For the past 15 years, horticulture farmers in the thriving towns have lived through a paradox - booming business with no solid footing on the land they operate upon. Investors have long navigated the convoluted maze of the land policy - or the lack of it - giving rise to a web of competing rights.

A missing piece in the puzzle is the absence of legislation which governs urban agriculture that would provide investors leasing plots the right to secure their holding. This has left them high and dry when it comes to essential business activities like securing tenders, expansion projects, accessing credit, or even simple license renewals.

Consider the 10 companies in horticulture farming nestled between Bishoftu (Debreziet) and Batu (Zeway), in Oromia Regional State. They saw their businesses blossom for over a decade and a half, leasing land predominantly through high-priced rent agreements and contracts from local farmers. Such arrangements seemed workable until the maturity time approached, and the original landholders had to be compensated-a process involving regional officials and investors.

Seven years ago, a clock began ticking in these agreements when the renewal rate came to the fore. While the ongoing rate was 25 Br for a square meter, officials argued that this was no longer tenable, suggesting an alignment with the residential rate of 470 Br. The investors found this proposal exorbitant. Seeking a middle ground, both parties agreed to peg the rate to an impending study's results. But like many bureaucratic processes, the study has been slow to conclude.

Solomon Abebe, the deputy head of the Oromia Land Bureau, acknowledged the delay but stressed the necessity of "thoroughness," especially given this is a pioneering effort. He is optimistic about the study's outcomes, though.

"We believe the results will lay a credible foundation for the urban agricultural land lease system," he told Fortune.

The delay, however, has its cost. Companies like Zeway Rose Plc, which sprawls over 42hct in Batu, have found their hands tied due to the policy vacuum. Incorporated in 2006 with a capital of 114 million Br, the majority owned by a Dutch family, Zeway Rose has had to put its ambitious expansion plans by an additional 100hct on the back burner. The company exports 100 million flower stems annually to international markets.

Says Ermias Solomon, the operational manager: "The lack of urban tenure security has inhibited our growth, preventing us from leveraging title deeds to secure finance for expansion."

Such troubles are not unique to Zeway Rose. Six other flower farmers in Bishouftu and four in Batu share a similar experience. According to reports, these delays have given rise to myriad investment issues, which have persisted and may impact Ethiopia's position as the fifth-largest flower producer globally. It earned over 600 million dollars from flower exports last year, claiming a minuscule 1.65pc of the global cut-flower turnover of 36.4 billion dollars in 2022. The Netherlands, Colombia, Ecuador, and Kenya are the largest exporters; the primary export destinations for Ethiopia include the Netherlands, Saudi Arabia, and the United Kingdom (UK).

The Ethiopian Horticulture Producers & Exporters Association has not been a silent spectator. Close to 70pc of the Association's 126 members operate in the Oromia Regional State.

Tewodros Zewde, the Association's general manager, expressed his concerns, pointing out the undue delays in the much-awaited study.

"While the government's efforts to streamline urban farmland ownership are commendable, the protracted delays have curtailed the industry's output potential," he said in a letter he issued to the authorities.