TAIPEI, Feb 22 (Bernama) -- Taiwan Sugar Corporation (TSC) once enjoyed sweet success from a single commodity - sugar.
It was also Taiwan's largest export in the 1950s and early 1960s as it accounted for 74 per cent of foreign exchange earnings.
However, the company's sole dependence on sugar came to an end in the 1970s when other countries became more efficient producers of the commodity, and changes were made to Taiwan's economic structure.
But the state-run enterprise, which started operations in 1946, was not ready to let its fortunes slide and made diversification a top priority to stay afloat.
TSC decided to put its land to better economic use.
Today, the company still has about 10,000 hectares of sugar cane plantations, producing about 600,000 tonnes annually and about 60,000 tonnes of sugar.
But, it has also successfully diversified into animal husbandry, biotechnology, organic agriculture, hypermarkets, convenience stores, petrol stations, hotels, resorts and commercial property development.
Among TSC's positive diversification stories is that of orchid cultivation.
Taking advantage of Taiwan's rich diversity in orchid species, has enabled it to continue enjoying sweet success, said Fang Jing-Gwo, Chief Executive Officer of TSC's agriculture business division.
"It's also a beautiful business," he said in a recent interview, adding, TSC had in 1987 chosen Tainan, which is about 260 km south of Taipei, to be the centre of its orchid business.
Over the years, TSC has benefited from Taiwan's strong emphasis on using advanced biotechnology for orchid propagation and cultivation.
This has been made possible through the National Science and Technology Programme for Agricultural Biotechnology, a joint programme of the National Science Council, Council of Agriculture and Academia Sinica, which supports universities and research institutions in advancing the technology in genetic transforming, tissue culture, and production of orchids.
TSC focuses on two types of orchids, namely Phalaenopsis or moth orchids, and Oncidium, which belong to the Oncidiinae sub-group, sold under the botanical name of Taisuco.
Fang said TSC, which has its own orchids research and development institute, has two propagation centres that produce six million seedlings annually through tissue culture.
It also has computer-controlled greenhouses spread over 11 hectares that produce five million young Phalaenopsis plants and 200,000 pots of Phalaenopsis flowers annually.
Fang said most of the young Phalaenopsis plants or seedlings are exported, while potted plants and flowers are sold locally.
As for Oncidium, two nurseries covering eight hectares produce 1.5 million cut flowers annually to be sold abroad and locally.
Asked of the long-term prospects of the orchid business, Fang said it remained bright, as long as prosperity continued.
"More people are beginning to appreciate the longer lasting blooms of orchids compared to other flowers," he added.
He said TSC started expanding overseas a few years ago, as it was felt the domestic market was too small for the company's orchid production.
Today, it has opened branches in the United States, Canada, the Netherlands and Costa Rica.
Seedlings are exported to these branches where they are then cultivated as potted plants or cut flowers to be sold in the local retail markets.
"It is very important to be near our customers, to know what they want, so as to cater for them.
"Our greenhouses are also able to simulate climatic conditions of different consuming countries, so we can produce orchids that are suited for and in demanded at these markets," Fang explained.
Overall, orchids bring in between US$135 million and US$150 million annually in foreign exchange for Taiwan, earning it a reputation of being the "Kingdom of Orchids", in a global business that is estimated at more than US$2 billion annually.
Today, Taiwan's Phalaenopsis orchids account for more than 50 per cent of the world's production.
Its annual international orchid show is also regarded as one of three major international events in the world.
This year's Taiwan International Orchid Show (TIOS 2017) will be from March 4-13 at the Taiwan Orchid Plantation in the Houbi district of Tainan.
--BERNAMA
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