Tuesday, June 21, 2011

EDUKASYON AT IBA PA: Cut Flower Production

EDUKASYON AT IBA PA: Cut Flower Production: "CUT FLOWER PRODUCTION IN THE PHILIPPINES Teresita L. Rosario Produced by: Regional Office for Asia and the Pacific 1. Introduction ..."

EDUKASYON AT IBA PA: Cut Flower Production

EDUKASYON AT IBA PA: Cut Flower Production: "CUT FLOWER PRODUCTION IN THE PHILIPPINES Teresita L. Rosario Produced by: Regional Office for Asia and the Pacific 1. Introduction ..."

EDUKASYON AT IBA PA: Cut Flower Production

EDUKASYON AT IBA PA: Cut Flower Production: "CUT FLOWER PRODUCTION IN THE PHILIPPINES Teresita L. Rosario Produced by: Regional Office for Asia and the Pacific 1. Introduction ..."

Cut Flower Production

Teresita L. Rosario
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1. Introduction
   The Philippine Ornamental Horticulture Industry has come a long way since the 70's when cut flowers were considered its major component and the growers were hobbyists or plant enthusiasts. In the mid 80's the industry became a huge income source and potential for a foreign revenue earner. Interest in the commercialization of horticultural products grew to a point where the government recognized its importance and contribution to the local economy. The number and size of farms had continued to increase adopting modern technologies where appropriate and in some cases foreign technology was sourced to boost production and quality. Promotion on the use of Ornamental Horticulture products increased people's awareness of the benefits that can be derived from the industry.
  The floriculture industry in the Philippines is almost synonymous with the ornamental horticulture industry; the former connotes flowers; the latter, includes flowers and other ornamentals. The country offers the following horticultural products for both domestic and external trade:
  • Cut flowers - fresh flowers and flower buds that have been cut from the plant suitable for bouquets, wreaths, corsage and special flower arrangements.
  • Foliage and other plant parts - fresh leaves and branches of trees, shrubs, bushes and other plants, grasses, mosses, lichens and the like suitable for ornamental purposes.
  • Dried ornamentals - dried, dyed, bleached plant materials such as grasses, statice, eucalyptus.
  • Other ornamentals - trees, shrubs, bushes, roots, cuttings and slips used indoor or for landscape purposes.
  The phenomenal growth of the Ornamental Horticulture Industry in the last few years has led the Department of Agriculture to include the cut flower in its Key Commercial Crop Development Program (KCCDP) for 1996 - 2000. The Department of Trade and Industry adopted the ornamental crops as its "Export Winner" and the Department of Science & Technology recognized it in its Science &   Technology for National Development (STAND 2000). Young as it is, the industry has shown its vital role in the local economy, and slowly it is penetrating the export market and emerging as a true global competitor.
2. Present Situation of Cut Flower Production
  Cut flowers are grown throughout the Philippines but the industry was originally confined only to a few, small growers. In the last few years, an increased awareness and recognition of high return on investments, rapid population growth, higher standard of living, more hotels and restaurants, influx of tourists has led to more demanding and choosy clients. An increased demand triggered more production but despite the larger area devoted to cut flower, there is still a short fall in the supply. The demand for the domestic market is so big that the country has no option but to import some cut flowers, mainly chrysanthemum and orchids from other countries. This is strongly evident during Valentine's Day (Feb. 14), All Saint's Day (Nov. 1), School Graduation (March and April), May Flower Festivals and Yuletide Seasons (December). The major commercially grown cut flower varieties in the Philippines and their area of cultivation are shown in Tables 1 and 2.
