More than three-quarters of all cut flowers sold in Russia in 2025 were imported, according to data from consulting company B1 (formerly Ernst & Young), as reported by Izvestia. Nearly one in three flowers was supplied from the Netherlands.
The total market value reached $1.1 billion, marking a 2.9% increase compared with 2024. Despite the ongoing development of domestic production, imports continue to dominate the market.
The share of locally produced flowers has gradually increased from 12% in 2018 to 22% in the first half of 2025. According to Victoria Krylova, Executive Director of the National Association of Floriculture Producers (NAF), this growth is mainly linked to the reconstruction of old and previously mothballed greenhouses. However, the commissioning of new facilities remains limited: since 2020, only 16 hectares of new greenhouse complexes have been built in Russia. By comparison, Armenia constructed 24 hectares over the past three years.
Data from the Ministry of Agriculture indicate that 454.8 million cut flowers were harvested in 2025, 4% more than a year earlier. The sector currently comprises 133 companies operating across a total area of 333 hectares.
High capital intensity remains the main barrier to import substitution. The cultivation of popular varieties such as roses, chrysanthemums and alstroemeria requires expensive year-round greenhouses with climate control and high energy consumption, notes Alexander Vennikov, Business Development Manager at the marketplace Flowwow.
The increase in import duties on flowers from some countries, raised from 5% to 20% in summer 2024, has not delivered the expected results. Suppliers adjusted logistics chains and began routing shipments through Eurasian Economic Union (EAEU) countries. In addition, according to Victoria Krylova, many Dutch companies have been relocating production to Ecuador and Kenya since 2020, where climatic conditions are more favourable and production costs are lower. In 2025, these two countries accounted for around half of Russia's total flower imports.
The industry reports a lack of state support. According to the National Association of Floriculture Producers, proposals from the sector, including the extension of preferential loans, restrictions on imports from EAEU countries, and a reduction of VAT from 22% to the 10% rate applied to vegetable production, have not been supported by the Ministry of Agriculture. The Ministry cited limited budget resources and a high interest rate. As a result, some greenhouse complexes are switching to vegetable production.
Another structural challenge is demand. Russia's flower market, which accounts for less than 0.7% of global volume, remains largely holiday-driven. Sales peak around 8 March, weddings and anniversaries, while a culture of daily flower purchases, as seen in the Netherlands, has not developed. Average spending on flowers in Russia is 3.4 times lower than in EAEU countries.