Floribusiness Lower prices for cut flowers than in 2016

    Lower prices for cut flowers than in 2016

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    The turnover from the beginning of October to mid-November declined somewhat (6.2 percent) at Royal FloraHolland due to the poorer price-setting for cut flowers. The prices of gerbera, lilies, and spray and disbudded chrysanthemum are lower than in 2016, when there was a worldwide shortage.

    If we look at the average prices of the last 5 years, however, we see that this is an average price-setting. The prices lay higher than average in 2016 because of the worldwide shortage.

    Causes of the lower price-setting:

    -Among cut flowers the share of direct flows increased by 1.7 points to 32.7 percent. As a result, the clock price of cut flowers decreased slightly.

    -The turnover of cut flowers dropped by about 8 percent compared to the same period in 2016, despite an increase of 3 percent in the supply.

    -In 2016 there was a relative shortage of cut flowers in the global market due to a combination of bad weather and special holidays. This led to higher prices in the same period.

    -The most important sales countries realized a growth of around 4 percent. Only the UK lagged behind with a drop in export of 3 percent, which can be blamed on Brexit, which was announced in 2016.

    Price drop for Phalaenopsis

    Concerning houseplants, a decrease in turnover of 2 percent was noted. The supply was the same as last year. The average price declined by 2 percent. This was primarily due to the drop in price for Phalaenopsis of 4 percent. The price of pot chrysanthemums also declined.

    Fewer violets

    Among outdoor plants, the turnover dropped by 8 percent. The 9 percent decline in supply was responsible for this result. In particular, fewer violets were supplied.

    Source: Royal FloraHolland

     

     

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