased from other Markets:
To fulfill the market demand majority of the sampled respondents purchased
ornamental plants from other markets beside their own produced. Seventy six
percent of the respondents purchased rose plants (6400) on average from other

markets. An average number of Variegated Bouganvellia plants (465) purchased


from other markets by 61% of the respondents, while the other ornamental plants
(3200) were purchased by 67% of the total respondents from other markets. Beside
their own produced large number of floriculture plants purchased from other
markets by the nurserymen in district Haripur.
Beside own produced 76% of the floriculture grower purchased ornamental plants
from Patooki (Lahore), while the remaining 24% purchased ornamental plants
from Gulibagh (Mardan), Tarnab (Peshawar) and Haripur. The plants such as Rose,
jasmine and bouganvellia, purchased from Patooki (Lahore) market were better in
quality and had the ability to attract consumer, while some other ornamental plants
(Araucaria and Ponytail Palm) were not propagated in KPK. Cyprus plants were
mostly marketed from Haripur district. It is interesting that some of the rose plants
produced by their own left for other season, while the plants purchased from other
markets sold during the season because of better quality. The plants left in the
season were transferred from plastic bags to pots and marketed in the next season
on a higher price.
Market channel:
A channel of distribution, sometime called a trade channel, for a product is the
route taken by the title to the goods, as they move from the producer to the ultimate
consumer or final destination. A channel always includes both the producer and
the final consumer for the products, as well as all agents and merchant middlemen
involved in the title transfer (Khan, 1999). Cox and Thomas (1969) defined
marketing channel as: a network of cooperating organizations that together perform
all the activities required to link producers of goods and services to the end-users.

Thirty eight percent floriculture growers in KPK mainly sold their produce to
wholesalers and directly to the consumer in the local market or at their farm. Some
of the growers (34%) sold their plants directly to the consumers. Those growers,
who have nursery farms in the villages or far away from National High Ways, sold
their floriculture plants to whole seller (18%) or retailer/consumer (10%). In this
business retailer are hawkers, selling from barrows consisting of wooden or straw
baskets. They move from street to street to offer plants for sale. Retailer buys
plants from the whole seller or growers on a credit basis. They repay the amount to
the whole seller or growers the next day, after selling the plants. It is interesting
that most of the respondents in the study area purchased plants from one another in
the local market to make close contact with the consumers and to fulfill the market
demand.

1.2: Farm size of the Nurserymen by various districts of KPK:


District

Own area in Leased

kanals
Peshawar
5.7
Mardan
7.0
Haripure
30.1
Sawabi/kohat 1.0
Total
43.8
Source: from published paper

in kanals
3.2
5.2
13.6
2.2
24.2

area Lease
Rs/kanals
6958
5255
3536
5535
21284

Chapter 2
Literature review
This section deals with the relevant literature to the concerned topic. Mostly the
work done on floriculture sector regarding its economic analysis is analyzed in this
section.
Adenuga (2012) it is observed that the low level of awareness impedes the
potential of horticulture's sub-sector. Floriculture resulted in low level of
employment and enhanced poverty. On the average, there was an economic return
to farmer's labor and management of Nigerian Nira (currency of Nigeria) N174,
974.7/ha. The major constraint was inadequate capital that hindered the production

of floriculture while the use of farm size, labor, manure, educational level,
experience and age of the farmers were having significant influence on the
revenues of the farmers.
Manzoor (2001) there was a return of 1.47 per rupee to Rs. 2.36 to producers from
the production of different types of flowers. While on the other side there was a
return of 1.18 rupees against per rupee spent by the retailer. The floral business was
on limited scale and motivation is needed to expand this business by farmers
through some incentives.
Donohou (2003).The floriculture industry is increasing every year. It is now-a-days
an industry of billions of dollars and employs million of people throughout the
world. For a farm of 50 acres an amount of Rs. 3.39 million of capital investment
is needed for purchasing of machinery, construction and equipment. Besides this,
an amount of Rs. 5.3 million is further needed for the purchase of seeds, pesticides,
fertilizers etc. known as working capital. Combining both together, a sum of Rs.8.7
million is needed for the above mentioned farm. While return from this ranges
from Rs. 8.8 million to Rs. 16 million from first to tenth year of such a project.
Presently, floriculture industry's exports are Euro 5.1 billion and are likely to reach
Euro 9.0 billion by the end of 2025. The floriculture exports stood around Rs.63
crore in India in 1996-97 and tripled into Rs. 211 crore in the year 2004-05. The
industry is directly contributing to the economic development of the country
through creating of employment opportunities and earning of foreign exchange.
Hassan (2012) profitability of using a stratified random sampling of 32 farmers of
flower growers for three districts in Bangladesh. There was a gross margin of Taka
(currency of Bangladesh) Tk.1,359,824.20. Besides this, the average marketing
margin for three intermediaries remained as Tk. 638.39 for Wholesale-cum-retailer,
Tk. 187.56 for BRAC and Tk. 689.72 for retailer in Dhaka City. The problems

