Berliner Boersenzeitung - No bed of roses for Ecuador's flower industry

EUR -
AED 4.00597
AFN 73.797772
ALL 98.646717
AMD 422.230181
ANG 1.966152
AOA 991.471908
ARS 1068.85851
AUD 1.622208
AWG 1.963746
AZN 1.853094
BAM 1.953368
BBD 2.202657
BDT 130.367074
BGN 1.955091
BHD 0.411093
BIF 3218.30744
BMD 1.090667
BND 1.426118
BOB 7.554559
BRL 6.103594
BSD 1.090937
BTN 91.715079
BWP 14.50687
BYN 3.570106
BYR 21377.072086
BZD 2.198972
CAD 1.505191
CDF 3138.939176
CHF 0.940531
CLF 0.036634
CLP 1010.840865
CNY 7.730864
CNH 7.736099
COP 4590.878924
CRC 564.39465
CUC 1.090667
CUP 28.902674
CVE 110.128377
CZK 25.261262
DJF 193.833274
DKK 7.459987
DOP 65.628282
DZD 145.490606
EGP 53.003686
ERN 16.360004
ETB 131.057811
FJD 2.45433
FKP 0.834545
GBP 0.834889
GEL 2.961162
GGP 0.834545
GHS 17.378282
GIP 0.834545
GMD 74.713545
GNF 9411.324523
GTQ 8.436495
GYD 228.234764
HKD 8.466384
HNL 27.147197
HRK 7.513638
HTG 143.621168
HUF 400.848492
IDR 16992.481908
ILS 4.102331
IMP 0.834545
INR 91.66374
IQD 1429.120514
IRR 45919.806064
ISK 149.290479
JEP 0.834545
JMD 172.704954
JOD 0.772954
JPY 163.221564
KES 140.728795
KGS 93.246753
KHR 4431.380639
KMF 490.251101
KPW 981.600003
KRW 1480.242364
KWD 0.334486
KYD 0.909064
KZT 529.348449
LAK 23925.318789
LBP 97691.110908
LKR 319.64053
LRD 209.997556
LSL 19.126984
LTL 3.220456
LVL 0.659733
LYD 5.228466
MAD 10.694832
MDL 19.270916
MGA 5018.773822
MKD 61.523264
MMK 3542.443687
MNT 3706.086303
MOP 8.726314
MRU 43.189025
MUR 50.411019
MVR 16.741817
MWK 1891.553381
MXN 21.180447
MYR 4.688767
MZN 69.686829
NAD 19.126984
NGN 1783.463487
NIO 40.149823
NOK 11.783937
NPR 146.744606
NZD 1.791312
OMR 0.41988
PAB 1.090942
PEN 4.063721
PGK 4.290677
PHP 62.629914
PKR 303.000726
PLN 4.293361
PYG 8538.36835
QAR 3.976667
RON 4.973874
RSD 117.01549
RUB 104.26924
RWF 1469.649836
SAR 4.095375
SBD 9.051801
SCR 16.410741
SDG 656.012798
SEK 11.374446
SGD 1.426543
SHP 0.834545
SLE 24.567271
SLL 22870.736976
SOS 623.426591
SRD 34.995172
STD 22574.603676
SVC 9.545158
SYP 2740.333707
SZL 19.123101
THB 36.284319
TJS 11.617861
TMT 3.828241
TND 3.358019
TOP 2.554453
TRY 37.378165
TTD 7.406676
TWD 35.061662
TZS 2968.243543
UAH 44.945442
UGX 3998.021816
USD 1.090667
UYU 45.543083
UZS 13941.576568
VEF 3950998.299184
VES 42.360745
VND 27103.073538
VUV 129.486203
WST 3.055159
XAF 655.126245
XAG 0.034908
XAU 0.000412
XCD 2.947582
XDR 0.815181
XOF 655.144243
XPF 119.331742
YER 273.048363
ZAR 19.1447
ZMK 9817.308706
ZMW 28.826974
ZWL 351.194311
  • RBGPF

