Even though Botswana is a country that isn't that familiar with the cultivation of cut flower business, it seems to be an interesting country to set up a cut flower business. This is explained by Gobona Tobedza of a Botswana start-up company, namely The Cut Flower Business Promoter. Looking at the climatological, political, economic and social situation of the country, they see a bright future for cultivating flowers in this country. Currently, this start-up business has 50ha of land available in the region Francistown and are looking for investors with experience in the export market for horticulture, and particularly cut flower business.
Click here for the enlarged picture. From bottom to top: The proposed location of the farm (marked in red). The Waster Source - Shashe Dam (90 million liters) and The Francistown International Airport - "major link to the export market".
Cut Flower Business Promoter
The start-up Cut Flower Business Promoter has secured land on a 50 years lease of over 50 ha. "The land is in proximity to all the services necessary for cut-flower business: power, ICT, water, labour, road and airport (20 km from farm). As promoters we have done all the ground work to ease the starting of business. Issues of land, water at a strategic place has been taken care of."
In a summary of the Botswana business environment Tobedza explains the several factors that make starting up a flower business in Botswana an attractive option. Below, some of the advantages and the challenges highlighted.
Botswana officially the Republic of Botswana, is a landlocked country in Southern Africa. "Following independence, the government developed the diamond mining industry jointly and is now the world's largest diamond producer. With the mining industry, mainly diamonds, currently contributing about 35 per cent of GDP, the government recognizes the need to diversify the economy." (Source: www.gobotswana.com)
Climate
First of all, the climatic conditions are right to cultivate cut flowers. "Botswana is semi-arid, due to the short rain season. However, the relatively high altitude of the country and its continental situation gives it a subtropical climate. The dry season lasts from April to October in the south and to November in the north where, however, rainfall totals are higher. The south of the country is most exposed to cold winds during the winter period (early May to late August) when average temperatures are around 14 °C (57.2 °F). The whole country has hot summers with average temperatures around 26 °C (78.8 °F). Sunshine totals are high all year round although winter is the sunniest period. Botswana’s average of 300 sunny days a year and relatively warm winter temperatures, are excellent for growing summer flowers. Botswana developed ITC infrastructure is the perfect environment for high-technology deployment for the cut-flower industry."
Horticulture investment
Besides the good climate, the Botswana government is committed to invest in horticulture. "They are already organizing seminars for farmers to improve their businesses, but at the same time, they are working on the development of agricultural infrastructure, including roads, electricity and telecommunications. On top of that, farmers are exempt from duty and VAT for importation of agriculture equipment plus may apply for tax holidays.
What more has the country to offer?
Next to the sectors specified on the agricultural opportunities, the political, economic and social situation in the country seems to be interesting as well. "Botswana is a political stable country, has low crime rate and belongs to the world's least corrupt countries. Besides, the country implemented practices in its legal code to guarantee investor protection and the country is among the top five African countries in accessibility to loans. Also the literacy rate of the citizens aged 15 and above is 88.2 percent and the relations between employers and employees have been well established and relative to the rest of Africa. A nine-hour five-day week or an eight-hour six-day week is normally observed. .
Challenges
Some challenges mentioned are:
- Arid Climate, the use of greenhouse technology is a requirement
- Underdeveloped Airport infrastructure to handle the cut flower and high value cash crops.
- Underdeveloped regulatory framework for the cut flower business.
- Capacity Issues with regards to cargo flights out Botswana to South Africa.
- Lack of local knowledge or experience in the cut flower business.
Click here to read the complete summary of the Botswana business environment.
For more information:
Cut Flower Business Promoter
Gobona Tobedza
Email: [email protected]