By NICHOLAS WAITATHU
Flower industry is seeking a streamlined regulatory regime, which in its current state they say is over supervised thus strangling its growth.
Currently flower exporters have to be applying for over 45 licenses from various government regulatory agencies before they are permitted to operate.
Kenya Flower Council (KFC) chief executive Jane Ngige said that numerous licenses have also contributed to exodus of investors to neighbouring countries. “
An owner of a flower farm spends between Sh120,000 and Sh720,000 per month seeking approval from various government agencies.
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Over and above the finances resources exporters spend, they also waste hours thus contributing to inefficiency in the industry,” she said
Regulatory bodies
Ngige was speaking at a Nairobi hotel during a forum with national government regulatory bodies yesterday. Flower exporters have to seek licenses from Ministries of Agriculture, Labour, Environment and Transport.
Other are agencies are Kenya Bureau of Standards, Kenya Airport Authority, Horticultural Crops Development Authority (HCDA), Pest Control Products Board and water appointment boards.
Ngige noted that the regulatory regime is likely to be widened with county governments also imposing their own.
For the last four years, she said that cut flower annual production has stagnated at about 120,000 tonnes due to cost of doing business and production against diminishing returns from the main markets in the European Union.
Kenya Investment Authority (KenInvest) managing director Moses Ikiara agreed that there is need to rationalise the regime. “There is need to review to tax regime as well as ensuring quality of the products is not compromised” he said.
