India's flower exports have dipped by 48 per cent to Rs 338 crore in FY'08, mainly due to scattered farming and non-adoption of the latest varieties.
According to official data released recently, export of floriculture products, dominated by cut roses, was Rs 338.01 crore last year compared with Rs 652.69 crore in 2006-07.
Exporters blame the decline on emergence of more number of small producers in the sector hit by rising input cost. The reluctance to grow latest varieties is also another factor that contributed for the decline in export, they added.
"There are a large number of small farmers in this sector, who are concentrating more on domestic market as cost of fertiliser has increased," said Shyamal Adhikari, General Manager (export) in a leading flower firm Karuturi Networks.
He said small farmers with a production capacity of 8,000-10,000 stems cannot afford to grow latest varieties, which are in demand in the overseas markets because the royalty is very high.
Though major international breeders are present in India, they charge very heavily on royalty, exporters complain and said that this factor dissuades farmers from growing latest varieties of flowers.
"Quality is also an issue as European market is very particular about the flower quality," he added.
However, Indian Flower & Ornamental Plants Welfare Association President Jafar Naqvi said the fall in export should be looked in holistic way as domestic market has also been growing.