EXECUTIVE SUMMARY
Growing cut flowers, especially
roses as they are most traded flowers of all flower varieties around the world,
is a profitable business if done properly.
Local demand for cut flowers is growing tremendously due to increased
usage as decorative items in weddings, birthday parties, seminars, and other
social gatherings. In Pakistan, this
sector has not gained its full potential yet. The major reason for slow
development of this sector has been the lack of requisite technical knowledge
on part of the farmers, traders and retailers. The credit goes to small farmers
/ entrepreneurs who have kept on going without much technical and / or
financial support over the years. Low cost of labor combined with reasonable
land lease rates and a suitable climate for most part of the year make
investment in this business a lucrative proposition.
BRIEF DESCRIPTION OF PROJECT
& PRODUCT
This pre-feasibility study is
designed to provide information for establishing a 05 acre cut flower farm of
“Rose”. The farm land is assumed to be acquired on long term lease i.e. 10
years at any of the suitable locations. The farm can be established at any of
the locations identified in the geographical potential section The farm will
have 50 thousand rose plants having productive life of 10 years. The farm will
have a total production capacity of 5.00 million flowers per year, however, for
the first year farm productivity is assumed at 40%. The cut flowers will be
sold in the wholesale markets of the respective districts / metropolitan
cities.
CRITICAL FACTORS
The proposed project has
following factors critical to success:
• Entrepreneur’s knowledge,
background and expertise in floriculture.
• Ability to identify and procure
quality saplings from certified nurseries, preferably developing an in-house
backup nursery.
• Availability / selection of
suitable land and irrigation systems.
• Availability of trained farm
labor for crop management and harvest
• Forward linkages with the bulk
buyers, and appropriate storage & transportation services.
INSTALLED & OPERATIONAL
CAPACITIES
The farm will consist of 5 acres
of agriculture land for growing Roses. On average there are 10,000 plants per
acre producing 1 million flowers per year, with adequate pruning, picking and
delivery arrangements. The plants have productive life of 10 years.
Accordingly, the total production capacity of the proposed farm is 5 million
flowers per year. However, 20% of the total production goes to rose petals,
hence, quantity available for sale as rose petals would be 2,500 kg, derived
from 1 million flowers.
GEOGRAPHICAL POTENTIAL FOR
INVESTMENT
Although Kasur and Sheikhupura districts of
Punjab, Matiari & Jhirk in Sindh and
Swat and Quetta valley have developed some expertise in this field.
However, as Pattoki still serves as the hub for floricultural trade in
Pakistan, it is therefore considered the most appropriate location. All major
cities of the country with comparable land and atmospheric conditions can be
selected for establishment of this kind of business. Patto ‘mandi’ is the major forum for
buying and selling of fresh cut flowers, especially roses. Flowers are
distributed to all parts of the country including Karachi, Peshawar, Lahore,
and Islamabad from here. There are few large players in this industry with an
organized formal setup. Therefore, there is good potential to tap into this
opportunity to start a cut flower business with a formal set up.
POTENTIAL TARGET MARKETS / CITIES
Potential markets for cut flowers
(roses) are as under;
• Flower Market such as Patto
Mandi and Begumkot Mandi at Pattoki and Sheikhpura districts respectively
• Retail flower shops at major
urban centers
• Direct supply to corporate and
institutional customers
• Wholesales; bulk sales for
social, cultural and religious events
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