faced by the farmers: were price of fertilizer, insecticides, lack of training and
scientific knowledge, pest's attack, plant diseases, poor transportation and
communication system, unstructured market, lack of market information and
problems of marketing. The lack of adequate market information, unsold flowers,
demand fluctuation and lack of storage facilities were also the problems faced by
the flower growers.
Ghule & Menon (2013) around 120 countries are engaged in of floriculture.
Almost 90% demand comes from America, Asia and Europe. Exports of
floriculture for floriculture products were expected to reach to $12 in 2012.
Hemert (2005) the floriculture industry of Netherlands is operating on world level.
Its total exports increased from Euro 5.7 billion in 2002 to Euro 5.9 billion in 2004.
Martsynovska (2005 ) observes the share of follower production by EU is 44%
(i.e. $ 10.8billion out of $ 24.4 billion of the world production) EU remained the
major producer of in flower production, followed by China and USA each
producing 12%, Japan11%, Canada 4%, Colombia 3%, Korea 2% and other 10%
of the world production.
Kinderli B. & Cakmak Belgin (2007) analyzed the problems and potential of
floriculture in Turkey. Classifying the floriculturists into two groups' big-modern
enterprises and small-family enterprises. Four different green houses were selected
to analyze the production of roses and camation (a type of flower). The result
showed that the plastic green house used for flowers production by big-modern
enterprises resulted in more profit as compared to geo-thermal heating.
Gudeta D. T. (2012) conducted his research on the floriculture from pre-harvest
and post-harvest dimension in order to analyze the production level, in his study he
found that lack of human resource development, poor technology, poor

infrastructure, and poor cool chain preserving system were the major problems
faced by the flower growers. During study it was found that due to lack of
facilities, the flower growers had to waste half of their produce due to lack of
storage facilities leading to economic loss of the people as well as the society as a
whole.
Hamrick (2004) Netherlands is the main center for the distribution of world
flowers with its computerized system. The production in Netherlands worth was
US $ 3.6 billion. Besides this, Israel, Ecuador, Colombia and South American
countries remained the major producers of flowers while Africa and especially
witnessed an increasing investment for the production of flowers. Developing
countries contributes almost 20% to the total trade, while there is an increasing
competition of the developing countries including Namibia, Zambia, Malawi,
Ethiopia, Tanzania and Uganda.
Chapter 3
RESEARCH METHODOLOGY
The study area is KPK Peshawar and its different areas. The data which was taken
from agriculture extension services of KPK Peshawar, SAMEDA cut flowers prefeasibility report and other published paper on floriculture. Simple percentage
technique was used for analysis for cost and benefit. Also studied the market of
floriculture in different Peshawar different bazars.

Chapter 4

Result and discussions


this chapter 4 contain result and discussion of floriculture, cut flowers with
tables analysis and discussion.
Table 4.1: Per acre cost of cut flowers enterprise
Flowers
verities

Giladliou
s
Marigold

Cost per Average


seed/corn seeds
requiremen
t per acer

7.5
6

34000
17424

Per acer
average
seed
price in
million
Rs
0.255000

% share
of
cultivatio
n

65%

Seed
corn cost
per acer
in
million
Rs
0.165

0.104344

35%

0.0366

Cost of
others
inputs in
million
Rs
0.0291

Total per acer cost of seed/corn

0.202

0.0291

Source: survey of agriculture extension services

The above table 1 showed the per acre cost of every flower according to the above
table Giladlios cost per seed price is 7.5 rupes average seed requirements per acre
is 3400, share of cultivation is 65%, seed corn per acre in millions 0.165% and cost
of other inputs 0.0291 million. Marigold cost per seed is 6 rupes, average seeds
requirement per acre is 17424, per acre average seeds price in million RS
0.104344, share of cultivation in studied area is 35%, seeds corn cost per acre in
million 0.0366 and cost of other inputs is 0.0291 million.

