Country file

Budding Cear region

Things can change quickly. Whoever
had said, back in the year 2000, that
transport was going to be Cears flori-
cultural bottleneck in only six years
time, would have been considered nuts.
Its the truth, however: the state in the
North East of Brazil has shown massive
growth over the last couple of years.
Nowadays it is Brazils largest rose and
tropical flower exporter.

By Mauricio C. Mathias Rose exporting projects in the Ibiapaba plateau are mostly large operations such as this.

n only five years time Cear has Large anchor projects will always be essen- from Holambra, in So Paulo state.

I achieved a considerable advance in a

region without previous tradition in
commercial floriculture. The state
governments agricultural bureau Seagri
estimates the total floriculture area to be
tial, but theres an inherent risk to acreage
increase based solely on few large opera-
tions: should production go down in any
of them, then sector figures for the whole
state will be affected.
Locally as well, the word is out that flori-
culture can be a lucrative business since
different climate zones in the state allow
cultivation of temperate and tropical flow-
ers, foliage, bulbs or seedlings. Its flower
around 210 ha. At the moment Cear is Cear, more than any other state in project has won attention from other
counting approximately 180 flower proj- Brazil, succeeded in attracting new states as well, who concede that a proac-
ects of all sizes, plus an expanding area of investors almost all of them coming tive government support to the sector has
ornamental pineapples.
That can be called significant growth,
given that in the year 2000 there were
only 25 ha of flowers in the state and
there were no roses at all. Even though the
Netherlands remains Cears main export
destination (with 75%), new markets have
been opened: roses are being exported to
Spain and Russia and tropical flowers find
their way to Switzerland and New
Zealand. In 2005 total flower exports rose
to 2.2 million, a 0.5 million increase
in comparison to 2004. However, these
figures are heavily masked by the devalua-
tion of the US dollar, so it does not even
reflect the actual volume increase.

Small growers Ornamental pineapples have a guaranteed market in Patrcia Swart manages 2.6 ha of the Swart Group
This increase in the number of small the EU. Rubens Aguiar, manager of the prize-winning rose exporting project, the newest arrival in Cear.
growers in Cear is important to avoid Cear Flowers project is an enthusiast of this crop. The potential to arrive at 23 ha is hindered by the
concentration on big producers alone. lack of international flights.

