The increase in Dutch exports of flowers and plants may have decreased a bit, but it's still in the black: 3%. Value-wise that's 3.2 billion euros until June, according to the monthly export analysis of VGB. The export in Q2 was nearly 1.7 billion euros higher than in 2015 and 2014, a 4.4% increase. Part of the value increase comes from a higher purchase value, in a fiercely competitive market.
Trend reversed
"Last year the flowers increased faster than potted and garden plants in the first six months, at 6%. Now flowers are just in the black, and the export value of plants sees a stronger increase. The trend has reversed," VGB concludes based on statistics gathered by Floridata. Exporters point out that part of the value increase is accounted for by a higher purchasing value. "And in the market, with strong competition that's ever increasing, it's hard to pass that on. That causes a continuous pressure on the margins and ROI, calling for inventiveness and innovation," according to the wholesalers organization.
Top 10
The fastest climber in the top 10 is number 5, Belgium, with 9.6% up to 140 million euros, followed by number 6, Poland: +7.4% to 115 million euros. The Polish potential for growth is believed to be higher than that of Belgium, however.
The trend that potted and garden plants are doing better in terms of export increase than cut flowers, is confirmed in Italy. The plant value increased by 7% until June, the flower value remained stable. This means the cumulative increase amounted to +3.9% at 147 million euros. And again, the export value to Russia decreased by the same percentage as the past months. The deficit is now 32% with a cumulative export value of 69 million euros. That means the market share has gone down to 2%, compared to 5% three years ago. If the current decline to Russia and the 7% increase to Denmark continues, VGB expects the Danes to overtake the Russians in the top 10 of markets in a matter of months.
Click here for a table with the top 10 flower and plant destinations in terms of total export value from the Netherlands, until June 2016, in euros.
Source: Floridata & VGB
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Increase mainly in export value of plants
NL: 3% increase in export value due to higher plant value
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