Table 4.2:Physical financial plan of cut flowers enterprise.


s.no

Districts
Abbotabad

Area of production under


cultivation in acre
10

Cost of cut flowers


enterprise in million PKR
2.310

1
2

Sawabi

1.300

Peshawar

8.5

1.964

Newshehra

8.3

1.906

Haripur

1.544

Total

42.5

9.875

Source: survey of agriculture extension services Peshawar

According to the table 1.1 showed the financial plan for the cut flower production
area under cultivation in different district/cities such as in Abbotabad the total area
under cultivation were 10 acre and cost of cut flower is 2.310 in million PKR. The
production area under cultivation in Sawabi is 8 acre and the cost of cut flower
were 1.300 million PKR. The production area in Peshawar under cultivation is 8.5
acre and cost of cut flower is 1.964 million PKR. The production area in
Nawshehra under cultivation is 8.3 and cost of cut flower is 1.906 million PKR.
Production area in Haripur is 8 acres and cost of cut flower is 1.544 million PKR.
Table 4.3:Per acre cost of inputs

Item
Unit
Qty
Urea
Bags
21/2
DAP
Bags
1
Potash
Bags
1
FYM
Trolly
3
Pesticides
Spray
2
Total per acer cost of other inputs

Unit cost Rs
2000
4000
4000
4500
1300

Total
5000
4000
4000
13500
2600
29100

Source: survey of agriculture extension services Peshawar

The above table 4.3 showed the per acre cost of input such as urea total price is RS
5000,DAP total price is RS 4000,potash price is RS 4000,FYM price RS 13500
and pesticides total price is RS 2600.

Table 4.4:SMEDA CUT FLOWERS


GLADIALOL
I
5-7

MERIGOLD
(danda)
3

Price of per
seed corn in
RS
Price Rs
288 per bundle 60 per kg

STATICE
3

CHRYSANTHENUM
Gule e dadu
1.5

36 per kg

36 per bundle

Net bundle
production
per acer
Total
revenue Rs
Fertilizer
pesticide
Spray

2070

3680 kg

18400 kg

9813 bundles

596160

220800

662400

353280

Rs 5000 per acer


Rs 1000 per acer

Source: SAMEDA pre-feasibility report 2009

According to the table 4.4: showed the cut flower pre-feasibility study of
SMEDA. It showed the cost and revenue of flowers. Gladialoli price of per seed is
5-7 rupes, price of per bundle is 288 rupes while net bundles produced per acer is
2070 and total revenue is 596160 rupes. Marigold (danda) price of per seed is 3
rupes, price of per kg is 60 while net k.g production per acer is 3680 and net
revenue were 220800 rupes. Statice flower per seed cost is 3 rupes, price of per k.g
is 36, net bundle production per acer was 18400 kg and total revenue 662400
rupes. Chrysanthenum (gul e dadu) per seed price was 1.5 rupes, price of per
bundle is 36 rupes, while net production per acer 9813 bundles and total revenue
353280 rupes. Others inputs such is fertilizer pesticide was 5000 rupes per acer and
spray cost rupes of 1000 per acer.

CUT FLOWERS IN DISTRICT PESHAWAR BAZEDKHEL


Table 4.5:Types of flowers grown in study area
Types of lowers grown
Marigold+roses+jasmin
Marigold+roses
Marigold+jasmin

Number of respondient
55
35
25

Production in percentage
36.6%
23.33%
16.67%

Roses+jasmin
Roses+others

25
10

16.67%
6.67%

Source: published paper on bazedkhel Peshawar

The above table 4.5: showed flower grown in the study area where 36.6% is
producing marigold+rosses+jasmin,23.3%, marigold+rosses production percentage
were16.675 %, where marigold+jasmin percentage were 16.67% and rosses+others
production percentage is 6.67%.people like different kinds of flowers defending
upon their preference most popular flower like by the people in this area.
Table 4.6: demand of flower in deferent bazars
Demand of flower in
deferent area of
peshawar
Ramdas bazar
Qisakhwani bazar
Peshawar cant area
Takkalpyan
Board bazar
Total

Marigold

Roses

Jasmin

Others

30%
30%
10%
20%
10%
100%

20%
30%
40%
6%
4%
100%

30%
30%
20%
10%
10%
100%

30%
10%
10%
30%
20%
100%

Source: published paper on bazedkhel Peshawar

The above table 4.6 showed the demanded flower in different bazaar in Peshawar
area. the demand of marigold in Ramadas bazaar is 30%,30%in Qisa khwani
bazaar,10% in Peshawar cantt,20% in takal payen,10% in board bazaar. the other
flower can also demanded in this area.

