Given the significance of floriculture exports from Hosur, the proposal to construct a new airport in the region assumes great importance.

Infra connect

Beyond promoting the State’s growth, this new airport will alleviate the infrastructural deficiencies that are currently hindering the floriculture exports. The Indian floriculture market was valued at ₹23,170 crorein 2022. Hosur in Krishnagiri district alone has generated ₹600 crore through flower farming and trade.

Floriculture exports in 2021, 2022, and 2023 were $98.10 million, $95.70 million, and $84.74 million, respectively (data: UN Comtrade, APEDA).

Additionally, post-Covid-19, the logistics cost of floriculture products has skyrocketed. Hence, an airport in Hosur will help flower exporters from this region significantly reduce their logistics costs.

India produces 9,58,000 metric tonnes of cut flowers annually and cultivates loose flowers on 2,58,000 hectares, yielding 22,36,000 tonnes.

Tamil Nadu’s floriculture export share was 37.4 per cent in 2022, 36.8 per cent in 2023, and 35.3 per cent as of 2024. Hosur, a major hub, recorded 31.46 tonnes of floriculture exports worth $25,857.

The non-availability of air space in major airlines, insufficient flights during peak seasons, and inadequate infrastructure for refrigerated transport and storage are significant bottlenecks, given that flowers are perishable and proximity to airports is crucial. Hosur’s location near major horticulture production areas in Tamil Nadu makes it an ideal site for a new airport. The airport can drastically reduce transit time, ensuring quicker delivery to international markets.

Global floriculture hubs

The success of global horticulture hubs like the Netherlands and Kenya underscores the importance of well-developed airport infrastructure in facilitating horticulture exports. Amsterdam Schiphol Airport, a major centre for Dutch flower exports, benefits from direct flights to key destinations.

Similarly, Jomo Kenyatta International Airport in Kenya plays a vital role in flower exports through similar mechanisms.

While the idea of a new airport in Hosur is promising, it’s essential to address potential challenges as well. One significant hurdle is the 25-year exclusivity agreement which prevents the establishment of new airports within a 150 km radius of Kempegowda International Airport (KIAL). This agreement, between the Centre and Bangalore International Airport Ltd (BIAL) expires in 2033.

The Karnataka government has already expressed its intent to build a new airport to handle Bengaluru’s growing air traffic. By acting swiftly and strategically, Tamil Nadu can gain a lot by establishing a new airport in Hosur.

Valiachi is a Research Staff at the IIM, Tiruchirappalli and Nagarajan M is a researcher at Alagappa University, Karaikudi. Views expressed are personal

Published on July 11, 2024