28 FlowerTECH 2006, vol. 9/no. 3 www.HortiWorld.nl


craving for cargo space
given Cear the lead (see National prize).
The latest is the project to open a flower
growers market in Fortaleza somewhere in
the near future.
The potential of Cears Ibiapaba region
was recognised by international flower
experts, and it has been carving out its
share of the shifting world rose market. It
is critical to show its competitive advan-
tage in order to set itself apart, otherwise
it risks falling between two stools in a sce-
nario where the main rose exporting
countries have diversified their production
and customers. Cear has been competi-
tive in small roses to the US market for
example, but as far as big-headed roses are
concerned it may be at a disadvantage
compared to the altitude climate of
Andean or East African countries. Far from
being a final verdict though, upcoming
new varieties may in time change much.
Logistics bottleneck
The air freight issue is by far the biggest
source of outspoken growers frustration.
It has become sort of a chicken-and-egg
question: theres simply not enough cargo
room because large volumes are not con-
sistent, but on the other hand if new
exporting projects want to succeed they
should have a proper way out for their
flowers. The state governor has stepped in
and declared the problem a priority.
Seagri has been negotiating more flights
for a while though and the secretary of
agriculture Carlos Matos explains: All we
can do is bring both sides to the negotia-
tion table and facilitate things, but since
the government doesnt sell flowers, we
cant sign on the dotted line ourselves. At
the moment most of the cargo goes to
Europe: to Lisbon, Amsterdam or Milan.
Again, similarly to the breeder issue,
changes may be on the way as air compa-
nies notice steady growth. Cielos de Peru
has already committed a 25 ton capacity
aircraft for the time this amount can be
counted upon, as it has room at the
moment in its flight from So Paulo to
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Luxembourg. Another good sign: Cear
has been visited by representatives of the
Belgian airport of Lige, as they equip
themselves to become Europes largest
port of entrance of perishable products.
The air companies perspective is that at a
cost of more than 8,000 per landing, it
needs cargo guarantee because of the air-
freight sectors decreasing margins.
Illustrating the case: Cargolux, with a
stopover only 800 km away, flies above
Fortaleza as it takes fruit to Europe.
However, all of that is little consolation
to those who have already invested. It has
not only slowed the speed of growth of
existing projects but also kept new invest-
ments at bay, particularly foreign ones.
Cears floriculture manager Rubens
Aguiar signals another positive perspec-
tive: The US has added additional tariffs
to Brazilian shrimp exports, mostly com-
ing from the North East. Therefore many
local fish farms are switching to the tilapia
filet business, which frees up cargo room
at already existing routes to the US.
Another front we are working on is com-
bined fruit and flower shipments, as long
as ethylene is not a problem.
Country file
Agriculture secretary Carlos Matos
acknowledges that there is a problem.
Nevertheless he says: Our floriculture
growth may be at the same growth rate of
Colombia and Kenya 30 years ago, when
they started. Both of these places had
phases of more production than cargo
space at one point: this is a temporary
problem that will be solved. Other pro-
ducing countries face political stability
issues that are much harder to deal with.
In the meantime the Fortaleza airport
cargo terminal undergoes expansion from
2,000 to 9,000 m2. Expected to be con-
cluded in the second half of 2006 it will
have room for the simultaneous loading
of seven large airplanes, such as Boeing
747 and DC-10s. As a touch of luck the
high tourism season may bring relief, even
if temporary, to the glut of exporting roses
trying to find a fast way out of Cear. Even
though they are passenger flights from the
EU, it is expected that they will have cargo
room on their way back.
Ibiapaba Plateau region
Cearosa, the very first greenhouse project
in this 900 m plateau in western Cear, is
currently at 5.5 ha, their main varieties are
Carola, Salmone, Avalanche, Prima Donna
and Ambiance. They have recently released
a new rose called Iracema, which sponta-
neously appeared in their greenhouses. Its
a red thornless, medium-size head variety
that has been well accepted in the home
National prize
The Cear Flowers project, started out in 2000 by
the state government, has won the national prize
Public Management, given to 20 projects every
year by the Ford Institute and FGV, a prestigious
Brazilian college. The projects manager, Rubens
Aguiar, said the prize actually belongs to the grow-
ers, since they are the ones that believed this para-
digm could be changed - more than 700 projects
nationwide were competing for the prize this year.
FlowerTECH 2006, vol. 9/no. 3 29
Country file
From foe to friend
The pride and joy of Seagri's achievements has
been the 180 degree turnaround of interna-
tional breeders' perception of a possible new
rose area in Brazil. Back in its planning phase,
the royalty issue was pointed out as the major
obstacle to any significant development in
Cear. The fear of piracy from other countries
was so serious, that at one international fair
Seagri attended, it happened that a breeder lit-
erally asked the Brazilians to leave his stand.
