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CUT FLOWERS AND ORNAMENTAL PLANTS MARKET NEWS SERVICE (MNS) MONTHLY EDITION BULLETIN MNS, April 2012

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Page 1: CUT FLOWERS AND ORNAMENTAL PLANTS - ITC · Cut Flowers and Ornamental Plants 6 cannot be positive anymore. Import products were also not really overdone, especially of leucospermum

CUT FLOWERS AND ORNAMENTAL PLANTS MARKET NEWS SERVICE (MNS) MONTHLY EDITION

BULLETIN MNS, April 2012

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Market News Service

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Disclaimer

This report has been prepared without formal editing, as a service to exporters and industries in developing countries by the Market News Service (MNS), Division of Market Development, International Trade Centre; The Joint Agency of the World Trade Organization and The United Nations. No part of this report may be reproduced, stored in a retrieval system or transmitted in any form or by any means, without prior permission in writing from the International Trade Centre. The mention of specific companies or of certain commercial products and brand names does not imply that they are endorsed or recommended by ITC in preference to others of a similar nature that are not mentioned. The designations employed and the presentation of material on the map do not imply the expression of any opinion whatsoever on the part of the International Trade Centre concerning the legal status of any Country, territory, city or area or of its authorities, or concerning the delimitation of its frontiers or boundaries.

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Market News Service Cut Flowers and Ornamental Plants

Market News Service: Floriculture Products Report prepared by Mr. Jan Plasmeijer and Mr. Chumi Yanai

Issue No. M04 (2012), of 14 May 2012

The Market News Service (MNS) Cut Flowers and Ornamental Plants Monthly Report presents informative notes and statistical analysis on Cut Flowers and Plants traded in major European and international markets.

The MNS objective is to provide indications on market trends to support exporters, producers, sector associations and other private or public organizations in their export marketing decisions. MNS aims to serve as a market intelligence tool to improve market transparency and facilitate trade.

MNS information providers for floriculture products include major importers, wholesalers, auctions and organizations in 11 European countries and one Asian contrary, namely Japan. Market information is collected throughout the year and is available for transmission to subscribers on a monthly basis.

The MNS Floriculture Statistical Information section, available through the MNS Web site on a weekly basis, provides quotations that refer to major flower auctions` quantities and average weekly prices from the Netherlands and Japan. European prices are quoted in Euro. Japan prices are quoted in local currency and in US$. Unless otherwise mentioned, prices are quoted per stem and are related to size in cm.

We welcome new sources of information, news that subscribers and readers might have on their specific products or areas, inquiries or information requests on the products and markets covered by the report as well as suggestions, remarks and indications on the report content.

For these purposes or for other information about the report and the Market News Service, please contact [email protected]. The authors can be contacted at [email protected] or [email protected]

To subscribe to the report or to access MNS reports directly online, please contact [email protected] or visit our website at: http://www.intracen.org/exporters/market-news-service or http://www.intracen.org/trade-support/market-news-service

