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Rosebud to boost production cut flower after UK’s levy suspension

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Rusebud Ltd, one of the companies under Ruparelia Group now stands a chance to deliver more cut flowers to the UK market after the country temporarily suspended duty on cut flowers for two years.

Based in Entebbe, Uganda, Rosebud Ltd, managed by businessman Sudhir Ruparelia, is Uganda’s largest exporter of roses, commanding around 40 percent of the country’s raised export market, with the flower growth being boosted by the favourable weather conditions experienced throughout the year, result in their all being of the same high standard. Rosebud Ltd solely specialises in the production of quality cut roses for export onto the world market.

One of the farms is located 15 km from Entebbe airport and is at an altitude of 1150 metres above Mean Sea Level. The farm experiences a minimum temperature of 16°C and a maximum of 33°C. The weather is consistent for the whole year, which is ideal for production and the ability to maintain a very high-quality product. The farm exports 32 cm, 37 cm, and 52 cm length stems with head sizes between 2.8 cm to 3.2 cm for sweetheart roses and 3.5 cm to 4.5 cm head sizes for intermediate roses. “We are capable of handling all types of bunching specifications e.g. 1 x 10 to 1 x 40 stems per bunch, solid colors as well as rainbow mixes, with or without consumables as per the requirements of the customer.”

Meanwhile, the tax waiver, the UK says, would make trade easier and cheaper for growers in East Africa and beyond.

“The suspension of eight percent duty for cut flowers applies across the world but will be a big win for major flower growing regions in Kenya, Ethiopia, Rwanda, Tanzania, and Uganda. The duty suspension will remain in place for two years from 11 April 2024 to 30 June 2026,” the UK statement reads.

The move implies that unlimited quantities of flowers can now be exported to the UK at zero percent tariff, even if they transit via a third country.

 “The UK’s relationship with East Africa is rooted in mutually beneficial trade. This additional flower power will allow trade to bloom. We go far when we go together… or in this case, we grow far when we grow together, further reinforcing the UK’s commitment to the expansion of trade in East Africa,” UK Trade Commissioner for Africa John Humphrey is quoted in the statement.

“This is particularly important for East African flower growers who transport their blooms via third countries or auction houses before they arrive in the UK.”

The move aims to increase trade and further strengthen the economic relationship between the UK and the region.

The statement also indicated that the UK consumers could win big too on “price, seasonality, and variety”.

In 2022, Kenya was ranked as the fourth biggest exporter of cut flowers in the world, with a six percent market share of global cut flower exports.

Ethiopia is the second largest cut flower producer in Africa, making up 23 percent of Sub-Saharan African exports.

In 2023, the value of trade in cut flowers from Uganda to UK was $1.18 million.

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