How to Earn from Hibiscus Export Business: The Ultimate Guide

Starting an agricultural products export business is often viewed as a daunting challenge. One reason is that some countries make the requirements for starting an export business appear unattainable. Also, many people simply do not know how to start, or what could pass for viable agricultural products in terms of foreign demand. Based on these premises, and perhaps other factors, some who would like to start an export business become discouraged and shy away. But that shouldn’t be the case.

Agricultural products export business can be a dependable source of income if you put in the effort to discover selling products and the markets. Of course, that’s not all that is required. You also need to understand the export processes for your country, and the import requirements for the target country and be ready to follow through with all that is necessary. This takes a lot of work, but the gains might outweigh the pains.  

In this article, we will provide useful information about hibiscus as an economic crop, as well as a guide to starting a profitable agricultural products export business.

What is Hibiscus?

Hibiscus is botanically an ornamental plant. There are many different varieties, but this article refers to Hibiscus sabdariffa or Roselle – a shrub belonging to the Malvaceae family. In Nigeria, it is known as “Zobo” plant. In some English-speaking countries, it is called Red Sorrel.

The plant is also known by various names, such as Florida Cranberry, Guinea Sorrel, Jamaica tea flower, Java Jute, Jelly Okra, Natal Sorrel, Nubia tea, Pink Lemonade, Queensland Jelly Plant, Red Tea, Rosella, Royal Roselle, Rozelle, Rozelle Hemp, and Sour-Sour. Learn more about Roselle from this article by North Carolina State University.

The Roselle plant produces red flowers, which make it known by many as a constituent of Floriculture. However, its economic importance derives more from its role as a food crop than as an ornament – and from the calyx and flowers.

Furthermore, hibiscus thrives best in well-drained soil rich in organic matter. It is produced mainly in China, Spain, India, Thailand, and Nigeria. The crop is also produced in other countries, such as Mexico, Egypt, Senegal, Tanzania, Mali, and Jamaica.

Many people do not understand the value of this plant; they sometimes trim it and get it disposed of. But did you know that the plant has a remarkable economic value, which can result in income generation for yourself and your country? Yes, as a viable candidate for the agricultural products export business, hibiscus flowers can contribute significantly to a country’s Gross Domestic Product (GDP). This may sound strange to some people.

The interesting fact, though, is that the hibiscus plant is cultivated, consumed locally, and exported to other countries. For example, according to The Cable, Nigeria is expected to earn about $3 billion annually from the exportation of hibiscus flowers to Mexico alone. We know that this may sound incredible. But you should stop doubting and dive in for the catch.

What are the Uses of Hibiscus?

Now you know hibiscus is a viable candidate for a profitable agricultural export business. But you might wonder how the crop is used and its importance. The different parts of the plant, including flowers, leaves, and roots have various uses, such as food, medicines, and paper. However, we will focus on the flower, which is the primary subject of the agricultural export business – because it is in high demand.

According to the United States Department of Agriculture (USDA) Food Central, the hibiscus flower is rich in Vitamin C, Calcium, and Iron. Furthermore, research has shown that the flower is rich in health-promoting secondary metabolites, including phenolic acids, flavonoids, and anthocyanins.

Hibiscus flower has various health benefits, including strengthening the immune system, speeding up metabolism, improving digestive health, managing diabetes, and lowering blood pressure, according to this peer-reviewed article. Hibiscus products also enhance skin health, act as anti-aging agents by boosting collagen and reducing skin sagging, and enhance hair growth.

The USDA Food Central shows that hibiscus is used in various products, such as Herbs and spices, Iced and Bottle Tea, Tea Bags, Hibiscus flower and Ginger brew, Powdered Drinks, Baking Additives and extracts, Pickles, Olives, Peppers and relishes, Jam, Jelly & Fruit Spreads, Syrups & Molasses, Fruit & Vegetable Juice, Nectars & Fruit Drinks, and Ice Cream & Frozen Yogurt. The non-food uses of hibiscus include skin care and hair care.

Examples of hibiscus products include the following:

• Hibiscus Anti-aging Creams
• Hibiscus Tea
• Hibiscus Drinks
• Hibiscus Powder for Hair Growth and other uses
• Hibiscus Oil and related products
• Other Hibiscus Cosmetics products

Where is the Market for Hibiscus Export Business?

This is the logical next question if, at this point, you’ve started considering an agricultural export business with hibiscus. We are here to guide you. According to TRIDGE, the top 9 importers of hibiscus include the following:

• United States
• Germany
• Japan
• South Korea
• France
• China
• India
• Taiwan
• Spain

Other countries accepting supplies of hibiscus flower include Turkey, UAE, Netherlands, Montenegro, Egypt, Germany, United Kingdom, Canada, and Mexico. There may be many other countries in the EU and other parts of the world not included in the list.

STARTING AN AGRICULTURAL PRODUCTS EXPORT BUSINESS: A COMPREHENSIVE GUIDE

Now you know a bit more about the crop hibiscus, its uses, and potential export destinations. The next point of discussion is what you need to do to start. The information presented here is generalized, and you may need to find out more about the specific details that apply to your country or region. Also, this guide applies to export business in general, although we are applying it to the agricultural product, hibiscus.

