India’s rose boom tests export ambitions as trade deals multiply

Before sunrise, under the glow of a single hanging bulb, Shankar R. moves carefully between rows of red roses inside a plastic-covered polyhouse. Each stem is cut at a precise length, bundled and placed in buckets of water. By mid-morning, the flowers from Annilayam village in Tamil Nadu state will be on a truck headed not to Europe, but to a wholesale market in Chennai, a major regional hub, over 300 km away.

“We grow every day,” he said. “But export is not for us.”

Across southern India, thousands of small farmers like Shankar have shifted from millets and pulses to roses, encouraged by government subsidies for polyhouses, drip irrigation and horticulture inputs. The move is part of a broader national strategy to push “high-value agriculture” — fruits, vegetables and flowers — as a way to raise rural incomes and boost exports.

The timing is politically significant. In the past few years, New Delhi has accelerated its trade diplomacy, concluding free trade agreements with Australia and the United Arab Emirates, finalizing a pact with New Zealand, and sealing a comprehensive deal with the United Kingdom.

Most notably, India and the European Union officially concluded negotiations on a wide-ranging Free Trade Agreement earlier this year — a pact covering nearly all tariff lines.

Workers unload freshly harvested roses at a local aggregation point before weighing. Image credit - Robert Bociaga/AMC

Agriculture, market access and sanitary and phytosanitary standards are central to these deals, highlighting whether farm sectors such as floriculture are positioned to benefit — or risk being left behind.

Yet in Annilayam, the promise of export-led growth feels distant.

A steadier income — but fragile

Farmers here say roses have brought more predictable cash flow than rain-fed staples. Harvesting is daily, and payments, though fluctuating, come more frequently. Several households said the shift helped pay school fees, finance house repairs but still failed to reduce migration for wage labor.

“Before, we waited for the harvest,” said Lakshmi, a 70-year-old woman, who despite her advanced age, works daily on a small plot with her husband and two sons. “Now, we wake up at dawn to pick the roses”.

But the gains come with new risks. Rose cultivation is labor-intensive and input-heavy, with esticides, and fertilizers raising costs. Sudden price drops can wipe out margins, and without cold storage or direct access to exporters, farmers rely on intermediaries who aggregate flowers for domestic markets.

On days of oversupply, prices plunge. On days of heavy rain or transport disruption, flowers spoil quickly.

“We cannot store,” Shankar said. “If the trader gives a low price, what can we do?”

Rose farmers stand in their fields in Annilayam, where small growers rely on family labor and local buyers. Image credit - Robert Bociaga/AMC

Production without systems

India’s flower output has expanded rapidly over the past decade, driven largely by domestic demand for loose flowers used in religious ceremonies and festivals. Cut flowers such as roses — the segment most relevant to exports — represent a smaller but growing niche.

Export volumes have risen modestly, but India’s share of the global cut-flower trade remains small compared with Kenya, Ecuador and the Netherlands.

Agricultural economists say the gap is not about climate or entrepreneurial spirit but systems.

“Production has increased, but the export ecosystem has not kept pace,” said Yogesh MS, an agricultural economist who has researched international cut-flower markets. “Export markets require strict grading, uniform stem length, cold-chain logistics and compliance with sanitary and phytosanitary standards. Most small farmers are not integrated into that system, although the government has taken steps to change that.”

Roses grown in open fields are vulnerable to pests and inconsistent quality. Subsidized polyhouses have improved output, but export-grade flowers must meet precise specifications demanded by European buyers, including tight bud formation and blemish-free petals.

Even small deviations can mean rejection.

“Quality is not only how the flower looks,” Yogesh MS said. “It is about how quickly it moves from farm to airport, how it is stored, and how it is certified.”

Export-oriented operations tend to be medium or large enterprises, often located closer to aggregation centers and equipped with in-house grading and packaging facilities.

Smallholders, by contrast, sell into domestic supply chains, where grading is less stringent but price volatility is higher.

Trade ambitions meet rural reality

India’s renewed trade diplomacy has placed exports at the center of its economic narrative. The agreement with Australia eliminated tariffs on a range of Indian goods. The UAE deal expanded market access for agricultural products. Negotiations with the EU — one of the world’s largest consumer markets — have focused heavily on standards, sustainability and market access.

For policymakers, floriculture is a sector with apparent advantages: favorable climate in parts of the country, low labor costs, and proximity to major airports.

But the EU market in particular is demanding. Compliance with sanitary and phytosanitary rules, traceability requirements and residue limits can be costly. Certification processes require coordination that many small growers lack.

“Even if tariffs fall under a trade agreement, non-tariff measures remain,” Yogesh MS said. “Meeting EU standards requires investment in training, testing and cold-chain infrastructure.”

Farmers in Annilayam said they were aware that some roses from the region are exported, but through larger growers or specialized companies. For them, the export market is more an idea than an option.

Labor and climate pressures

Rose farming also depends heavily on labor. Each acre requires constant monitoring for pests, pruning and harvesting. Many small farms rely on family members, with women and elderly relatives often doing much of the daily work.

Rising rural wages and competition from non-farm jobs have made hiring more expensive. Some farmers said younger family members prefer factory or service-sector employment in nearby towns.

Climate volatility adds another layer of uncertainty. Unseasonal rain in recent years has damaged buds and disrupted harvest schedules. Heavy downpours can increase fungal infections inside polyhouses, raising input costs and reducing export suitability.

“If rain comes at the wrong time, quality falls,” Shankar said. “Then the harvest is really small.”

A model under scrutiny

Government agencies have expanded support for horticulture through subsidies, training programs and credit schemes. Officials argue that building production capacity is a necessary first step toward export growth.

But analysts say the strategy risks plateauing if it stops at farm-level support.

“High-value agriculture can raise incomes,” Yogesh MS said. “But without aggregation, logistics and strong linkages to exporters, small farmers remain exposed to domestic price swings.”

In countries such as Kenya, export-oriented flower farming is embedded in tightly coordinated supply chains, with centralized cold storage, dedicated air cargo and close integration between growers and exporters. India’s supply chains are more fragmented, and coordination between smallholders and export firms remains limited.

The broader question, as India signs more trade agreements, is whether its rural production systems are aligned with its trade ambitions.

In Annilayam, the answer is still unfolding. Roses have brought change — steadier cash flow, new skills, and a sense of participation in a modernizing economy. But the leap from local wholesaler to European supermarket shelf remains large.

As trade negotiators debate tariffs and standards thousands of kilometers away, farmers here focus on the next harvest.

-Asia Media Centre

Banner image - A flower vendor arranges marigolds and roses at a wholesale market near Bengaluru. Image credit - Robert Bociaga/AMC