Copyright © MNS/ITC 2012. All rights reserved

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INDEX

MARKET TRENDS ................................................................................. 5

CUT FLOWERS MARKET IN EUROPE ............................................................................... 5

PLANTS MARKET IN EUROPE .................................................................................... 10

SELECTED FLORICULTURE WORLD INFO ...................................... 13

FLORICULTURE SECTOR TOWARDS MAINSTREAM SUSTAINABILITY ............................................... 13

INDIA: A DUTCH MODEL FLOWER AUCTION IN IS READY ......................................................... 13

AUSTRALIAN FLOWER GROWERS WORRY ABOUT INCREASED IMPORTS ........................................... 14

BREEDERS’ RIGHTS TO BE PROTECTED IN ETHIOPIA ............................................................. 15

RWANDA SEEKS KENYANS FOR DEVELOPING HORTICULTURE .................................................... 15

EU MIGHT TAX KENYAN FLOWERS ............................................................................... 16

JAPANESE BUY MORE FLOWERS IN KENYA ....................................................................... 17

ECUADOR AND CHINA BROADEN COOPERATION .................................................................. 17

COLOMBIAN CONGRESS APPROVED THE U.S. TRADE ACCORD ................................................... 18

JAPAN IS THE THIRD DESTINATION OF COLOMBIAN FLOWERS ................................................... 19

MEXICAN PRODUCERS INCREASE FLOWER EXPORTS TO EUROPE ................................................. 19

CANADA HELPS FLOWER GROWERS TO OPEN NEW MARKETS .................................................... 19

GLOBAL OUTLOOK ON THE CUT FLOWERS INDUSTRY ............................................................ 20

WORLD RECORD FOR FRESH CUT ROSE COLD STORAGE ......................................................... 21

EVENTS CALENDAR ........................................................................... 22

FLOWER DAYS CALENDAR ........................................................................................ 22

EXHIBITIONS AND CONFERENCES ................................................................................. 22

STATISTICAL INFORMATION ............................................................. 23

1. PERIOD PRICE INFORMATION – FIRST QUARTER 2012 ........................................................ 23

2. EXPORT OF FLORICULTURE PRODUCTS FROM THE NETHERLANDS ............................................ 25

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Market News Service Cut Flowers and Ornamental Plants

Market Trends Cut Flowers Market in Europe

The Netherlands Flower Auctions’ Notes The March cut-flowers sales and prices have been published by the auction as follows. The March 2012 turnover has increased by 16%, realised with a supply decrease of 3%, resulting in a total average price for all products of 21 Eurocents per stem (last year 17.8 cents). The best paid for products were chrysanthemums (prays, single-headed ones and santinis), lilies, eustoma and bigheaded gerberas. For chrysanthemums the increases were some 60–70%, due to much lower supplied quantities and excellent demand from Russia and England. It has been many years since chrysanthemum prices were this high; excellent for growers/producers, who have obtained far too low prices during those years. As said, the march cut-flowers demand, sales and results tuned out to be very good, mainly due to lower supplied quantities, but even more due to excellent demand and sales during the special cut-flowers consumption events: International Woman’s Day and the English Mother’s Day. The latter took place in March this year, while last year it took place in April. The tulip and other bulb flower season 2011/2012 has been a disaster - 80% of all the qualities were sold around or under the cost price. Only as of the beginning of April, when quantities slowed down drastically, prices reached a normal level. It can not, however, make the season positive anymore, since it is almost

finished. As mentioned before, the chrysanthemum prices remained very high, much higher than normally in this period of the year. Rose prices were slightly higher, but not really spectacular. Positive were also the prices for most of the so-called summer flowers, or fillers. As from the second week of April the market and the prices for most of the products gradually slowed down. Still, they could be called very reasonable, and much higher than last year during the same month. The total cut-flowers market throughout April 2011 could be divided into two parts, the period before and the period after Easter. During the two weeks before Easter supplied quantities were slightly lower, while prices were very good, realising a 20% increase of the turnover. Very positive were the prices for tulips (finally, because they were very bad throughout the whole season 2011–2012). Very good prices were also for: chrysanthemums, gerberas, freesias, cymbidium orchids and anthurium. Also prices of roses were not bad at all. In the period after Easter supplied quantities deceased drastically. Also prices got lower, which created a lower turnover of 20%. The biggest losses in turnover were realised for products like: chrysanthemum sprays, santinis and single-headed ones, for gerberas, freesias and cymbidium orchids. Still higher turnovers for: small and medium roses, double-headed tulips, spray roses, eustoma and hydrangea flowers.

Importers’ and Traders’ Notes The March 2012 export figures of cut-flowers from the Netherlands were published by HBAG (Exporter’s Union) as follows. The March 2012 export has increased by 19% when compared to the same month of last year. Per country quite some differences could be noticed. Export has increased to: Germany (25%), United Kingdom (40%), Russia (71%), USA (65%) and Austria (35%). Remarkable was that Russia - for the first time - accumulatively became export country number four, bypassing Italy, and the strong return of the USA, after many negative years. The only one country with negative results was France, with -14%. Italy ended up with a zero increase.

