current status of cut flower business in kathmandu
PRESENT STATUS OF CUT FLOWER
BUSINESS IN KATHMANDU: A CASE STUDY
Prof. D. D. Dhakal, PhD.
Department of Horticulture
IAAS, PG Campus, Kirtipur, Nepal.
Department of Horticulture
IAAS, PG Campus, Kirtipur, Nepal.
Table of contents
1. Introduction ..............................................................................................................................................3
2. Literature review.......................................................................................................................................3
2.1 World scenario of cut flower production............................................................................................3
2.2 National scenario ................................................................................................................................3
3. Material and Method................................................................................................................................4
4. RESULT AND DISCUSION ...........................................................................................................................5
4.1 Result ..................................................................................................................................................5
4.1.1 Production of cut flower..............................................................................................................5
4.1.2 Post harvest practices..................................................................................................................7
4.1.3 Marketing of cut flowers:.............................................................................................................8
4.1.4 Problems faced by Growers, Wholesaler and Retailer ..............................................................11
4.2.1 Prospects of cut flower in Nepal................................................................................................12
4.2.2 Export of cut flowers..................................................................................................................13
4.2.3 Requirement for the promotion of cut flower business............................................................14
PRESENT STATUS OF CUT FLOWER BUSINESS IN KATHMANDU: A
The study was carried out to give the figure of cut flower in Kathmandu.
This study was conducted by surveying of cut flower growers, wholesalers
and retailers with face to face interview method. Floriculture business is
expanding within the country and have important role in transferring
income from rich people and institute to low income people. About 635
Nursery/flora farms are existed in 36 districts. There are 5 wholesalers
and 60 regular retailers exist in present conditions. About 16 crores
annual turnoverof cut flower is recorded in 2069/70 which quite high than
previous years. It began with annual turnover of 0.22 crores in 1993/94.
Annual turnover in 2005/06 and 2008/09 was 2 crores and 3.5 crores
respectively. Cut flower business in Nepal is concentrated in Kathmandu
valley. Main cut flowers are; gladiolus, carnation, rose, gerbera which
are all round the year in Nepalese market while other are tulip, calendula,
statice, Lisianthus, orchid, tuberose, alstromeria etc. These are used in
many propose like in festivals, occasion and ceremony. The demand of cut
flower is increases year by year due to many causes like change in
culture, official habit, urbanization and awareness. Prospects of cut
flower business is high in country due to many causes like high demand,
high agro-ecological biodiversity, cheap labor and increasing tourist
destination along with increasing support of government floriculture
sectors through floriculture promotion policy 2069. Though, the cut flower
business is increasing in country, export of cut flower in foreign market is
negligible. For the export of cut flower Nepalese entrepreneur should care
on high quality, high quantity, continuity of supply and in competitive
price. For the promotion floriculture government should be there to help
entrepreneurs and they should go together.
Key words: cut flowers, growers, wholesaler, retailer, consumer,
Flowers are important part of human’s life from aesthetic to ornamental and environmental
point of view included in branch of horticulture called floriculture. Floriculture business
includes the production and trade of cut flowers, cut flowers, cut foliage, potted plants and
bedding plant. Floriculture business is the emerging business in Nepal and it is found to be
one of the major sectors to transfer income from high income group to low income group
(FAN, 2013a). Cut flower business is the emerging business and played significant role in
floriculture development. With the abundant biodiversity and various ecological zones Nepal
has very much potentiality of growing flower across the country.
Cut flower is part of plant characteristically including the bloom or inflorescence and some
attach part but not including root and soil which is cut from the plant bearing it. It has most
aesthetic value and religious value with other important aspect. Fresh cut flowers are used for
decorative purposes such as vase arrangement, wreaths and garland. In Nepal, fresh flower
mainly used in occasion like wedding ceremony, festivals, worship and other religious and
ritual activities. Fresh flowers are arranged in different form like bouquet, bunch, and basket
arrangement. These are used for gift purpose on occasion such as Valentine’s Day, Mother
Day, New Year, Christmas, Birthday ceremony, wedding ceremony etc. In Nepal, main cut
flowers grown are Gladiolus, Roses, Carnations, Gerbera, Tuberose, Statice, Lisianthus,
Calendula, Cymbidium Orchid, Chrysanthemum, Aster, Lily, Anthurium, Bird of Paradise,
There is tremendous growth of cut flower along with some seasonal flower and seed,
ornamental plant landscaping gardening. The export of flower increasing steadily where as
the import has been slow down. Floriculture business in Nepal is centralized in Kathmandu
Valley. The elevation and topographical condition of Kathmandu valley has been considered
suitable and as representative for carnation production in Nepal. Kathmandu Valley is located
in between 27° 28’ to 27°42' N latitude and 85°22' to 85°30' E longitude. Soil is also
favorable for the production of cut flower in Kathmandu. The production sites are located in
between the altitude of 1500-1550 meter above mean sea level (FAN).
