| Continued strong growth in the horticulture sector |
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International demand for flowers and plants will continue to grow strongly in the coming years. Flower Council of Holland expects a 36% increase in sales of cut flowers via the Netherlands over the next ten years. |
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or pot plants, a remarkable 46% increase is forecast. So by 2016 the floristry sector will be worth 7.5 billion euros, and ninety% of this will be attributable to exports.
Eurozone
The expected growth will reinforce the prominent position of the Dutch floriculture sector in Europe with regard to cut flowers, giving it a market share of up to 63.4%. Half of this growth will be achieved more than 800 kilometres away from the Netherlands, in an increasing number of countries outside the Eurozone. This will make the sector more susceptible to traffic congestion and currency fluctuations.
Growing importance of Europe
In the coming years, Germany’s position as the main flower export market will be taken over by the United Kingdom. At present, 23% of all cut flowers go to Germany. This will fall to 18% over the next ten years. Alongside England, the major growth markets will be France, Russia, Spain and Poland. The importance of Europe (including Russia) for the Dutch floriculture sector is increasing.
Central marketplace for pot plants
The expected increase in sales of pot plants, at 46%, is even higher than for cut flowers and is a continuation of a trend that started some time ago. This is gradually making the Netherlands a central marketplace for pot plants.
Changing consumer trend
In its market vision, Flower Council of Holland identifies an important new development in consumer behaviour. The period of fear and firmly entrenched attitudes that has prevailed since just before the year 2000 is now coming to an end, together with the associated traits of individualism, selfishness and desire for luxury. More caring and attentive attitudes are apparent, expressed in a desire for corporate social responsibility, sustainability, a more natural living environment and greater socialisation. Health, simplification and convenience are key aspects.
Larger role for supermarkets, DIY stores and garden centres
In the coming years, supermarkets will play an increasingl role as sales outlets for cut flowers. Pot plants will play a larger role in DIY stores and garden centres. These developments will hit the professional florists, cutting their share of the market to 47%. Flower Council of Holland expects their numbers to fall, while those who remain will specialise in order to be able to profit from the absolute growth of 33% in this sales channel. There will therefore be fewer florists, but they will sell more in total.
Flower Council of Holland admits that the forecasts present the sector with a serious challenge if it is to achieve the potential growth. So far growers, traders and florists have always been able to take advantage of such opportunities through innovation and enterprise.
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