The month of March has been a very god cut-flowers month, with good demand, good sales and also very good results. This in contradiction with March 2011, when the whole market was not positive at all, mainly as a result of the very nice summer weather at that time. This year spring has been rather cold with temperatures of around 5-12ºC most of the time. On the other hand it has been rather dry, with only a very little rainfall. As said, due to the rather cold circumstances domestic supplied quantities were not extremely large, except of tulips. Towards the end of March, tulips quantities slowed down and prices recovered. However, the tulips season as a whole

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cannot be positive anymore. Import products were also not really overdone, especially of leucospermum cordifolium and proteas, but also of asters, gypsophila and solidago, of which prices were high all the time. The three important cut-flowers events - International Woman’s Day, the English Mother’s Day and Easter, have all turned out to be successful this year, again - mainly due to the cool weather and no oversupply. Only as of the second week of April the market gradually slowed down, as did the prices, except for the so-called summer flowers or filler products. As of week number three the market and the prices did slow down, but throughout the last week of the

month most of the products turned out to be more expensive again, except for the proteas. On the other hand leucospermum cordifolium became very expensive, also due to the much smaller supplied quantities. The season in the Canary Islands and Portugal was terminating, while it is waiting time for the season to start in Zimbabwe and South Africa. Gypsophila and hypericum were also much cheaper temporarily, but towards the end of the month all became much more expensive again, especially the shorter sizes, which were used to make bouquets, all needed for the approaching Mother’s Day.

Austria Throughout the whole month of March the cut-flowers market has not been very special at all. No special demand for International Woman’s Day, and just a slightly higher demand for Easter. However, Easter has never been a special cut-flowers event in the country. It is a time for a short vacation in the sun. The ones who were not on vacation preferred to buy bulb-flower products, and house & garden-plants mainly. The import of cut flowers such as roses and carnations was very limited. The Italian products, such as ginster (season has finished), anemones and ranunculus

(season has nearly finished) were only marginally used. The whole cut-foliage assortment was now successfully imported and used all the time. All hopes are put on the approaching Mother’s Day, taking place on the 13th of May. Throughout the last two weeks of the month the cut-flowers market did not really improve, even though Mother’s Day was approaching. As during the past years, buyers have been waiting till the very last moment to order and to buy, in the hope that flowers could then be purchased for lower prices.

France During March and April the cut-flowers market all across the country was not very special. In fact, trade in general, and of cut flowers in particular, was very moderate, certainly when compared to many previous years. As was reported, the only sector still very active and very successful was the cheese sector. The major given reason was the continuous economic and financial situation, not only in the country, but all over Europe. Also Easter was not special at all, except for the narcissus and most of the other yellow coloured flower types. On the supply side of the market plenty of African flowers, especially of roses, were available all the time. However, quite some shortage of Ecuadorian roses was noticed during the past weeks. Also flowers originating from the Netherlands were not really very plentiful. However, as of the second week of April quantities from over there were gradually increasing, while on the other hand prices were slowing down. This is always slightly negative for

the directly imported products, which are mostly imported for fixed prices during a certain period. When wholesalers and florists can buy flowers cheaper elsewhere, they do not hesitate to use that opportunity. During the last week of April the market was very much focussed and flooded with the special First of May flower, the ‘convallaria’ (lily of the valley), specially used to celebrate Labour Day. This year sufficient quantises were available and final sales turned out very satisfying. Not all quantities were 100% mature due to the relatively colder weather. The general quality level of the product was excellent this year. In addition, quite a number of shorter sizes of roses, anthurium and some cut-foliage types were used, for the preparation of small bouquets. Until the very end of the month there was a continuous shortage of Ecuadorian roses, while there were enough roses originating from African production countries.

