TAIPEI (Taiwan News) — The Ministry of Agriculture has opened the Floral Industry Innovation Center in Tainan’s Houbi District, upgrading the Taiwan Orchid Plantation to accelerate development of the country’s floral sector.

The center will integrate resources from the Taiwan Orchid Plantation and the Taiwan Agricultural Research Institute. It will also feature functions such as R&D, technology verification, and industry services to support breeding, production, cold-chain logistics, and marketing, per CNA.

Agriculture Minister Chen Chun-chi (陳駿季) attended the opening ceremony on Monday, saying Taiwan’s floral industry must accelerate its transformation through policy support and technological innovation to compete with the Netherlands, Japan, China, and Vietnam.

DPP Legislator Chen Ting-fei (陳亭妃) also attended and expressed support, saying the facility is expected to become a key hub for Taiwan’s floral industry.

Chen highlighted competitive pressures Taiwan faces in the global orchid market, particularly from the Netherlands, the main rival in exporting moth orchids to the US. She noted that while the Netherlands benefits from lower tariffs, Taiwan’s moth orchids are of higher quality.

Established in 2003, the Taiwan Orchid Plantation spans 175 hectares and accounts for one-third of the nation’s moth orchid production area. Despite being the world’s largest moth orchid industry cluster, it faces challenges such as aging infrastructure and limited space.

In August, Taiwan Sugar Corp. announced plans to use its orchid farm in California as a production base for Taiwanese exporters, aiming to cushion the impact of US tariffs. Taiwan’s orchids are typically cultivated as seedlings for 18 months before being exported to the US, where local growers nurture them for another six months until blooming. The company will adopt the same model in California to improve flower quality and reduce shipping losses.

Last year, Taiwan’s floral industry recorded a production value of NT$18.5 billion (US$603 million), with exports accounting for NT$6.54 billion. Moth orchids made up the largest share, representing 68.4% of exports. Japan and the US were the top destinations, together accounting for 60.7% of exports.