Conduct a Market Research

This is the first step to take if you desire to start up an export business. Market research here involves an advanced search for potential customers in other parts of the world that need hibiscus. It would be practically impossible for you to travel around the world to search for such countries. But the ‘’global village’’, being the internet makes this search easy. We have provided you with a list of countries importing roselle in large quantities. So, simply surf the internet to see the potential importers in those countries to help your export business.

Search for Local Producers

Assuming you’re not a producer and you don’t want to start there, sourcing from producers might be a good path to take in your quest to embark on the export business with Roselle. Granted, some people cultivate roselle just for subsistence purposes, while others do it just for the purpose of beautifying their environment. So, as an exporter–to–be, you should search for those people who cultivate flower in large commercial quantities to be able to meet the demand of your potential customers.

For example, if you’re based in Nigeria, your search should be directed to the Northern part of the country where large-scale farming of the product takes place. In some other countries like Spain and Thailand, the plant may be largely produced in geographical areas with soils that are moist but well-drained.

You may need a Processing Facility

Roselle flower is usually imported either as dried hibiscus or as hibiscus powder. Depending on which you choose, you might need a facility with basic equipment, such as dryers, grinders, and packaging equipment. However, if you have limited finances, you may go for the dried flowers and look for producers who can dry them for you. The flowers can also be sun-dried or solar-dried.

Export Business Registration

This is the next step to take after you have found both the suppliers and the market for your hibiscus flower export business. First and foremost, create a business name. Then, the name of your business should be registered with a recognized body with the mandate of business registrations.

For example, in Nigeria, the Corporate Affairs Commission (CAC) is charged with this responsibility. In Canada, you will need to register in the province where the business is located. Typically, when you tender your application, approval will be granted with a business registration number assigned to you.  Some company documents will also be assigned to you.

Obtain an Export Business License

This is another important step towards kickstarting your agricultural products export business.  Much like importation from other countries, the following documents are typically required for exportation (in addition, the destination country may need more requirements depending on the country):

• Packing list
• Pro-forma invoice
• Sales agreement
• Commercial invoice
• Product certification or test result with a relevant agency certification
• A completed form issued by the exporting country’s customs service
• Shipping documents like waybills, bill of landing, and telex releases, amongst others.

Obtaining an export license does have some cost implications. The specified cost according to the exporting country’s requirement should be settled accordingly. After the payment is completed, wait for some moments to get your exporting license.

Seek Help from Customs Service

The next line of action that can be helpful in the export business is to request assistance from the country-of-origin customs service. Customs is an authority or agency in a country responsible for collecting tariffs and for controlling the flow of goods, including animals, transports, personal effects, and hazardous items, into and out of a country. Traditionally, customs have been considered a fiscal entity that is vested with the responsibility of charging customs duties technically known as tariffs, as well as other import and export taxes.

In this 21^st century, the objectives of the customs service have been expanded to encapsulate three basic issues: trade facilitation, taxation, and security. Each country has its own rules and regulations and/or laws for import and export trade. These are administered or enforced by their respective customs service. Any breach of their regulations attracts severe sanctions.  So, to succeed in your export business, meet your country’s customs service for guidelines and clearance.

Package/Brand Sample Products and Send them to Would-be-customers

This is an important final step in getting ready for your agricultural products export business. Your potential customer wants to be sure your product meets their quality requirements. You should contact them in advance to know what those requirements are and then process your product to meet them.

Packaging refers to all the activities involved in designing and creating a cover or wrap for the product to make it easy to transport and ready for sale. It integrates components such as color, design, description, fonts, logo, and so forth.

Branding, on the other hand, is a marketing strategy, in which the marketer uses a name, mark, or symbol of a product to make it differentiable or easily identified by the customers from the other competitive products in the market cycle. When you successfully locate potential buyers for your products, you are encouraged to package a sample of your goods and send it to them. This act is known as ‘’sales promotion’’.

The Bottom Line

Hibiscus is evidently one plant with amazing commercial value that is unknown to many. But as you’ve seen, you can build a profitable export business around this agricultural product. By doing so, you would not only be generating income for yourself but also contributing immensely to the Gross Domestic Product (GDP) and foreign exchange earnings of your country.

This article is designed to help you know a bit more about the crop, its uses and value, and how you can make money from the hibiscus plant by exporting it to other countries. The guidelines on how you can go about building your export business are pretty generalized, and you should do more research to find additional information specific to your country/province.

Need tips on how to raise funds to support your agri-business idea? Check out our previous article Powerful Tips on Business Funding for your Agri-food Start-up/Enterprise

SOURCES

Customs. http//www.en.m.wikipedia.org

Explore Hibiscus Botanical Name. http//www.byjus.com/biology/hibiscus

Hibiscus Flower Export from Nigeria: How?. http:www.clearingandforwardingnigeria.com/hibiscus-flower

Packaging and Branding. http//www.keydifferences.com

What Type of Soil is Best for Hibiscus Flower? http//www.homeguides.sfgate.com