Cut flower business is an important sector which can contribute to development of country by
many ways. Mainly people involved in this sector are low-income group of people like labor,
small growers and small entrepreneurs. So, this sector can directly help in transferring
income from a group of rich classes and institutions to low income groups and thereby play a
crucial part in poverty reduction and directly contributes to better living and environment. On
the other hand, it is an export potential industry and helps to earn foreign currency. Nepal as a
tourist destination has good market opportunity for cut flower. Floriculture business can
utilize the agro- biodiversity and helps in continuous employment and income generation.
• To find out the general trend of cut flower business in Kathmandu
• To assess the production of cut flowers in Kathmandu
• To identify the problems of related sectors of cut flowers
• To assess the prospects of cut flower business and export potentiality
2. Literature review
2.1 World scenario of cut flower production
The international trade of cut flower is a blooming industry with an average annual growth of
6% and an estimated global trade volume more than $ 100 billion. Europe is the major market
for cut flower and foliage. The main importers in world are Germany, the UK, the USA, the
Netherlands, France, Japan and Italy. The top five exporters are the Netherlands, Colombia,
Ecuador, Kenya and Israel. In export value the Dutch have a significant lead (Wijnanda,
2005). The main varieties of cut flowers grown are roses, gladiolus, carnation, and
chrysanthemum. Roses strongly dominate the floriculture sector in most countries. The
Netherlands is the biggest European producers of cut flowers and foliage and plays key role
in the distribution of flowers around the continent. Major consumer markets are Germany
(22%), the United States (15%), France (10%), the United Kingdom (10%), the Netherland
(9%), Japan (6%), Italy (5%) and Switzerland (5%) (Wikipedia, 2014).
Total exports of fresh cut flowers and foliage by all EU countries amounted to around
€.8billionin 2012 (intra- and extra-EU trade). Europe imports most of its flower from Africa,
with Kenya in the lead followed by Ethiopia, Zimbabwe, South Africa, and Uganda. The
Netherlands is the biggest exporter of cut flowers, with a total value of €3.1billion exported
mainly to the European market (2012). Ecuador has becomes in recent years the leading
south American rose producer and it is known through the world for its high quality large
headed roses due to altitude.
2.2 National scenario
Cut flower business is mainly centralized in Kathmandu than other city. But trend of cut
flower is expanding in other city like Pokhara, Narayangadh, Hetauda, Biratnagar, Dharan,
Dhangadi etc. (FAN Souvnier, 2014). The localization of business in Kathmandu is due to
access to consumer orientation and favorable natural condition. Another opportunity is there
are many consumers with sufficient purchasing power. The existence of large star hotel,
corporate office and national and international business house encourage the establishment of
cut flower business in Kathmandu rather than other city (Gauchan et al., 2009).
Floriculture industry is expanding in country. About 635 Nursery/flora farms are existed in
36 districts. In this sector about 40,000 people are engaged. Among these 5,000 people are
directly employed, 20,000 dependent in those employed and 15,000 are indirectly employed.
In cut flower Nepal is becoming self reliant in cut flower. Total annual turnover from the
flower in 2069/70 is 105.32. Total export of 10.96 and total import of 4 crores recorded.
About 16 crores annual turnover is recorded in 2069/70 which quite high than previous years.
It began with annual turnover of 0.22 crores in 1993/94. Annual turnover in 2005/06 and
2008/09 was 2 crores and 3.5 crores respectively. This shows that cut flower business is in
Floriculture in Nepal began some seven decades ago but formal business began only in the
early nineties. Formation of FAN resulted in more organized business (Pun, 2014). For the
promotion of cut flower business the FAN(Floriculture Association Nepal) was established in
collaboration with AEC(Agroenterprise center) in 15th
November 1992 with 10 founder
member. FAN focused on organizing and participating the traders of related business.
Promotional activities are organizing and participating in trade fairs and exhibitions, study
tours and observational visits, conducting market research and analysis. Basic aim of this
organization is to promote floriculture business in Nepal (FAN Souvenirs, 2014).
Floriculture business in Nepal is relatively new one which has shown its remarkable
development in last twelve years of organized efforts (Oli, 2004). From the study of buying
behavior of Nepalese consumer of cut flower, it is found that there is great rise in the
consumption of cut flower in Kathmandu (Shrestha et al., 2009).