The sign was heeded, so that right from the
start Cear only supported exporting projects
that respect intellectual rights via direct grower-
breeder contracts. Slowly but surely, breeders
saw the results and eventually the situation
reversed itself to a point when they started
requesting to visit Cear's production. Today,
major world rose breeders either have their
own trial area in Ibiapaba or established part-
nerships with local growers, some of them:
market and in Portugal.
Unlike other export-geared projects in
Cear, 99% of Cearosas daily production
of 600 bunches go to the main cities of
Brazil. Marketing manager Gabriela
Selbach explains that they are satisfied
with this choice since overseas prices are
sometimes lower than in Brazil, plus the
exporting logistics is a further complicat-
ing factor. Presently their expansion plans
are on hold, waiting for a more favourable
financial moment.
The Swart Group is the newest arrival to
the area, where they grow the Ipanema red
rose variety. Their 2.6 ha in the town of
Ubajara is managed by Patricia Swart, say-
ing, We moved to the area due to its
good climate that results in lower disease
control costs and in higher productivity.
Its location, with shorter flights to the EU
and the US, was another factor since these
are our target destinations. This is our first
year of harvesting and we believe that our
production leaves nothing to be desired in
quality for these markets.
All of these good points, however, she
continues, have been offset by the lack of
cargo room. This has made us review our
expansion plan that calls for 23 ha at this
site. Clearly frustrated with what she
30 FlowerTECH 2006, vol. 9/no. 3
Preesman, De Ruiters, Rosen Tantau, Olij, Lex
and Terra Nigra. A clear sign that not only they
see a future in the region, soon there will be
new varieties bred to fare well at that location.
In other words, existing projects so far have
been based on already existing varieties, select-
ed for other conditions. Local breeding to fur-
ther increase yield and lower its costs in Cear
has only just started. Even at that, the
Avalanche variety grown in Colombia yields
100 stems/m2, whereas in Ibiapaba it reached
200 to 220 stems/m2. Another sign of breed-
ers' confidence is that two out of the ten most
popular roses in Europe are grown in Cear.
Passion for example is only cultivated in the
Netherlands and Cear. No small feat if one
considers earlier scepticism, and that along
these years the amendment to the federal law
regulating royalties on vegetative propagation
has not been voted on.
understands as lack of government drive
to solve the issue, she mentions that even
though Fortalezas renovated airport has a ters, plus some field zantedeschia and
dedicated cold room, they have to export
via other states because of the lack of
flights from Fortaleza airport.
Bulbs
Paraipaba, north of Fortaleza, is where
two large bulb operations are located. One
of them, Terra Viva, only grows amaryllis
at this site and has been doubling its
acreage yearly. By last September it had
exported ten 40-feet containers of bulbs to
the US and six to the Netherlands, all har-
vested in the June-July season. Their 9-ha
field was planted with 16 different vari-
eties this year, filling a gap in the market
due to its shorter cycle. The workforce,
that peaked at 65 people busy at drying,
grading and packing had their jobs relie-
ved by a new 2,000 m2 packhouse plus
1,600 m2 of plastic houses for storage.
Almost next-door are Frans van de
Weijers fields, which have grown substan-
tially as well and also added a new 1,000
m2 packhouse for their caladiums and
amaryllis bulbs. In 2005 nearly 18 ha of
these and other trial crops have been culti-
vated and for next year the caladium
acreage should be doubled. Decreased
production in Florida has resulted in more
orders for him. Some of his trials include
the marketing of caladium leaves, using
appropriate varieties and shading.
Baturit
This hilly area is where some smaller local
growers dedicated to the home market are
situated. Its only a two hour drive to
downtown Fortaleza, but the climate
change is remarkable. A cool breeze dur-
ing the day and a guaranteed temperature
drop at night have made this area a fash-
ionable spot for country homes for the
well-off. Estate prices, normally above
average are likely to be even higher if land
is rented out for floriculture.
Cristiano Porto has been growing flowers
for eight years in the area, mainly cut and
vase chrysanthemums under plastic shel-
tango, all in 3 ha. Supplying Fortaleza and
neighbouring states he is worried with the
home market organisation. When too
many people come in its necessary to
educate the whole chain, from growers to
consumers. I watch my costs very closely
and lately its got harder to pass on even
inflation losses to the flower price, due to
the increased competition.
New challenges
Now planted in the map of world flower
production and in the lead within Brazil
on new flower projects, Cear has adopted
a dual model for the sector development.
Even if major foreign companies have still
eluded them, the largest rose group in
Brazil (among others) and a worldlevel
bulb company started operating in Cear.
But support has also been given to smaller
local growers. Nobody had attempted to
grow roses or amaryllis in the Brazilian
North East and now that this is an estab-
lished fact, Cear is on to the next chal-
lenge.
mauriciomathias@hotmail.com
www.HortiWorld.nl