By Jameson Mutua
Kenya’s floriculture sector earned about Sh108 billion in export revenue in 2024, reaffirming its position as one of the country’s leading foreign exchange earners, Kenya Flower Council Chief Executive Officer Clement Tulezi has said.
Speaking during a media briefing on Thursday in Nairobi, Tulezi said the industry exported more than 60 million stems of cut flowers and ornamentals, maintaining Kenya’s dominance of the European market where it commands about 40 percent market share. Kenya remains among the world’s top four exporters of cut flowers and ornamentals.
Beyond exports, Tulezi said the sector plays a critical role in the domestic economy through employment creation, local taxes and levies, and rural development. The industry directly supports more than 200,000 jobs, many of them held by women, and sustains livelihoods across several counties.
He noted that production continues to expand, with an average of 500 to 800 hectares added annually. Total land under flower production now stands at about 5,300 hectares, with further growth possible if the operating environment improves.
“The sector has shown strong resilience,” Tulezi said, citing recovery from the Covid-19 downturn and steady growth in exports since then. He added that floriculture aligns closely with the government’s bottom up economic agenda through export led growth, job creation and the inclusion of small and medium scale growers.
Over the past 12 months, more than 20 new growers have joined the Kenya Flower Council, many of them smallholders entering the export market for the first time. Tulezi said expansion of small and medium farms in counties such as Nakuru, Naivasha, Kiambu, Meru, Uasin Gishu and Nyandarua signals a healthy but still constrained sector.
He emphasised that smallholder participation is key to inclusive growth, higher rural incomes and stronger resilience through a broader producer base. However, he said new entrants require predictable regulation and affordable compliance systems to survive and grow.
On sustainability, Tulezi said Kenya remains a global leader in ethical and environmentally responsible floriculture. More than 80 percent of flower exports are certified under the Kenya Flower Council’s Floriculture Sustainability Standard, which governs responsible pesticide use, worker safety, fair labour practices, gender equality, childcare protections and environmental stewardship.
The Council works closely with the Pest Control Products Board to ensure only approved pesticides enter the formal supply chain and that global residue standards are met. Tulezi said Kenya’s standards are internationally benchmarked, positioning the country as a model producer in global markets.
Despite these gains, Tulezi warned that policy, taxation and liquidity challenges threaten the sector’s long term competitiveness. Growers currently pay more than 50 different taxes, levies and charges, creating high costs and regulatory unpredictability.
He said delayed value added tax refunds, now exceeding Sh12 billion, have strained liquidity and forced many growers to postpone expansion or rely on expensive commercial borrowing. Taxes on locally sold flowers and packaging materials have also discouraged value addition.
Among the most pressing concerns are increased regulatory levies, new consignment fees and a 25 percent duty on imported craft paper, which growers rely on due to the absence of local producers. Tulezi said these costs have made Kenyan flowers less competitive compared to regional peers such as Ethiopia.
Logistics remain another major constraint, with air freight costs from Kenya among the highest globally. Tulezi said exporters pay up to $5.30 per kilogram compared to about $2 in neighbouring countries, yet freight accounts for up to 40 percent of total production and selling costs.
To unlock the sector’s full potential, the Kenya Flower Council is calling for faster settlement of verified VAT refunds, removal of refund caps for large exporters and the ability to offset refunds against other tax obligations. The Council also wants taxes and levies consolidated into a predictable single levy model and agricultural exports exempted from manufacturing related standards levies.
Additional proposals include reducing consignment fees, abolishing duty on imported craft paper, digitising regulatory approvals, introducing apply once pay once systems, and investing in cold chain and air freight infrastructure, particularly at Jomo Kenyatta International Airport.
Looking ahead, Tulezi said the sector has the potential to add 20,000 jobs through value addition and increase export earnings to about $1.4 billion by 2030 if reforms are implemented. He reaffirmed the Council’s commitment to working with national and county governments, regulators and development partners to sustain growth.
“A predictable and competitive business environment will protect existing jobs, attract investment and ensure Kenya remains the home of the world’s best flower growers,” Tulezi said.