3. Material and Method
This section includes the different tools and techniques of research process such as selection
of study area, methods and techniques of data collection and data management in the report.
These outlines are briefly discussed below
There were many nurseries in Kathmandu but these were scatter over the Kathmandu valley
so site was selected within a valley.
Primary data collection
During the study different nursery, whole seller and retailer of cut flower were visited. Three
different nurseries namely Kumari Flora Pvt. Ltd, Paknajol; Rakshya Nursery, Maharajgunj
and Abloom Flora Farm, Chitwan were studied. Similarly, two wholesaler of Kathmandu
valley namely United Flora Pvt. Ltd. and Global Flora Pvt. Ltd. were studied. To study the
value of cut flower survey conducted in retailers of different places viz Desigen’s Flower
and Gift Shop, Kamaladi; Lucky Fresh Flower, Maharajgunj; Rakshya flora, Maharajgunj
Secondary data collection
For this study different data available in FAN (Floriculture Association Nepal) were
consulted. Similarly, needed information was consulted on different literature like journal,
articles, booklets, magazine and available material in internet.
Technique of data collection and analysis
Questionnaire with face-face interview method to study the nursery of cut flower grower and
check list was used to collect information from retailer, whole seller and FAN. Secondary
data were collected through study of different articles, journal, books, booklets, records. Data
which are collected through these techniques are presented in table, graph etc and discussion
was done based on the information and experience of related persons.
4. RESULT AND DISCUSION
4.1.1 Production of cut flower
22.214.171.124 Main cut flowers
In Kathmandu mostly grown cut flower are Gladiolus, Carnation, Rose, Gerbera, Lisianthus,
Calendula, tuberose, Alstromeria, statice, Orchid,etc. Among these Gladiolus comes to first
in production and demand followed by carnation and rose. Production of gladiolus is high in
other districts like Chitwan, Makwanpur, Dhading, Kabhre etc. Production of orchid is very
few and cannot fulfill the demand. This is imported from Thailand. In Kathmandu production
of carnation is high as compared to other. Gladiolus, Carnation, Rose and Gerbera are the
main cut flower available year round in Kathmandu. Gladiolus, Tuberose and local rose are
grown in open field while Dutch rose, carnation and gerbera are grown under covered area.
126.96.36.199 Planting material
Planting material of different cut flower should import from different country. For carnation
tissue culture plantlets are used first and then for next season cutting is used. Tissue cultured
plants are imported from Spain and India. Similarly, Gerbera is propagated through tissue
culture and imported from other country. Gladiolus is propagated through bulbs which
produced within a country and some important varieties imported from Japan, Holannd.
Calendula, Statice, Lisianthus etc. are propagated by seed. Alstromeria recently used in trail
by Kumari Flora is propagated by tissue culture plant. Floriculture Co-Operative imports
planting material like seed, cutting, budding/grafting from other country and distribute to
many growers. Kumari Nursery also do the same work from private sectors. This nursery also
produces different types of seed for flowers and ornamental plant. Price of planting materials
different with different plant. Planting material for different plant is different and in Nepal
growers used following material.
Table: planting material and cost of planting material
S.N. Name of cut flowers Planting material Cost
1. Gladiolus Bulbs 5-6 per bulbs
2. Dutch rose Grafted plant 150 per plant
3. Carnation Tissue cultured plant 30 per plant
4. Gerbera Cutting
5. Tuberose Bulbs 4 per bulb
6. Calendula Seed 1 per seed
7. Statice Seed 3 per seed
8. Lasianthus Seed 3 per seed
Varieties: main varieties of cut flower grown in Nepal are given in table below,
Table: varieties of different cut flower grown in Nepal
S.N. Name of Cut
1. Gladiolus American Beauty, Cendiman, Interpret, Wedding bucket
2. Rose Dutch rose and Tata local rose (types of rose)
3. Carnation Standard (1 stick contain 1 flower), Spray (1 stick contain many)
4. Gerbera Mini (high no. small size), standard (less no. large size)
5. Tuberose Double variety
6. Calendula Crown orange and yellow gold
188.8.131.52 Fertilizer and manure used in the field:
Use of fertilizer is differs with different growers. Compost manure and poultry manure are
used by some grower as a main sources while NPK use from urea, DAP and potash by others
farmers. According to farmer practices generally 40:20:20 in first stage, 20:30:20 in second
stage and 10:10:20 NPK in third stage/flowering stage is done in carnation. Fertilizers are
applied split dose according to stage of growth and requirement in other types of cut flowers.
