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SA: Flower distribution company hit 1,200,000 stem milestone
Saudi Arabian cut flower retail and wholesale distribution company Multiflora prefers to source their roses from Ethiopia. After all, it’s just a 2.5 hour flight between the two countries. Last month, the distribution company hit a 1,200,000 stem milestone, and they’re very pleased with that achievement.
“It’s not just the distance that is an advantage. All farms in Ethiopia deal with CIF prices as well”, Ajnaz Abdulnazir explains, which means cost of insurance and freight are assumed by the seller.
“In comparison: Kenyan farms are mostly dealing with FOB prices (free on board). If we were to import from Kenya, we would be in need of a freight agent in Kenya, in addition to the freight cost incurred. That in turn affects the price per stem. Therefore, we chose Ethiopia over Kenya.”
Multiflora distributes flowers in the major cities of Saudi Arabia. The company has 28 salesmen who deliver flowers to the customers. Roses are the company’s main product. “The red rose Upper Class and the white Athena are the most popular varieties, especially on Mother’s Day, Teacher's Day and other public holidays. Most customers order straight bunches with 10 stems.”
For the future, the company is looking for a production line. “We want to focus more on new varieties. This way we can adjust our production based on market needs.”
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