On 4th of December 2023 Ornamental plant producing and exporting companies of Ethiopia started to export cut flowers to Europe, for the first time, via refrigerated trucks by ocean under partial trial shipment modality. Trucks are maintained at 2°C and expected to arrive in excellent condition at end market, Netherlands. The export of about 468 boxes, containing nearly 190,476 stems or 7,722 kg of refrigerated consignment marks a major breakthrough in the conveying of flowers by sea in Ethiopia.
Maersk is chosen as shipping liner, being the world’s largest shipping line and one of the biggest logistics companies in the region, it is assumed to guarantee the delivery of these cut flowers in good time and monitor the quality of produce. This flower product is expected to be reach at end market by passing through Djibouti -Jeddah -Rotterdam sea rout. The estimated duration of the product or flower to reach at end market is estimated to be 4 weeks.
For the last two decades flowers have been exported through air transport means in Ethiopia. In comparison to other transport modality the Ethiopian Air cargo freight industry is noted for its well-developed infrastructure, facilities and remained competitive to meet exporters demand.
The development of cut flowers and ornamental plants expansion in the country was heightened by reliable air transport supply chain of Ethiopian Cargo and logistics service which has 16 freighters with a capacity to load up to 95 tons. According to Ethiopian custom authority, closely 701,816 tons of ornamental plants and cut flowers have been transported by Ethiopian Air Cargo for the last one decade. The rate of air cargo transport for these perishable products has remained unchanged and continued $1.69 – $1.72 per kilogram of flower depending on the weight scale.
One of the most obvious benefits of Ethiopian air Cargo freight is, like other air frights, it is much quicker than existing available transport means. The Ethiopian Air cargo used to reach on about 136 international market destinations, including 63 African cities, with daily and multiple flights with a minimum layover in Addis within hours or days, while ocean cargo can take weeks or months. This means that one can meet tight deadlines, respond to changing customer demands, and avoid inventory costs.
Nonetheless, there is a long-standing wish among some flower producers as well as foreign flower importers to make the transition from air transport to sea shipment. The question whether sea fright benefit the Ethiopian flower producers and exporters remains to be seen.
In Ethiopia, the possibility of transporting flowers by sea is a subject that has been discussed for long time, until the Ethiopian flower producing and exporting companies such as Herburg Rose and Sher Ethiopia PLC recently started to find ways, by adopting the experience and improved practice of perishable logistics service of the worlds, to come to a solution.
Past experience shows that most international transport of flowers is by airplane. The reasons are both related to the perishability of the product and to the fluctuating prices at destination. Currently, some flowers are sea-freighted in refrigerated containers on this sea mode of transport takes longer but have three basic advantages.
First, sea freight is cheaper than air freight. Sea shipments considerably reduce transportation cost to about 50% and provide much more flexibility and satisfy the need for increased transportation capacity especially during holydays. Due to limited capacity and wight restriction of planes, air frights often incurs high costs compared to sea frights. In contrast, sea offers a more cost-effective solution for transporting cargo, making it a preferred choice to optimize expenses.
Second, sea freight has a lighter carbon footprint than air freight. The ships generally have a significantly lower fuel consumption rate per unit area of transport, result in reduced green house gas emissions. The slower speed of sea fright compared to air fright also contributes to its environmental benefits. While air frights rely on jet engine that consumes large amounts of fuel, sea vessels typically use more fuel efficient engine, reducing their impact on environments.
Lighter carbon foot print is important as it mitigates the effect of climate change, improves public health, boosts global economy and improves bio diversity. Many Studies indicate that Sea freight can cut carbon emissions by between 84% and 95%. The carbon intensity of ships that is the amount of CO2 emitted per ton of cargo per kilometer is by far less that Air frightthat commonly ensure cleaner air and water for generation.