Along with these fertilizers liquid fertilizer/ multiplex is used. Bone meal also used but
grower experienced mite’s problem in carnation. As liquid fertilizer contains all type of
essential material it helps to maintain quality.
Drip irrigation is used by most of farmers and in some cases flooded method is used where
excess water is available. Though the initial cost of construction or arrangement of drip
irrigation is high, it is benefited in lateral stage. It saves the labor cost and water cost by using
less most efficiently. Approximately Rs. 150000 is required to set drip irrigation channel for
6 ropani land. Operation cost of irrigation for 15 Bigha is estimated about Rs. 2,00,000 for
gladiolus in Chitwan.
Yield of cut flower depends on various factors like varieties, season, and cultivation
practices. Some fluctuation found among the growers in yield like no. of stick per plant, time
productive life etc. Based on information provided by grower, yield of different cut flower
are given below in table,
S.N. Name of cut flower No. of
No. of stick per
plant per year
1. Gladiolus 6250 0.8 5,000
2. Carnation 1700 25 42,500
3. Gerbera 5000 20 1,00,000
5. Calendula 5000 10 50,000
6. Statice 1000 10 10,000
7. Rose 22500
8. Tuberose 7500
4.1.2 Post harvest practices
Currently, except for few organized, many small farmers do not practice any scientific post
harvest operations. Harvested products are immediately taken to local markets. In both
wholesale outlets and retail shops, the spikes are placed in buckets with normal water. There
is no specific post harvest facility in the wholesale market. Only one wholesale (Global Flora
Pvt. Ltd.) of cut flower has cold store in Kathmandu.
Grading: Grading isn’t generally practiced by farmers. Most of growers think grading is not
necessary in local market. But there are some standards to grade the high quality. For e.g.
Standard variety of carnation requires 1 m length and spray variety require 45 cm
inflorescence length. Similarly in case of rose, rose should be bud stage. Generally grading is
done on the basis size and no. of spike in gladiolus. Categories of gladiolus on the basis of
length as given, 60-70 cm, 70-90 cm, 90-100 cm, 90-100 cm and 100-110 cm. Size of bundle
is different for domestic market and Delhi market as information given by Abloom flora
Farm. For domestic market one bunch contains 50 spikes while for Delhi market it is 24 per
Packing/packaging: It is differs with different plant. No advances type of packaging
practices found in Nepal as all are produces for domestic market. Mostly carnation,
gladiolus, rose, astromeria, calendula, Lisianthus are packed in similar way. These are
wrapped with newspaper. One bundle content generally 20 stick. This bundle is wrapped by
newspaper. Putting 5 bundles together in one whole bundle formed. Gerbera packaging is
slightly different. The inflorescence part is put in a plastic cup to avoid the loss of petal and
packed same as above given flowers.
Storage: Cut flowers are highly perishable goods and cannot be stored for longer period of
time. If proper care is not taken post harvest loss will be high. So, cooling system is required
to preserve flower for longer period of time and fetch high price in main season of demand.
Mostly wholesalers and retailers keep cut flower in bucket containing fresh water. Sucrose
solution is only when cut flowers have to keep for longer period of time. In Nepal, only one
cold storage is conducted in Global Flora Pvt. Ltd. in Kathmandu Plaza. FAN (Floriculture
Association Nepal) assist Global Flora whole sell shop to keep cold storage as a trial one year
ago. In this cold store, temperature (4-6˚C) as well as humidity (80-90%) is maintained.
Mainly flower are preserved in off season of demand. For instance cut or fresh flower are
preserved in Chaitra 15-20 for on-season Baishakh which is wedding season. This cooling
system/cold store preserved flower up to 15-20 days according to nature of flower. Orchid
and Carnation can be preserved up to 20-25 days. One lakh flower can be stored in a time.
Load shading is biggest problem to conduct cold store. In retailer, some important fresh
flower and bead, bouquet, bunches are keep in refrigerator for short period of time.
4.1.3 Marketing of cut flowers:
Kathmandu is the main market for cut flower in Nepal. There are number of wholesaler,
retailer, and consumer in Kathmandu. The following pie-chart shows the situation of cut
flowers market in different districts of Nepal as data provided by FAN.
Fig. members of FAN for cut flowers in different districts
184.108.40.206 Marketing Channel
Marketing channel is a set of practices or activities necessary to transfer the ownership of
goods and to move good from grower to consumers. In Nepal generally growers make
available their produce in wholesale and retailers buys from wholesale and sell to consumers.