Germany The cut-flowers market and trade during all of March and the first half of April was very good. Supplied quantities were not particularly big, while

demand and prices were good. Prices for certain products were even very high, especially for chrysanthemums and lilies. Roses were also more

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expensive, but not as expensive as the chrysanthemums. Sales and results obtained during the International Woman’s Day period were excellent this year. With the moderate and cool weather throughout the mentioned period, demand could be called very reasonable. With those lower temperatures, however supplied quantities were not excessive at all, except for all the bulb-flower products, particularly of tulips. Also the Easter demand, sales, prices and results turned out very satisfying. Even the tulips became more expensive, at the very end of the season. African roses were plentiful all the time, and throughout the second week of April even some over-supply was noticed, which on the other hand pressed the prices downwards. There was temporarily some shortage of Ecuadorian roses during March. During the first weeks of April quantities normalised again. The cut-greens' market was very steady. Supplies were normal, as

were the prices. The protea and leucsopermum cordifolium season has nearly terminated, while the season of the exotic flowers has started. During the second half of April the cut-flowers market remained rather steady, mainly because of the constant dark and cool weather. That was a bit of a disadvantage for the domestic production and the supplied quantities. However, it was advantageous for the prices and results, both of which were very positive. During the pre- Mother's Day week supplies were still not excessive at all, while the general price level went up and up. There was a serious shortage of Ecuadorian roses, due to recent cold and dark weather conditions over there. It was also reported that Kenya was suffering from bad, rainy and cool weather. Therefore, quantities were also not so high. It was expected, though, that quantities would increase in time to be plentifully available for Mother’s Day.

Italy Around the special days, like International Woman’s Day and Easter, the cut-flowers market and business was very good and very satisfactory. However, throughout nearly all of the remaining time, the market was not very special at all. Sometimes it was moderate, sometimes very poor, but most of the time not so good. Many people, clients and consumers, have been keeping their wallets closed, as traders were reporting. They have been constantly very cautious in spending money, and when they have to save, they save on flowers and plants in the first instance. The political, economic and financial situation in the country is not very positive. Meanwhile, most of the import flowers have been very expensive, much more expensive than last year. Remarkable

were the very high prices for the Dutch products, such as: chrysanthemums, lilies, bigheaded gerberas and eustoma. There also seems to be a change in the demanded assortment and in the colours mostly wanted, especially of the roses. Red colours were always mostly demanded. However, at the moment the colour pink is the most popular. Contrarily, a popular colour in the past - white, is not wanted at all nowadays. Exactly why is not 100% known yet. During the last two weeks of April the cut-flowers market was not very special. However, during the very last days it all started to gradually and slightly improve again, since the Mother's Day demand started to take off.

Norway The cut-flowers trade during all of March was very good, really fantastic, especially when compared to last year. The total turnovers were some 20–25% higher than last year. The major given reasons were the early termination of the winter and the rather good spring weather. On the other hand, total supplied quantities were not overdone at all, especially those originating from the Netherlands. Certain products from there were very expensive, like all types of chrysanthemums, lilies and bigheaded gerberas. Other flowers were not particularly expensive, such as: roses, mini gerberas and ranunculus. Tulips were very dominant in the market; however, they were all domestically available. Import roses, especially of African origin, were also sufficiently plentiful, and obtainable for very reasonable prices. Also the Easter demand and sales turned out very well and

satisfactory. As of the second week of April the market became much slower and quieter. In the actual Easter week, the cut flowers and plants market were nearly dead. Importers, wholesalers and florists all closed their business for three days - Wednesday, Thursday and Good Friday, just before Easter. That is tradition in the country. During the post-Easter period of two weeks the cut-flowers market was more or less normal, but considerably slower when compared to the weeks before. The same happened to the garden- and bedding-plants supply, demand and sales. The weather was not the very best, which had quite some negative impact on this market; this was in strong contradiction with the situation of last year during the same weeks. At that time the weather was very summerlike, with all the negative effects on the supply, prices and results.

