Exporting Flowers to Japan: Great Opportunity for Vietnamese Enterprises

Annually, Japan imports hundreds of millions USD worth of fresh flowers, leaves and sprigs but Vietnam only exports a few million USD worth to this market . Orchid, rose, chrysanthemum and especially Vietnamese lotus are becoming increasingly popular with Japanese consumers. However, Vietnamese enterprises have not been able to maximise this market for export.

 

Japanese disposable income for flowers have sharply increased in the past years. Sending flowers has become a Japanese cultural characteristic. They buy flowers to arrange at home daily and send flowers as presents. To Japanese, a day without flowers is considered to be short of luck and joy. Japan has many holidays, such as ancestor’s death anniversary (in March), Mother’s day (in May), Christmas and New Year, etc. increasing the demand for flowers. Besides, like Vietnam, Japan has a habit of sending congratulatory flowers on occasions of opening offices and the establishment anniversaries of companies. Demand for flowers only decreases slightly from the end of January to February and from June to July due to few festivals.

 

There are many products that Japanese consider flowers, including cut flowers, flower buds, leaves sprigs (without flower), vegetation, moss, live plants and dry flowers, for decoration. In Tokyo alone, there are 16 wholesale flower markets of which Ohta and Setagaya, the biggest flower markets in Japan, account for 30 per cent and 20 per cent of market share, respectively.

In 2002, Japan only imported flowers worth 10.6 per cent of the whole country’s flower market and then in 2003, they accounted for 12.9 per cent. Every year, Japan’s imported flowers are valued at about US$470 million (in 2005 alone, Japanese import turnover of flowers reached US$ 500 million).

 

Japan imports flowers mostly from the Netherlands, China, Taiwan, Malaysia, Thailand and Columbia, accounting for 27 per cent, 9.7 per cent, 9 per cent, 8.8 per cent, 7.3 per cent and 6.3 per cent, respectively but the Vietnam flower market has not been ranked by Japan.

 

 

Japan has looked forward to importing flowers from Vietnam for a long time due to cheaper prices and the abundance of species. Annually, Vietnam’s export to Japan only reaches US$6.2 million, accounting for 1.4 per cent of Japanese imported flowers. In 2005, export turnover of Vietnamese flowers to Japan slightly increased, amounting to US$6.5 million. In the following years, it may rise, reaching up to over US$8 million. This target can be obtained if enterprises improve their marketing. Currently, orchids and kinds of sprigs are Vietnam’s major exports to Japan.

 

To export flowers to Japan, enterprises not only have to find out Japanese favourites but also obey its Plant Protection Law aimed at preventing outbreaks of epidemics and pests. Before exporting, enterprises need a plant quarantine certificate issued by a national authorised agency and recognised by Japan. Japan has recognised this of the Netherlands, China, Thailand and many other countries. If Vietnam receives Japan’s recognition, Vietnamese flowers will be able to avoid some phases of inspection at Japanese seaports and airports, facilitating our enterprises’ export promotion.

 

Another reason making Japan a potential flower market for Vietnam is that its import tariff on flowers are 0 per cent; only sprigs and dry plants have imposed tariff rates of 3 per cent. Therefore, our enterprises’ last duties to promote exports are supplying fresh, beautiful and special flowers and developing more professional marketing expertise.