Wholesale is also responsible to import cut flower in peak demand period when domestic
product cannot fulfill demand. Similarly, export to India and other country is done by
wholesale market. Consumes buy cut flower from retailers and also order retailer if they
required high amount of fresh flower in occasion like wedding ceremony. Some institutions
which are regular consumer like hotel order cut flower in wholesale also.
Grower Wholesaler Retailer Individuals (consumers)
Fig: Marketing channel of cut flower in Kathmandu
220.127.116.11 Wholesale market
Wholesalers are those who involved in transaction of large volume of cut flower. Wholesale
markets are only exists in Kathmandu and 6 in number. These wholesale markets are
operated by private sectors. United Flora Pvt. Ltd., Global Flora Pvt. Ltd., Flora Nepal Pvt.
Ltd., Bagmati Flora Pvt. Ltd are major markets. Among the wholesale market United Flora
Pvt. Ltd. is the largest wholesale market located in Tripureswar, Kathmandu followed by
Global Flora Pvt. Ltd. located in Tripureswor and Kathmandu Plaza. Wholesale markets are
responsible for the marketing of cut flower in Nepal. They involve in collection of flowers
from growers and supply to retailer. Wholesale market of cut flowers in Nepal acts as a
commission agent which sells cut flower and keeps some commission generally 10%.
Wholesale shops are not responsible for the transportation of cut flower. Wholesale markets
are the link between grower and retailer. All the cost required to bring cut flower from field
to wholesale should bear by growers. Wholesale stored cut flower until sell. Price will be
fixed on wholesale shop based on the demand and supply. Wholesale market play significant
role in marketing of cut flower. So, marketing is not much problem for grower. They have
secure wholesale market. There is account pay system in united flora and Global flora. United
pays to grower in every week and Global pays in every 15 days through bank account.
Retailers are those people who sell small quantity of cut flowers to consumers. There are
many retailers in Kathmandu valley participate in the market and collect items of their
interest for further value addition. Value addition is done by making different items like
bouquet, bunch, basket decoration, bead etc. Retailers are ordered for car decoration, house
decoration by consumer in occasion like wedding ceremony. About 60 regular retailers of cut
flowers are existing in Kathmandu valley. Mainly available cut flowers in retailers are
gladiolus, carnation, rose, gerbera, tuberose, statice, lisianthus, orchid, marigold,
chrysanthemum (seasonal), lily(imported from India), sweetwillium etc.
18.104.22.168 Price of cut flower
Prices of cut flowers and other floriculture products in Nepalese market are determined based
on the seasons, demand and supply. Lack of proper post-harvesting knowledge and facilities
and unscientific storage system have constrained in ensuring stability in prices and proper
returns to the growers. Often seasonal demand cannot be fulfilled by the domestic supplies
and entrepreneurs import from India. On many occasions growers have to lose and for the
lack of demand flowers are thrown to garbage. One of the grower said that he could not sell
his gladiolus even in Rs. 5 in the month Jestha. Proper farm management and production
scheduling to match the market requirements have also become a crucial factor to the
growers. . For the lack of information price of a product is determined only after it arrives at
wholesale or retail counter in the market. In Nepal, price of cut flower is determined in
wholesale based on demand and supply. Wholesaler forecast the price according to demand
of regular and constant retailer and occasional demand by hotel, restaurant etc. Price also
forecast according to the supply of cut flower from grower. Grower finds his price only after
sell of his product by wholesale. Wholesalers have their grower member and regular retailer,
accordingly price is fixed in market. But none of organization has taken steps to devise
information system for floriculture products. Price of cut flower in retailer was found slightly
variation in different shop during the study.
Table: wholesale price of different cut flowers in 2005 and 2014
S.N. Name of flowers Price per stick
1. Gladiolus 4.45 8
2. Carnation 5.37 12
3. Rose 7 9
4. Gerbera 3 12
Source: Field survey and FAN
Table: retail price of different flowers in 2005 and 2014
S.N. Name of flowers Price
1. Gladiolus 8.5 15
2. Carnation 15.5 17
3. Rose 14 20
4. Gerbera 15.5 17
5. Tuberose 9.75 20
Source: Field survey and FAN
Price of other cut flowers in retail market are, sunflower- Rs. 20/ stick, lily- Rs. 150/stick,
orchid- Rs. 45, Sweetwillium- Rs. 60 etc.
Cut flowers are mainly used by office, bank, hotel, travels, home use, diplomatic mission,
individuals in festivals and occasion. Consumption trend of cut flowers in Kathmandu
according to the demand in recent years is given below,
Table: Consumption trend of cut flowers
Market Segments Trends for the last 2 years
Foreign diplomats and mission Constant
Wedding Receptions Increasing (Blooming)
Special occasions (Traditional, religions) Increasing
Welcome, Farewell and similar other Increasing
Birth, Death and other personal programs Increasing
Source: Interviews with the Flower Retailers
4.1.4 Problems faced by Growers, Wholesaler and Retailer
There are many problem faced by growers, wholesaler and retailers in cut flower business.