Third, sea freight offers a significantly larger capacity for transporting flower compared to air freight. Ocean freight vessels, such as container vessels, can accommodate large volumes of cargo, while air freight is limited by the size and weight restrictions of aircraft. Additionally, factors like high demand and peak seasons can further reduce air freight capacity. Therefore, businesses with larger shipments or substantial cargo volumes can benefit from choosing sea freight as it provides ample space for efficient transportation.
Moreover, sea freight provides flexibility in terms of schedules and regular services. Shipping lines offer frequent departures to major ports worldwide, ensuring a reliable and consistent transportation service. Businesses can plan their shipments well in advance, taking advantage of fixed sailing schedules. Additionally, the availability of multiple shipping routes and carriers further enhances flexibility, allowing companies to choose the most suitable options for their specific needs.
However, a 4–5-week longer transport period is considered as not yet feasible by many exporters. First of all, this is related to the physiology of the flowering stems.The life of flower is very much related to the breathing or respiration activity. The respiration activity is dependent on the temperature: with increasing temperature the respiration increases exponentially. Higher temperatures have a pronounced effect on the speed of senescence. Longer periods at higher temperatures are detrimental for quality. After harvest, flowers are still alive. They respire and produce heat. The respiration and metabolic activity can be slowed down by keeping the temperature low.
Thus, the most important thing while shipping flowers is to maintain product quality throughout the entire supply chain by efficient cold chain management and packaging specifically designed for the transport of the sensitive goods. Ideally, the flowers are immediately cooled down to transport temperature after harvesting. These temperature conditions must be maintained for the flowers throughout the whole journey. This journey via sea can take more than two weeks. So while shipping temperature-controlled goods, such as flowers, a reliable logistics partner who can provide seamless cold chain transportation, from origin to destination is needed
One of the biggest challenges of ocean freight is the relatively low arrival frequency. European importers commonly receive flowers via sea freight once 2 or 3 weeks. In the case of air freight, for example, products arrive almost daily, so that volumes are more in line with purchasing behavior of customers. Thus Sea freight requires a corporate strategic turnaround, necessary investments in cooling facilities and adaptation of processes. Products arriving irregularly and at unpredictable times also present a major challenge for importers who need to schedule the unpacking of the flowers. Making it plannable is the challenge of sea freight.
Recent studies, conducted by Sustainable Agriculture Innovative International, reveal that several importers and traders note that their customers are not really positive about a change from Air to sea freight. Particularly in the florist channel, traders remain cautious about the possibilities of sea freight. The simple reason that is often mentioned is that change is not liked. In addition, there is a strong ‘day fresh’ culture in the flower trade. Many traders and florists swear by the freshest possible products, preferably harvested yesterday.
The other challenge is customer’s demands flexibility, especially in the florist channel. For example, when the weather gets hot, there is less demand for flowers. That is also why there is a general demand for smaller and last-minute orders. European wholesalers tend to move along with daily market sentiment. This is of course difficult if a container is just on its way. On the other hand, the UK retail sector is, according to a number of interviewees, easier to plan.
Assortment fit for sea freight is also the other challenge faced by many exporters experiencing in sea frights. Exporters with experience in sea freight said that vase life is generally not the problem. However, softer products often cause problems. Damage to softer petals is increased during longer transport, the pressure spots become larger. It is especially seen with certain colors. Red and orange varieties are trickier, as you can see any damage. It is the perception that longer lengths appear to have more difficulty with sea freight, according to interviewed traders.
Over the past couple of years, much has been learned and while some trials failed others have developed into regular supply lines. So far, the results of sea freight in east African have been mixed. These are because of a combination of existing quality issues with roses, deficient cold chain management. Poor post-harvest handling and the unavailability of packaging specifically designed for sea freight. Also due to challenges of high inland transportation cost related to poor shipping connections and frequently occurring delays in the supply chain.
To gain deep insight about the advantage and disadvantage of sea freight for flowers, a comprehensive study needs to be taken for the time to come.
BY MEKONNEN SOLOMON
Mekonnen Solomon is a Horticulture export coordinator at MoA.
THE ETHIOPIAN HERALD TUESDAY 12 DECEMBER 2023
