Institutional arrangements and Institutional arrangements and quality standards for Indian quality standards for Indian

insertion into established cut insertion into established cut flower global value chains.flower global value chains.

Jasmine GloverPhD Researcher

School of Geosciences

1

Starting note…..• Many Indian cut flower product is of a

superior quality• Potential for success in this area is high• There is a need for:

– Increased capacity– Cooperation– Superior quality standards– Consistent supply

Outline• The global cut flower industry

• Timing of consumer demands

• India’s exports

• The domestic market

• International v’s Domestic Markets

• Quality standards

• Conclusion

The global cut flower industry

When consumer’s buy flowers• Valentine’s Day

• Mother’s Day

• Christmas

• Other holidays

London on Valentine’s Day 2008

New Shades

The competition

India’s exports

2004/5 2005/6 2006/7

Japan 1585 5641 32553

United States 5169 7588 7498

Netherlands 2894 2741 4472

UK 2656 3085 3600

Germany 2200 2433 3097

* * *

TOTAL 22110 29941 64983

Source: APEDA Quantity in Lakh Rs.

India’s domestic market

International v’s Domestic Market• High freight costs• Duties into EU• High-end = high price• High quality demands• Fierce competition• Indian Market Facilitation

centre in Netherlands • Subsidies available• India’s reputation poor

• Lower freight costs• Lower price• Low quality demands• Not a saturated market• Rapid growth• Intimate knowledge of

own country• Subsidies available• Consumers still need

educating

Quality Standards• Key to achieving success in the cut

flower industry is QUALITY.

• Not just meeting minimums, but exceeding them and pushing up your price.

• International standards

• High-end

Conclusion• India is favoured with many positive

attributes

• Quality must be addressed

• Cooperation and working together will enable success