Some of the problems are lack of loan and subsidy, lack of technical manpower, problem in
transportation, lack of cold storage, load shading, low production technology etc. the
problem indicated by different stake holder of cut flower business during the study are
Problems experienced by grower:-
Disease and pest problem is the main problem.
Manpower related to floriculture and cut flowers are very few and problem related to this
like disease pest are some time unsolved.
Due to the lack of advance training on cut flower production, harvesting, packaging and
handling, grower are getting loss.
Lack of loan and subsidy from government.
Weak shade house and use of low technology.
Fluctuation in demand and supply is main problem in case of marketing.
Post harvest loss of cut flower.
Problems experienced by wholesaler:-
Lack of space is main problem in Kathmandu. As fresh flower are bulky and required
large space, it became a problem.
High rent value
Barrier in operating and expanding the business as they have no own building.
Problems of retailer:-
Loss during packaging and handling. About 20-30 sticks among 100 are seen break or
bend when taken from the wholesale. It is due to lack of knowledge about the post harvest
Post harvest loss occurs due to improper handling during transportation. Tight tide of cut
flowers in cycle and motor cycle, cause breaking of cut flowers in retail market.
Retailers have to sell their product within a weak otherwise they accrued loss as they lack
Fluctuation in price is also problem realize by some retailer etc.
This section deals with some aspects related with cut flower business in Nepal based on the
information provided by persons related with cut flower and from the review of literature.
4.2.1 Prospects of cut flower in Nepal
Dictionary meaning of prospects means the potential things that may come to pass, often
favorable or hope. Cut flower business in Nepal increases year by year as explain above,
this increasing business also show the higher prospects of cut flower business. There are
some reasons which show the prospects of cut flower in Nepal which are given below,
a. Increasing demand of cut flower
Demand of cut flower is increasing in the country. There may be many reasons to explain
this sentence. Some reason like change in culture, change in official habits, urbanization,
tourism sectors development etc might be major reasons. With the modernization,
awareness and globalization there is change in culture. Now a day for formality and fashion
people mostly used cut flowers as a gift. In addition to worship of god, people used flower
for different ceremonies like birthday, wedding ceremonies, in death, to meet patient,
reception to guest or for welcome, farewell, and other party. For the decoration of house,
room, car in wedding ceremony most of cut flower demanded. Similarly with globalization,
Nepalese are interested in western culture. Nepalese now days celebrate western festival
like Christmas, valentine day, new year etc. In this festival, demand of cut flower is very
high. Rose is consider as the symbol of love and its demand is much high in valentine day.
In Christmas day along with the Christmas plant fresh cut flower are demanded for garland
purpose. Along with these festival use of cut flower is increasing in national big festival
like Daishain, Tihar, Chhath etc.
Urbanization is one of the causes which increases the demand of cut flower. With the
urbanization there is less space for natural pleasure. So, people are attracted toward fresh
flower and natural things. Awareness in people is upgrading in recent year and this has
positive impacts on demand of cut flower. Official habits in different office in country are
going to change and people use fresh flower gift for welcome, farewell. Also fresh flower
are used to decorate their office. Another reason for increasing demand may be due to
expanding tourism sectors including hotels etc. Hotels are the constant and regular
consumer of cut flower.
This increasing demand of cut flower shows the ample scope for cut flower business in
country. Still the demand of domestic market is not fulfill by the domestic product. Many
hotels and traders import cut flower from India and other country. If domestic production is
high import will be substituted.
b. High Agro-climatic diversity and biodiversity
Nepal can utilize the higher agro-ecological diversity for the production of cut flower.
Nepal’s climate and abundant sunlight, appropriate soil and adequate quantities of water are
some benefits for cut flower production. All types of flower can be produce in the country.