In general, gladioli, aster, sampaguita, chrysanthemum and heliconias are grown in the open field. Depending on the cultural and light requirements of the cut flowers grown, greenhouses and net houses are usually constructed both in the highlands like Benguet and areas of low elevations. Semi-terete vandas are grown in the open, usually mounted on driftwoods; strap leaf vandas and dendrobiums on commercial basis are usually protected by 2 - 3 layers of fish nets and raised in pots/baskets.
  Anthurium production generally uses a more advanced technology - in greenhouse complete with computerized fertigation facilities. In some areas, net houses provide the necessary light requirements of the cut flowers.
 Roses are grown either in the open or in greenhouses, the same is true with the gerbera. Greenhouse structures protect the cut flowers from the intense heat of the sun and heavy rains. Cultural and management practices are also easier to control inside and can be scheduled regularly regardless of the weather outside.
  The flowers of Jasminum sambac or sampaguita are usually used as leis or garlands usually with religious connotations. The plants are grown near houses or along roadsides for easy access and convenience on the part of the grower.
  Flowering is controlled in chrysanthemum and aster production, usually in the form of supplementary lights. Sometimes growth regulators are applied in chrysanthemums if they are intended as potted flowering plants.
  Cold storage to break the dormancy of corms and cormels of gladiolus is available. Post harvest facilities for cut flowers are also available at the University of the Philippines, Los Banos. Big growers have their own storage facilities.
3. Production of Planting Materials
  Depending on the kind of cut flowers grown, planting materials are produced through cuttings, bulbs, tubers, corms, tissue culture, embryo culture, etc. For orchids, community pots, flasks/culture bottles, top cuts and overgrown seedlings are purchased either from abroad (Malaysia, Thailand, Hawaii) or from local nurseries. From the initial purchase, the cut flower grower can produce some of his planting materials for the farm.
  Chrysanthemums are propagated mainly by cuttings, roses by budding, marcotting and cutting, anthurium by division or production of suckers, gladiolus through corms and cormels, heliconias by division. For big farms, the initial planting materials are imported, as in anthurium and chrysanthemum.
Table 1. Major Producers of Cut Flowers in the Philippines
Cut Flower
Luzon
Visayas
Mindanao
Orchids
Laguna, Batangas
Cebu, Negros Occidental 
Davao City, South Cotabato
Anthurium
Laguna, Benguet, Cavite, Batangas
Negros Occidental
Davao City Cagayan de Oro City, Bukidnon 
Roses
Benguet, Cavite, Batangas, Tagaytay
Cebu, Iloilo, Negros Occidental 
Davao City
Chrysanthemum
Laguna, Benguet
Cebu
Davao City 
Gladiolus
Benguet, Laguna
Cebu
Heliconias
Laguna
Negros Occidental
Zamboanga 
Gerbera
Laguna, Batangas
Cebu
Davao City 
Carnation
Benguet 
Aster
Laguna 
Shasta Dasies (Chrysanthemum maximum) 
Benguet
Zantedeschia aethiopica 
Laguna, Batangas, Benguet
Cebu
Jasminum sambac (Sampaguita) 
Laguna, Pampangas
Lilium (Oriental & Asiatic) 
Laguna, Batangas, Benguet
Davao City
Statice (Limonium sinuatum) 
Benguet