    1.7400

    61.23

    +2.84%

  • SCS

    0.0700

    12.98

    +0.54%

  • RELX

    0.5500

    47.38

    +1.16%

  • NGG

    0.6500

    66.89

    +0.97%

  • RYCEF

    0.0300

    7.03

    +0.43%

  • CMSC

    -0.0200

    24.69

    -0.08%

  • VOD

    0.0300

    9.68

    +0.31%

  • RIO

    0.4700

    67.7

    +0.69%

  • AZN

    0.7500

    78.1

    +0.96%

  • BTI

    0.2700

    35.45

    +0.76%

  • BCC

    0.6100

    142.98

    +0.43%

  • GSK

    0.3000

    39.13

    +0.77%

  • CMSD

    0.0300

    24.98

    +0.12%

  • JRI

    -0.0300

    13.22

    -0.23%

  • BP

    -0.1200

    31.99

    -0.38%

  • BCE

    -0.4600

    32.56

    -1.41%

No bed of roses for Ecuador's flower industry
No bed of roses for Ecuador's flower industry / Photo: Rodrigo BUENDIA - AFP

No bed of roses for Ecuador's flower industry

The pandemic, the war on Ukraine, and more than two weeks of ruinous protests over soaring living costs -- Ecuador's flower industry has recently had to surmount one obstacle after another.

Text size:

The country's fourth-largest income-generator in terms of sales, roses alone earned nearly a billion US dollars in 2021 -- a record haul of $927 million to be exact.

With hundreds of companies growing 450 rose varieties, Ecuador is the world's third-biggest flower exporter after the Netherlands and Colombia.

But this year's prognosis is unclear after 18 days of sometimes-violent mass protests against rising fuel prices that included burning roadblocks and arson, and resulted in six deaths.

"The protests meant much larger losses than all that was lost during two years of pandemic," said Marcelo Echeverria, Ecuador commercial representative for the Dummen Orange international flower firm.

"That has slowed down a lot of things that were planned, a lot of projects that were planned for the second half of the year."

The protests, led by a powerful Indigenous people's group, saw cut flowers among the export products targeted by arsonists.

"They are BURNING our flowers," the Expoflores association of producers and exporters exclaimed on Twitter as the contents of delivery trucks were being set on fire last month.

"They are burning our income and that of our families."

Expoflores said other flowers rotted as they could not be harvested and moved for export, and ended up in "the garbage."

The government estimated the cost of the uprising at about $1 billion -- some two-thirds of it borne by the private sector, including the flower industry.

"There were innumerable losses in terms of flowers that could not be exported (and) damage to private property," said Socorro Martinez, Ecuador's Dummen Orange boss.

"It was a very sad issue because... it widened the gap between some producers and ordinary people who were part of the community, people who we considered very close to us."

- Necessity -

But those who are part of it say the industry is a resilient one, with flowers never going out of fashion, whether it be for happy events or sad ones.

"We have experienced many local and international crises. We live in crisis, but we know how to manage them," said Eduardo Letort, manager of the firm Hoja Verde, which produces about 35 million stems of 120 rose varieties each year.

"It’s been a tough few years, but... we have managed to adapt" by looking for new markets or making better use of dwindling fertilizer stocks as shortages bit during the pandemic and more recently with the war in Ukraine, he told AFP on his farm in the Andean town of Cayambe.

In 2020, Ecuador's flower industry recorded sales of $827 million -- a smaller decline than had been expected from pre-pandemic 2019 when it was $880 million.

"We saw that flowers... became a product of necessity. People wanted to have colors, scents in their homes" during lockdown, said Letort.

There was also a sharp rise in demand for flowers for pandemic funeral wreaths.

- More complicated -

Between January and May this year, flower exports brought in $432 million, compared to $417 million in the same period of 2021.

The rest of the year "had looked very good despite Russia (and its war on Ukraine) with forecasts for a dip followed by a recovery by year end," said Expoflores president Alejandro Martinez.

"But with the protests, things now seem more complicated," he added.

Russia was Ecuador's second-biggest country client for flowers in 2021, behind the United States.

Since the start of the war, Russia's share of the market fell from 20 percent to 10 percent, said Letort, who is also president of Expoflores in Cayambe.

"The flower business is already complicated, it does not need protests, pandemics or wars to make it complicated," said Marco Penaherrera, who sends about 120,000 roses to the United States every week.

"It is good business, but it is complicated."

(O.Joost--BBZ)