April 6: Imports of flowers have skyrocketed in recent years despite the country being declared 90 percent self-reliant on flower production. On the other hand, data show that the export of flowers is declining continuously.

According to the Floriculture Association of Nepal, the country imported flowers worth Rs 385.3 million in the fiscal year 2077/78 alone. Meanwhile, export was limited to Rs 4.8 million. Businessmen say that exports have declined due to the decline in investment in flower business due to the impact of Covid-19 pandemic.

In the fiscal year 2073/74, flower import amounted to Rs 113.6 million and export amounted to Rs 36.5 million. Since then, imports have been steadily rising while exports have been shrinking. Looking at the data for the first eight months of the current fiscal year (July-March), it can be seen that flowers and flower products worth Rs 178.46 million have been imported into the country. Exports amounted to Rs 33.78 million during the period.

Min Bahadur Tamang, president of the association, considers the reason for decline in exports last year to the failure of florists to produce exportable flowers due to the impact of the Covid-19 pandemic. He said that about a decade ago, Nepal exported flowers worth up to Rs 190 million annually to European countries as well as the United States and Australia. He said that international demand for flowers could not be met due to insufficient investment in the flower business last year.

According to him, until a few years ago, the demand for rose produced in Nepal used to be huge in the world market. Tamang said that export has declined due to the inability to supply quality flowers as per the demand and impact of the pandemic.

He added that the state should take responsibility to create an environment for large investment in flower business to increase exports. Tamang said, “NRB has adopted a policy that allows loans  up to Rs 50 million for floriculture. However, this investment is too small to produce exportable flowers. Therefore, it is important for the state to pay attention to such things.”

Spokesperson of the Ministry of Agriculture and Livestock Development Prakash Kumar Sanjel also agrees with Tamang. He said that the concessional loan announced by NRB is insufficient to produce exportable flowers by investing in agriculture. He informed that a work procedure for the increment for the loan from Rs 50 million to Rs 500 million, depending on the nature of the business, has already been sent to the NRB and the Ministry of Finance. Sanjel says that the government should set up a separate body to look after the flower business to increase exports.

Dr Gunakar Bhatt, the spokesperson of NRB, says that procedures should be amended in order to implement the recommendation of the ministry. He said that NRB alone cannot do anything if the government does not amends the working procedure.

About 700 people including entrepreneurs, businessmen and farmers were involved in the flower business with an investment of over Rs 6 billion in 43 districts before the pandemic. According to the association, the number of farmers and entrepreneurs has decreased by about 10 percent after the onset of the pandemic. Similarly, the association is also aware that more than 30,000 square kilometers of land used for floriculture is barren and other lands have not been able to produce at full capacity.