What’s behind Kenya’s 60% drop in flower production?

Kenya's once thriving flower industry is facing a significant setback with a 60% drop in production this season due to a combination of factors ranging from bad weather conditions to delayed farm inputs and the impact of the coronavirus outbreak. The flower industry, which had shown promising growth in recent years, has now been hit hard with reports of layoffs and complaints of high costs and reimbursement issues. Alex Owiti, Communication Consultant of the Horticulture Industry in East Africa, highlighted the challenges faced by the industry in a recent interview on CNBC Africa. The heavy rains that have plagued Kenya for several months have had a detrimental effect on flower production, leading to a decline in quality and an increase in costs. The excess rainfall has disrupted the delicate balance of sunlight and water needed for healthy flower growth, resulting in a spike in the prices of flower stems from 20 to 50 Kenya shillings. This has not only impacted the demand for Kenyan flowers but has also created financial strains for flower farms, with many struggling to cover basic operational costs. The repercussions of the production drop are not limited to the flower farms alone. The aviation industry, which plays a crucial role in transporting Kenya's flowers to international markets, is also feeling the pinch. With reports of airlines losing millions daily due to the coronavirus outbreak and the subsequent halt in flights, the flower industry is facing a potential collapse if the transportation issues persist. The halt in Chinese flights, in particular, has raised concerns about the future of Kenya's plans to establish a flower auction base in China. Despite the challenges, there is a glimmer of hope on the horizon for the Kenya flower industry in the form of potential trade opportunities post-Brexit. President Uhuru Kenyatta's recent visit to the United Kingdom to discuss bilateral trade agreements with Prime Minister Boris Johnson has opened up new possibilities for Kenya's flower exports. With the UK offering duty-free tariffs to Kenya post-Brexit, there is a chance for the country to increase its export volume to Britain and potentially reduce its dependency on the Dutch flower auction market. Looking ahead, experts suggest that Kenya needs to focus on diversifying its exports and strengthening its currency to cushion itself from the volatile global markets. By continuing to export more goods and reducing trade deficits, Kenya can aim for a more robust economy and sustain its growth projections. The World Bank's statistics forecast a long-term growth rate of 6% for Kenya's economy, indicating the country's potential for economic resilience and expansion in the coming years.