The Western region largely hinges on the supply of flowers from Hosur. However, this year, a series of factors has come together to marginally undercut this supply chain.
With Onam and Varalakshmi festivals falling on the same day, the demand for flowers has gone up, not just in Tamil Nadu, but also in Karnataka, Andhra Pradesh, and Kerala and even in West Asian countries. But, the supply has not met with the demand, observe retailers and major producers here.
This year, there has been a 20 per cent fall in production locally. Poor rainfall in May, when the fields are prepared for cultivation, has had an impact on production. Hosur gets its supply from the interiors of Denkanikottai, and Thally here and Anekal and Hoskote across the border. Labour shortage has also affected production, say retailers.
There is major demand from Coimbatore, with a reckonable Malayali population, followed by Madurai and Chennai.
While the four days preceding the Onam festival have witnessed hybrid marigold fetching Rs.250 per kilogram and normal marigold fetching Rs.70 to Rs.90 per kilogram, the preceding week has seen prices as low as Rs.15 per kilogram, says Siva Prasad, president of Hosur Small Farmers’ Federation.
Major rose exporters usually turn domestic during such seasons. However, this time, with both festivals falling on the same day, rose exporters could not divert much to the domestic market, what with large Malayali population in the West Asian countries.
Siva Prasad, who had just sent his final consignment to the western countries on Tuesday, has also diverted his flowers directly to Thrissur and Ernakulam in Kerala. There has been a supply diversion to Karnataka and Andhra Pradesh too.
Karnataka has turned lucrative for the suppliers from Hosur area as it is a major consumer of flowers for Varalakshmi Vratham. Similarly, button roses are being sold at Rs.300 per kilogram in Hyderabad, which has pushed retailers there to source it from here in Hosur.
“Karnataka is big on Varalakshmi festival, so it makes sense for the local producers to tap on the neighbouring market,” says Mr. Siva Prasad.
Also, the prompt payment by retailers from Karnataka makes them attractive for the bulk suppliers here.
