On Monday, the United Kingdom declared a move aimed at bolstering the flower trade by implementing a two-year duty suspension on cut flowers. Scheduled to kick off on April 11, 2024, and concluding in June 2026, this initiative marks a pivotal shift in trade dynamics for floriculture.
Under this suspension, any flowers passing through auctions in the Netherlands will be exempt from the previously imposed 8% duty. This decision is poised to greatly benefit Kenyan growers and exporters, offering them substantial cost savings and a competitive edge in the global market.
According to a report by the Fresh Produce Consortium of Kenya (FPCK), the country’s flower exports saw a notable trajectory in recent years. In 2023, Kenya exported 116,000 tonnes of cut flowers valued at Sh73 billion, compared to 203,000 tonnes worth Sh104 billion in 2022.
Agriculture Sector Network (ASNET) Chairman Bimal Kantaria highlighted the potential for job creation and economic growth stemming from this measure. Kantaria underscored the importance of such policies in not only facilitating trade but also safeguarding employment opportunities within the industry.
The announcement has been met with enthusiasm by the private sector, with hopes high for increased exports and job protection. The British High Commission’s proactive engagement and receptiveness to industry concerns have been acknowledged and appreciated in light of this decision.
The duty suspension stands as a testament to collaborative efforts between nations and serves as a boon for Kenyan exporters amidst evolving global trade dynamics.
