The ongoing conflict in the Middle East threatens to paralyze the floriculture sector in Kenya.
At Isinya Flowers, 56 kilometers south of Nairobi, Kenya, flower exports have plummeted by 50% due to the crisis. The region is a crucial market for the company, second only to Europe, which accounts for up to 70% of its business.
"For us, the Middle East represents about 20 to 25% of the products we previously sold in that region. Now, if (the war) continues, the consequences will be more serious than those of COVID. The impact will be greater than that of COVID, during the COVID period," said Anantha Kumar, Commercial Director of Isinya Flowers.
According to the Kenya Flowers Council, a private sector organization representing producers and exporters of cut flowers and ornamental plants in Kenya, the ongoing conflict has resulted in more than $4.2 million in losses over the past three weeks.
“We estimate that if this situation continues, we risk losing more than US$1.8 million every week due to products that cannot leave the country because of these disruptions. In the last two weeks, I have heard of seven producers who primarily supply the Middle East and who are literally grounded. Some of them are even considering reducing their operations to the levels we were at during the COVID pandemic, in terms of production, labor, and harvest. The situation is therefore dire,” emphasizes Clement Tulezi, Executive Director of the Kenya Flower Council.
Producers in this sector, valued at over $800 million according to the Central Bank of Kenya, said flower exports have been severely affected by both a drop in demand and disruptions in shipments to the Middle East and Europe.