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Spain The month of March did not bring any special demand and sales of cut flowers this year, which was considered normal. However, when compared to last year, sold quantities were lower, due to the very moderate economic and financial situation in the country. The economic situation is worse than in many other European countries. Therefore, buyers and consumers were spending less money on purchasing cut-flowers. This product group is now considered a luxury, and consumers aren't buying it so much. Meanwhile, import chrysanthemums from the Netherlands, one of the most used products, have been very expensive during the past three months. Prices were about 50–60% higher when compared to previous years, due to much lower supplied

quantities. Another product that was extremely expensive was the dendrobium orchid originating from Thailand, also due to a much lower supply. During the first two weeks of April the cut-flowers market still remained very slow and quiet. It was waiting time for the approaching Mother’s Day, taking place on the 6th of May; yet, until the very end of April, just one week before the actual Mother’s Day, the cut-flowers market in general was still very calm. Buyers were reluctant and waiting until the very last moment to order flowers. This was extremely difficult for importers, because they could not plan their business on time. On the other hand, it was too risky to purchase quantities without knowing whether it would be sold.

Sweden The month of March turned out to be a very good month for cut flowers' sales and results. Results were far better when compared to the same month of last year, mainly due to the better weather. It was much less cold than last year, and therefore it was much easier to move and sell flowers outdoors. Also the period before Easter was very good. It was an early Easter this year; it was much later last year, and the weather was already very summer-like, with plentiful quantities of any product. This year during March and April supplied quantities were much lower and therefore prices were maintained at a higher level. On the supply side of the market, as said, supplied quantities whether from domestic production or originating from the Netherlands, were not overdone at all. The same could be said of Ecuadorian roses and of Colombian carnations.

African flowers, particularly roses, were plentiful all the time, while purchase prices were very reasonable, without being low. During the post-Easter week the market slightly slowed down, as did the prices, especially of import products originating from the Netherlands, except of chrysanthemums, gerberas and lilies. Remarkable were the continuous supply and demand for tulips, even though the quantities were not too big anymore. This was probably due to the early Easter. During the last two weeks of April the cut-flowers market remained rather good and positive, mainly due to the moderate weather with moderate temperatures. Suddenly a certain shortage of roses was notices, especially of those originating from Ecuador and Kenya. In Kenya growers were facing quite some rainfall. Therefore roses arrived with minor botrytis problems.

Switzerland In this country, International Woman’ Day has never been celebrated much. Still, demand and sales have been reasonably satisfactory and final sales results turned out rather positively. All in all, the month of March turned out to be good, and considerably better when compared to the same month of last year, when the weather was very much summer-like. Total supplied quantities have not been excessive at all. Ecuadorian roses were temporary short in supply, while prices have been very high. Instead, some more roses were imported from the Netherlands, where the general price level was very reasonable. Towards the very end of the month and during the first weeks of April supplied quantifies of Ecuadorian roses were plentiful again. African roses were constantly plentiful. The market for cut-greens was very

steady, as were the prices. Gradually more and more exotic flowers were used, mainly because the really cold period of the winter was over. During the first two weeks of April the cut-flowers market was very good, especially for the Easter days. However, even during the post Easter week the market remain very steady and prices did not really slow down very much. The market during the second half of April was rather good, mainly as a result of lower supplied quantities, and not so much due to more demand. There was quite some shortage of roses originating from Ecuador, while African roses were plentiful enough. It is feared that not enough quantities of Ecuadorian roses will be available for the approaching Mother’s Day.

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United Kingdom So far this year the cut-flowers market was very changeable. January was a very good month. Valentine’s Day turned out very well, too; as did Mother's Day in March, when demand, sales and results were very satisfactory. However, April was not a successful month, not for selling cut flowers, neither for selling garden- and bedding plants. The weather in April was not very good; it was dark, relatively cold with lots of rain. All factors which negatively affect the demand and sales of fresh flower- and plant products. During April lots of carnations - both sprays as standards - were

imported from Turkey, in most cases on consignment base. This meant that prices were not particularly good and therefore importers and wholesalers were prepared to import the quantities on consignments base only. The problem in such cases is always that large quantities have to be sold without knowing how much will be sold, and which prices can be obtained. It can be stated that final prices were not very high. The question is - was it enough to cover the costs for the growers and exporters in Turkey?

