Although the chrysanthemum plantation in Cameron Highlands has always been a major flower-producing area in Asia, in recent years it has faced the pressure of Vietnam and Thailand growers hot on its heels. But the flower farmers will not be discouraged, and many of them have tried to reform and improve, in an attempt to turn the tide.
For example, flower grower Huang Chengyi has implemented the automation operation concept of Industrial Revolution 4.0 in his nursery base, using computers to assist in management and monitoring operations. By using computer assistance to steer the amount of fertilization and watering according to the collected temperature and humidity data.
He said that in this way, it can ensure the quality of chrysanthemum growth. Since he adopted the technology, the production of his garden has increased by about 20%, and the labor force required has been reduced by 20%.
He pointed out that he could invest like this because the planting land was bought by himself and he was not worried about being enforced by the title deed running out. However, not many of his peers dared to do so. Because other growers worry that the investment would not be returned when the title deed cannot be renewed.
No government subsidy
Huang Chengyi said that the flower farmers in the Cameron Highlands have been struggling for a long time and have only relied on themselves. The entire process from cultivation, management to export has not received government funding and preferential treatment.
He said that in response to the challenging plant protection required for global climate change, the government did not give support and assistance to the industry, and was also hindered when hiring foreign workers. Even if lent from an agricultural financial institution, the interest is near twice as much as that of the vegetable farmer.
Even those who do export business to increase income for the country have to bear high transportation costs and pay a high import tax to the importing country.
Foreign competitors enjoy many benefits
“In contrast, our foreign competitors enjoy many benefits. For example, the Chinese government not only reduces the value-added tax for those farmers who export but also protects the local flower industry. Our export flowers are taxed there, and foreign flowers there will be levied a 17% consumption tax, but they sell flowers to Malaysia with being completely tax-free, so Chinese flowers come here and can be sold at a cheaper price than us. We will be at a disadvantage in our country sooner or later!"
Land ownership is the biggest worry
There is also one of the biggest concerns in this industry. That is, land ownership, Huang Chengyi said that Jinmalun flower farmers and vegetable farmers, most of them are only approved for temporary land leases that must be updated every year.
He pointed out that ownership is not guaranteed and farmers naturally do not dare to invest. Additionally, the operation costs of traditional and relatively intensive labor have increased year by year, while the production has not increased. When flowers are brought to the market, their prices are higher than the general market price, which leads to the deteriorating market positioning and a vicious circle, which makes it difficult to achieve sustainable development.
"The quality of Cameron chrysanthemum is world-renowned"
Li Bingfu, chairman of the Cameron Highlands Flower Industry Association, said in an interview that the quality of Cameron Chrysanthemum is among the best in the world. When it comes to Cameron Chrysanthemum, it is equivalent to the guarantee of quality, although in recent years a Dutch company has invested heavily in planting chrysanthemums in Vietnam. The total export volume of Cameron Chrysanthemum has been affected, but the situation is still not very serious.
He said that Malaysian chrysanthemums are mainly exported to Japan and Thailand, accounting for 50% of the total export volume, while other overseas markets, including Singapore, Hong Kong, Australia, the Middle East, and Indonesia, are now exploring the Russian market and making effort to enter China.
Regarding advanced planting, he said that because the terrain of the Cameron Highlands is uneven and cannot be comprehensively replaced by manpower for planting and harvesting. The machinery currently used can only assist 10 to 20% of the work, others need manpower to complete.
In order to develop the Cameron flower industry, the Flower Industry Association has signed a memorandum of cooperation with the Guangdong Academy of Agricultural Sciences to establish the Guangdong-Malaysia Flower Technology Demonstration Transfer Center in Cameron. The strategy is to export the flower varieties of China's Guangdong Province and Malaysia's improved flower varieties and techniques to ASEAN countries outside Malaysia, once the center is completed, through the establishment of the “China-Malaysia Flower Production and Sales Information Service Platform”.
It’s believed that Cameron's flower industry can still maintain the "quality assurance" honor.
Source: kwongwah.com