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Indian-owned firms in Ethiopia are making flowers the country’s third-largest export earner.
In the last five years, the Ethiopian floriculture industry has become the second largest flower exporter in Africa after Kenya and fourth largest flower exporter in the world. According to one estimate, the export value earned by the country is expected to rise up to $550 million by 2016.
Revenues from flower exports have grown from $27.9 million dollars in 2002-03 to $178.3 million dollars in 2010-11.
Ethiopia has a comparative advantage in the production of roses, especially with favorable climate conditions and availability of labour. The Ethiopian Government also offered incentives to investors.
“Ethiopia has the ideal climate, appropriate conditions and stable, year-round temperature that can ensure better production and quality flowers. The region is acknowledged as one of the best flower growing areas,” said the Ethiopian Horticulture Producers & Exporters Association (EHPEA).
Debre Berhan, at an elevation of 2,840 metres above sea levels, has the ideal climate to grow flowers. One Indian company, ASK Flowers and Greens Plc, is in Debre Berhan town in Amhara regional state, 130 km north of the capital Addis Ababa, which exports 1.2 million flowers a year to European, Middle Eastern and African markets.