The floral industry in southwest China's Yunnan Province is expected to generate 5 billion yuan (602 million US dollars) in output value in 2004, maintaining its leading position in the country, said the provincial association of floral enterprises.

Statistics from the association show that the flower planting area in Yunnan Province is 12,000 hectares this year, a 20 percent increase year-on-year. The total output value of the industry will increase by 15 percent from 2003.

Over the past decade, the floral industry has developed rapidly thanks to the provincial government's effective measures and favorable geographic and climatic conditions of the province.

Currently, there are more than 300 flower production businesses in Yunnan. Tulips, carnations, lilies and roses are the most popular.