Table 2. Varieties of Cut Flowers Commercially Grown in the Philippines
Roses
Mums
Orchid
Anthurium
Gladiolus
Liliums
Heliconia
Red Success
Mercedes
Golden Times
Texas
White Liberty
Jacaranda
Raphaela
Athena
 
Regan Series
Fuji Series
Taiwan Yellow
Puto Puto
Jaq-Hawaii ‘Uniwai Pearl’
Jaquelyn Thomas
Singapore White
Sonia ‘alba’
Walter Oumae
White Fairy
Sonia
Tuang Pink
Waipahu Beauty
Burana Jade
Burana Fancy
Chark Kuan Pink
Chark Kuan Blue
Chark Kuan Orange
Chark Kuan Red
Saleha Alsagoff
Sumalee
 
Nitta
Kaumana
Chandler
Midori
Margaretha
Fantasia
Tropical
Paradiso
Lambada
Merengue
Leigh
Mauricia
Friendship
Spic & Span
Stargazer
Cordelia
Parrot
Parakeet
Sase
Jacquinii
Bihai
Caribbean Yellow
Caribbean Red
Kathy
Southern Cross

   Mist beds for rooting the cuttings and laboratories for embryo and tissue culture of orchids are available. Government agencies like universities and state colleges, regional offices of the Department of Agriculture and Department of Science and Technology usually offer services for embryo culture of hybrids produced by the grower for a small fee. In this manner, the grower can have his own planting materials. These agencies also sell their own produce to the public. Several growers specially the orchid breeders have their own laboratories and offer their hybrids for sale.
4. Marketing
  The key players in the marketing of the cut flowers in the Philippines are the breeders/growers, input suppliers, traders, cooperatives, transporters, brokers, exporters, importers, institutional buyers and walk-in consumers.
  New and improved varieties of cut flowers form the backbone of the industry. Breeders, therefore, play an important role by developing the varieties and hybrids and help in the production of planting materials for the commercial growers. Input suppliers include the distributors and dealers of farm chemicals like fertilizers, pesticides, growth regulators and the like.
  The traders can be individuals or groups of individuals who distribute cut flowers from the producers to the demand site. The traders could be assembler-wholesalers, assembler-wholesalers-retailers, commission agents, wholesalers, florists, retailers or vendors. Alternatively, members of cooperatives grow cut flowers and the organization itself may handle the selling and distribution of its produce to buyers.
  Transport of cut flowers is performed both by land and air e.g. planes, buses, vans, and jeepneys. Processing of papers of imported cut flowers and other supplies are performed by the brokers. Cut flowers are exported by corporations, organizations and individual entrepreneurs. Institutional buyers include hotels, restaurants, banks, offices, hospitals and churches.
  The quantity purchased by walk-in customers is minimal, depending on the occasion. Employees, students and housewives are the most common walk-in customers.
There are no auction centres in the Philippines. There are only a few cooperatives that market their produce. Attempts have been made by some people to channel their cut flowers through their cooperatives but somehow, it is easier and more convenient to sell their produce individually.
Export of cut flowers is on a limited scale, with gladiolus topping the kind of cut flower exported.     Almost all of it, which is about 46% of the total export, goes to Korea (Table 3). The other cut flowers exported to Japan, Brunei, Hongkong and Italy include anthuriums, liliums, and roses (Table 4). More than half of the exported cut flowers go to Japan.
  A list of cut flowers imported in the Philippines is shown in Table 5. Chrysanthemums and carnations constitute the bulk of imported flowers from Australia, Holland and Malaysia. Almost half of the flowers are imported from Holland (Table 6).
Table 3. Cut Flowers Exported, 1996
Cut Flower
Country
% Share
Gladiolus
Korea
46.10
Anthurium
Brunei, Japan
43.49
Liliums
Japan
8.93
Roses
Hongkong, Japan
1.33
Orchids
Italy, Japan
0.41