Per acre cost on flower production

Economics of scale must be consider as, population are large scale result in lower
average cost ,therefore it is to find out the per acre cost in order to analyze the per
average revenue and net profit from per acre production in the study area.
Table 4.7:Cost of production per acre
Particulars

Total cost in (RS)

Seed cost
Tractors hours
Urea kgs

1250
1700
1045

DAP(KGS)
Nitriopas (KGS)

3236
2108

FYM(kgs)

1800

Pesticide (kgs)
Marketing cost
Rent RS

750
1200
6000

Labor charges

5500

Total cost

24589

Source: published paper on bazedkhel Peshawar

According to the table 4.7: Acre of land used for production of flower having
different types of cost as mentioned. seeds cost is RS 1250, tractor hour RS 1700,
urea RS.1045, DAP RS.3236, nitropas.RS.2118, FYM RS.1800, pesticide RS.750,
marketing cost RS.1200, rent RS.6000 and labor charges RS.5500,making the total
of as RS.2499.
Table 4.8: Total cost net benefit
Detail

Amount in (RS)

Cost per acre

24589

Total revenue
Net benefit

46440
21851

Source: published paper on bazedkhel Peshawar


The above table 4.8 shows total net benefit such as total cost of production on one
acre is RS.24589,while the total revenue is RS.46440 subtracting cost from
revenue Net benefit=total revenue per acre-total cost of production per acre=net
benefit

Chapter 5
Conclusion and Recommendations
This chapter 5 contain in conclusion and recommendation for the floriculture in
Pakistan.
5.1 Conclusion:
The people involved in this sector are mainly less educated or illiterate, majority of
the people living in the study kpk are poor having a small piece of land owned by
them. The land cultivated on average is also very small; mostly less than an acre.
Large number of people living below the age of forty years has to depend on this
sector for their livelihood producing three main types of flowers namely Marigold,

Jasmine and roses along with other types of flowers in a small amount which are
sold in the main bazaars namely Raamdas, Qissa Khwani, Peshawar Cantonment,
Tehkal Payaan and BoardBazar of the city Peshawar and giving a net benefits to
the flower producers an amount of Rs.21851 per acre. The floriculture business is
though small in district Peshawar but is a profitable one which is carried without
the supervision of government on self-help and self-employed basis
5.2 RECOMMENDATIONS
the culture of floriculture should be developed in peoples
govt should encourage the farmers by giving different compensation and polices
for production of floriculture
govt should practice floriculture cultivation to attract the farmers for this

Most of the production of flowers is on very limited subsistence level,


the government should provide the barren lands to flower growers so as
to bring more and more land for cultivation leads the production on
commercial basis reducing the cost and increasing the output.
Attention should be given to the flower cultivation on commercialized
farming, which needs basically two steps, one provision of more land
for cultivations of flowers and secondly using modern techniques of
production in agriculture sector
policy should be adopted to convert the floriculture sector from
subsistence one to the industrial sector
Floriculture should be introduced also as private enterprise and
different subsidies and tax exemption should be given to manufacturers
to boost up the production of flower.

REFERENCES
Donohue C.R. (2003), Socio-Economic Impact: AStudy of the Floriculture Industry in
UGANDA UGANDA'S Investment in Developing Export Agriculture (IDEA) project.
Manzoor R., Shahid A.S, Baluch M.H. (2001), Economics of Floriculture in Pakistan:
ACase Study of Lahore Market, Pakistan Economic and Social Review, Volume
XXXIX, No. 2 (Winter 2001), pp. 87-102
Nasir M. N., Floriculture in Pakistan, Lahore: Agriculture Business Division R&D
Training Wing.
News Letter, Indian Council for Agriculture Research for Goa, Vol. 11, No.1 Jan-June 2009.
Belwal, R. and Chala, M. (2008): Catalysts and barriers to cut flower export: A case
study of Ethiopian floriculture industry. International Journal of Emerging
Markets. Vol. 3 Iss: 2, pp. 216-235

Schneider, V. B. (1991), The comparison between Italian and Dutch


floriculture: Technical and economical aspects. Horticultural
Economics and Marketing, 23rd International Horticultural Congress,
Florence, Italy, 27th August to 1st September. Acta Horticulturae, No.295

G.S.Randhawa and A. Mukhopadhyaya, (1985) Floriculture in India, Allied Publishers


Private Ltd., New Delhi 110 064

Smeda (2009)pre-feasibility study of cut flower enterprise

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