A Study on Thai – Orchid Export Marketing System

Abstract

The objectives of this report were to study export marketing system of orchid and factors affecting its efficiency. The study also analyzed the trend of orchid exports to major importing countries. The results would be used to explore potentials to improve the export market of the country. The study showed that exporters obtained orchid from various sources including orchid growers, contract growers and owned farm. The peak period of demand was from October to February. Most of orchids was sold by order. Very occasionally the customers came to the office for the product. The more popular exported orchids were Dendrobium (Den.) Big Pink, Den. Pompadour, Den. Purple Lop, Den. Pure White and others. Each of them shared 46.43, 31.87, 10, 4.29 and 7.41 percent of their aggregate respectively. Buying and selling process of exporters were based on cost plus pricing methods. In general, export price was 37.5 percent above the buying price. Units for sale were in bouquets or spikes. The packaging methods varied according to the preferences of importers. Exporting procedures of the exporters were similar. Most of them exported the products through shipping agents. The major export markets of Thai orchid were Japan, Italy, the Netherland, West Germany and United States which cover About 80% of total orchid exports. The trend of orchid exports increased on and average of 490 tons/year. Exports to Japan, Italy, the Netherland and America increased on an average of 230, 140, 30 and 48 tons per year repectively. The export to West Germany, however, reduced by about 110 tons per year. The analysis of the export trend showed that there was still a good potential to expand the export market in the next 4-5 years, provided that quality improvement, packaging facilities and new species are promoted. In addition, good cooperation between various related agencies, public and private will also be needed to support the growth of the industry.