Table 4. Export Markets of Philippines Cut Flowers for 1996
Country
Cut Flower
Quantity (Kg)
% Share
Japan
Anthurium 
9,358.62
53.48
Liliums 
1,933.92
Roses 
279.50
Orchid
6.00
Korea
Gladiolus
10,000.00
46.19
Brunei
Anthurium
55.62
0.25
Hongkong
Roses
10.00
0.046
Italy
Orchids
3.00
0.013
Source: Bureau of Plant Industry Quarantine Division, Department of Agriculture.
Table 5. Philippines Cut Flower Importation (1996)
Cut Flower
Country
Quantity (Kg)
% of Total Importation
Chrysanthemum
Australia 
102
36.98
Holland 
8,389
Malaysia 
13,566
Singapore
586
Carnation
Australia 
638
22.05
Holland 
7,691
Malaysia 
5,097
New Zealand
80
Pompom
Holland 
176
7.29
Malaysia
4,292
Roses
Australia 
55
6.81
Holland 
3,069
Malaysia 
513
New Zealand 
145
Thailand 
60
USA
332
Amaranthus
Australia 
990
5.35
Holland 
2,226
New Zealand
60
Alstroemeria
Australia 
990
5.35
Holland 
2.226
New Zealand
60
Lilium
Australia 
301
4.19
Holland 
1,984
Malaysia 
141
New Zealand
141
Gerbera
Australia 
78
3.79
Holland 
1,976
Malaysia 
257
New Zealand
15
Anthurium
Australia 
428
3.58
Holland 
1,545
Malaysia 
202
New Zealand
10
Tulip
Australia 
57
2.95
Holland 
1,629
New Zealand 
71
USA
50
Misty Blue
Australia 
72
1.60
Holland 
61
Malaysia
852
TOTAL
61,224
Source: Bureau of Plant Industry, Quarantine Division, Department of Agriculture.
Table 6. Suppliers of Cut Flowers to the Philippines (1996)
Country
Cut Flower
%Share
Holland
Tulip, Roses, Protea, Pompom, Peacock, Misty blue, Limonium, Lilium, Iris, Holland, Gypsophila, Gladiolus, Gerbera, Freesia, Banksia, Alstroemeria, Aster, Anthurium, Amaranthus 
50.83
Malaysia
Roses, Pompom, Phoenix, Peacock, Misty Blue, Limonium, Lilium, Gerbera, Freesia, Chrysanthemum, Carnation, Baby’s Breath, Aster, Anthurium 
39.75
Australia
Amaranthus, Anthurium, Alstroemeria, Baby’s Breath, Banksia, Carnation, Chrysanthemum, Freesia, Gerbera, Iris, Lilium, Misty Blue, Protea, Roses, Tulip 
6.84
New Zealand
Amaranthus, Anthurium, Alstroemeria, Banksia, Carnation, Freesia, Gerbera, Lilium, Roses, Tulip 
.98
Singapore
Chrysanthemum 
.89
USA
Roses, Tulip 
.58
Thailand
Anthurium, Roses 
.10
Source: Bureau of Plant Industry, Quarantine Division, Department of Agriculture.
5. Potential for Cut Flower Production Development
  The country has its strengths for cut flower production. It has an ideal climate for year round production with the capability to grow both tropical and subtropical varieties.
  Considering the wide availability of land waiting for tillage and production of agricultural crops, it would not be difficult to produce cut flowers since suitable production techniques are already available. The richness and diversity of Philippine flora allows the development of varieties of cut flowers with endemic species as parents. A very important factor that contributes to the cut flower production in the Philippines is the existence of a very active horticulture association, of which commercial growing of cut flowers is one of the main objectives.
  The Federation of Cut flower and Ornamental Plant Growers, a non-stock, non-profit private organization was formed in 1990 with the support of the Department of Agriculture to assist the government develop the cut flower industry. Its main thrust is service in the different fields where technical manpower support is lacking. The services are on consultation, skills and training, involvement in the marketing of the products of the growers, establish linkages with non-government organizations like USAID, JICA and Dutch-Flamingo International (FMD). The Federation is involved in advocating new policies for the improvement of the industry and its members.
  There is still a substantial shortage of supply of cut flowers in the Philippines. Importation of cut flowers from other countries is quite substantial (Tables 5 and 6). Hence, by stepping up the cut flower production within the country, a substantial amount of foreign exchange can be saved.
6. Constraints in Cut Flower Production Development
  The high cost of structures like greenhouse, irrigation and postharvest facilities are some of the major constraints to the producers of cut flowers. The availability of quality planting materials most of which come from abroad is sporadic. For new varieties/types of cut flowers like lilium, gerbera and calla, production technology is still insufficient. With new production technology comes the introduction of new agricultural chemicals which are not readily available locally and work out very expensive when imported. This is coupled with high import duties on other inputs too.
  Access to credit sources is also another major problem confronting the growers. The interest rates on loans offered by institutions are high. Growers of roses, chrysanthemums, gladiolus, orchids and anthuriums are in need of financial support during the initial stages of production. Collateral requirements demanded by lending agencies are rarely met and the grower faces the dilemma of whether to continue cut flower growing or not.
  On the part of the exporters, there is a shortage of cut flowers volume wise and quality wise. The small growers can not compete with big growers. It will be easier to meet the quality, but the volume needs more attention.
  The cut flower industry is still in its juvenile stage and not much information on the feasibility and prospect of the business is available. Hence, investors are slow in getting into the business since lending agencies or banks always demand feasibility studies. Big growers are quite hesitant to provide information because of inherent competition.
Department of Horticulture, University of the Philippines at Los Banos, College, Laguna, Philippines.