Production is possible all round the year. For instance gladiolus can be produced in summer
season in Kathmandu while in Terai it is produced in winter. So gladiolus can be produced all
round the year in country. This shows the higher prospects of cut flower business.
c. Government supports for floriculture
Floriculture Promotion Policy 2069, which was approved by Government of Nepal in 2069-
8-29. The main goal of this policy is to increase production of flower and ornamental
produce and expanding floriculture business for creating employment opportunities,
imports substitution and export promotion by utilizing agro-biodiversity. This policy
accepts floriculture business as other business. So, governmental support in floriculture
business is increasing. This policy encourages foreign investment in Nepal in floriculture
d. Utilization of cheap labor
Comparatively labor cost is low in Nepal as compared to other developed country. This can
be one opportunity for foreigner to invest in Nepal as well for Nepalese investor. Now
expert believe that the production focus has moved from traditional growers to countries
where the climate are better and labor cost is lower. For instance, the Netherland has
already sifted attention from flower production to trade and new center of flower
production are Kenya, Colombia, Ethiopia, India etc. We can attract them in Nepal, for
e. Export potentialities
Nepal is a 147th
member of WTO since 2004. As a member of WTO it has much
opportunity in world market for export. By the utilization of abundant diversity and modern
technology Nepal can compete in world market.
4.2.2 Export of cut flowers
Though, floriculture business expanding in the country it could not export cut flower in
foreign markets. The demand of cut flower in golf country like Dubai, UAE, Malaysia and
Bangladesh is high. Nepal could not fulfill their demand. Even the country could not fulfill
the domestic demand in high demand period; it show further challenging for export. For
better export of cut flower four factors are realized by entrepreneur of cut flower business.
Continuity or regularity
They are high quality, large quantity, regularity or continuity and competitive price. Quality
is a first pre-requisite for export. Cut flowers should meet the international standards in
grading, packing and packaging, sanitary and phytosanitary measures etc. These four
requirements should meet at once for sustainable export. Foreigner demand high quality
product which meet the international standards, high volume which fulfill the demand, with
regularity in competitive price. In present context it is very difficult to meet these entire
requirements in Nepal. Nepalese floriculture industry is running in low technology with low
investment. Even if we meet one criterion, another criteria becomes unfavorable. Quality
can meet but quantity will less and costs will high which could not compete in international
market. If producer only focused on quantity; quality and continuity will be unfavorable. It
is most challenging to meet these entire four requirements at a time. So, Nepal is failed to
export in international market.
For the international market, ornamental plants require facility to grow up on specific
media (out of soil). Nepalese growers have not so far practiced growing up in such media.
Moreover, entering to international market, need adequate knowledge on technicalities and
rules, regulations, standards and sanitary and phytosanitary (SPS) requirements. Nepalese
entrepreneurs have to be conscious in adopting scientific post-harvest practices that are
crucial to retain flowers and other products fresh for a longer time. In particular,
international market requires cut flowers harvesting at specific stages and have to be fed by
10 percent sucrose in bacteria free water for 12 hours. After this flowers should be kept in
cooling storage for minimum of 20 hours in a temperature of 2 to 4o
C and 75 to 80 percent
RH. Even the grading and packaging should be done in cooling area. Delivery van, waiting
lounge in airport and storage area and the air cargo boxes also need the specified cooling
system. Without these proper procedures, products are not accepted in the international
market and this could be one of the most challenging issues for Nepal, in its attempt to
target overseas markets.
4.2.3 Requirement for the promotion of cut flower business
Cut flower business is emerging business in Nepal but still it required some condition for
success. Some requirements for production to marketing are realized by entrepreneur.
According to Liemt (2000), successfully growing flowers requires:
1. Good physical conditions: high light intensity, abundant water, clean soil (or the use of
hydroponics), good climate.
2. Appropriate seeds and planting material.
3. Capital for investments and working capital.
4. Productive and skilled labour.
5. Expertise in growing techniques.
6. Good management and organizations.
7. Pesticides and other chemicals.
8. Energy for heating.
10. Quality consciousness all along the production and post-harvest chain. Cut flowers have
a highly perishable nature and the deterioration starts at the moment of harvesting.
These are some requirement related to the production but for the market potentiality further
items are required. Liemt listed some items as given below,
11. Adequate logistic structure for exporting.
12. Adequate supply chain infrastructure, including post-harvest treatments and a network
of supplying industry.
13. Knowledge of the destination markets, especially the consumers’ preferences and their
dynamics. Emotion is one of the main attributes of flowers. Fashion trends or crazes are of
importance for, for instance, the type and colour of flowers.
14. Knowledge of strengths and weaknesses compared to the competitors.
15. Knowledge infrastructure has to be innovative and responsive to the requirements of the
16. Meeting the international trade standards. For propagation inputs (nursery stocks or
seeds) acceptance of the Union International pour la Protection des obtentions Vegetables
(UPOV) regulations is highly desirable. An adequate phytosanitary control system in the
production country is necessary for exporting.
For the promotion of cut flower business in Nepal, entrepreneurs demanded following
Loan and subsidy
Research on breeding, greenhouse technique, post harvest handling, growing
technique and economics and marketing
Effective extension, education and training
Effective implementation of floriculture promotion policy
Cold storage in TIA(Tribhuvan International Airport)
Infrastructure like road, electricity, irrigation facility
For the fulfillment of these requirements government and private sectors should work
For the development of floriculture industry and cut flower promotion government should be
there. The role of research and extension can work closely with private sector as so as to
improve the product and make it more competitive. Nepal has a tremendous potentiality and
possibility for cut flower business. Floriculture business is expanding but still failed to export
in foreign market. Main cause for failure may be Cut flower industry is running on low
production technology and should go for high tech. From government site effective research
and extension are needed. Government and private sectors should work closely for the
promotion of floriculture.
FAN. 2013. Floriculture 2nd
International Flora Expo 2014, Souvenir. Floriculture
Association Nepal, Kathmandu.
Floriculture Association Nepal (FAN). 2013. Short Study Packaging and Handling Method of
Cut Flowers Using Different Techniques, Final Report. Floriculture Association Nepal/
Project for Agriculture Commercialization and Trade(PACT), Kathmandu, Nepal.
Gauchan, D. P.; A. R. Pokherel; M. Pratap & P. Lama. 2009. Current status of cut flower
business in Nepal. Kathmandu university journal of science, engineering and
OZY Magazine. 2014. Global flower trade. OZY Magazine. Available In:
www.ozy.com/acumen/global-flower-trade/6438.article. Retrieved on: 2014/4/11
Pun, U. 2013. Two Decades of Floriculture Journey in Nepal. In: Souvenir on Floriculture
International Flora Expo 2014. Floriculture Association Nepal (FAN), Kathmandu,
Wijanands, J. 2005. Sustainable International Network in the Floriculture Industry, Bridging
Emperical finding and theoretical approach. Scriptia Horticulturae, Number 2.
International Society for Horticultural Science
Wikipedia. 2014. Cut flower. Retrived April 23, 2014, from www.wikepedia.org/wiki/cut-
Shrestha, E., J.B. Tamang, L.N. Gaire, and U. K. Pun. 2009. What is the Buying behavior of
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Fair-2009. Floriculture Association Nepal (FAN), Kathmandu, Nepal. Pp.1-3
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Cut flower growers (Member of FAN)
S.N. Name of nursery Owner Address
1. Parijat Nursery Rajendra Rai Barikhel Godawari, Lalitpur,
2. Honkey Rai & Sons Honkey Rai Kathmandu, Nepal
3. The Standard Nursery Suresh Bhakta
Sai Marg Basbari, Kathmandu
4. Flora Nepal Pvt. Ltd Chandra Kumar
Golchha House, Ganabal,
5. Everest Floriculture Pvt.
6. Pakhrin Nursery Deepak Pakhrin Meghauli, Chitwan
7. - Man Dhoj Thapa Chhalnakhel V.D.C.-6,
8. Gai Goath Farm Minerwa Bista Kathmandu, Nepal
9. Rudyn Agri Flora Nepal
Naresh Pradhan Jamsikhel, Lalitpur
10. New B.S. Flower Nursery Mohan Bikram
Bunagamati-9, Lalitpur, Nepal
11. - Narayan Sharma Ratnanagar-8, Chitwan, Nepal
12. Annapurna Agriculture and
Lok Nath Gaire Bhuwanbast, Chitwan
13. Women in Floriculture Sabanam Shrestha Kamaladi, Kathmandu
14. Adrasha Nursery Ram Badal Shah Ramananda chowk, Janakpur
15. Flora Friends Raju Shahi Chabahil, Kathmandu
16. Green Plants Farm Tapas Thapa Lokanthali, Bhaktapur
17. Green Orchid Nursery Deepak Chandra
18. Micro Plants Nepal Pvt.
19. Kumari Flora Pvt. Ltd. Prabindra
20. ---- Tanka Bahadur
Bhaisepati Saibu-1, Lalitpur
21. Binayak Flora Farm Nanda Lal
22. Chitwan Floriculture and
Neelam Shrestha Bharatpur, Chitwan
23. Cut Flower Grower Kabiram Basnet Sipadol VDC-2, Bhaktapur
24. SIAM Floritech (Nepal) Mandir Shrestha Kathmandu, Nepal
25. Bagalamukhi Nursery Sagar Lal Mulmi Jawalakhel, Lalitpur
26. Bagmati Flora(p) Ltd. Sanjeeb Karki Kathmandu Plaza, Kamaladi,
27. Suman Brothers and Sons Uma Shankar
28. Scott Sunrise Orchids and Gayatri Thapa Maharangunj, Kathmandu