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Market Trends Plants Market in Europe The Netherlands FloraHolland Aalsmeer Auction’s Notes The March 2012 auction figures are published by the auctions as follows. The March 2012 turnover has increased by 11% when compared to the same month of last year, realised with a supply increase of 13%, resulting in a total average price for all plants of €1.47 (last year €1.50). Best prices were for products like: phalaenopsis orchids, kalanchoe, hydrangea, pot roses, anthurium, ficus, and campanula on pot; lower prices for most of the bulb-flower products on-pot, such as: narcissus and hyacinths, but also for dracaena. The garden-plants turnover has increased by 32%, realised with a supply increase of 33%, resulting in a slightly higher price for all products of 75 Eurocents per plant (last year 76 cents). The March 2012 house- and garden-plants demand and sales turned out much better when compared to the same month of last year. The major given reason was the moderate weather. Sometimes the weather was even very nice, which immediately had a positive effect on the demand and sales of garden-plants, especially on the pansies and the primroses. However, due to

the strongly increased supplied quantities, both products ended up being considerably cheaper than last year. Remarkable was the relatively strong increase in quantities of the products: phalaenopsis orchids, kalanchoe, and campanula. Still, prices for the mentioned products were higher. No special demand and sales of ficusses, even when prices were lower. Throughout the post-Easter weeks the houseplants market was a bit on the slow side. Supplied quantities were not particularly big, while prices, in general, were more or less normal. Of course, there were some differences, such as lower prices of phalaenopsis orchids, pot roses, hydrangea, anthurium, and campanula. Higher prices were, however, for: kalanchoe, bromeliad, zantedeschia (calla lilies) and dracaena. The garden- and bedding plants demand and sales did stay behind quite considerably, mainly due to the relatively cold and dark weather, especially when compared to the same period of last year, when it was really summer weather.

Importers and Traders’ Notes The March 2012 export figures were publisher by HBAG (Exporter’s Union) as follows. The March 2012 turnover of house- garden- and bedding plants has increased by 17% when compared to the same month of last year. The best results were obtained by Germany (+18%), United Kingdom (+16%), Italy (+24%), Austria (+23%), Russia (+42%), Switzerland (+20%), Sweden (+36%), Poland (+21%) and ‘other countries’ (+22%). To only one important country – France - the export did not increase at all. The market and the interest in new young plant-material of tropical ornamental young plants during March and April were not very special. Sufficient new plant material was available and offered from the production countries in Central America and in South East Asia, but as said, domestic growers and other buyers were reluctant and very much in a waiting position. Therefore many of the young plants had to be offered and sold for bargaining prices. The whole atmosphere

in this sector was not particularly positive. Local growers were very critical regarding what to buy and the general quality level of the offered products. They have been demanding the best service and quality standards and now they are sceptic about taking bigger quantities. During the second half of April the market for green-plants was rather slow, mainly due to the fact that for Mother’s Day priority was given to the flowering house-plants and the garden- and bedding-plants. In the garden- and bedding plants sector demand has grown and prices were very good. However, supplied and mature products were not excessive at all, which was called good. Certainly much better than last year, when it was real summer weather, so that quantifies were enormous and prices were low. As said, in the tropical ornamental young plants sector sufficient quantities of new young plants were available all the time. Products such as beaucarnea and phoenix canariensis were

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available more than plentifully, while demand and prices were not good at all. Hardly any quality

problems were noticed, but importers and wholesalers are waiting for better and easier times.

Denmark The Easter business of potted plants was very satisfactory in general, but it was most successful for the whole range of the so-called bulb-flower products on-pot; products like: hyacinths, narcissus, muscari blue grapes, crocuses and many others; as long as they were flowering in all the bright spring colours, and mainly in the yellow and orange colours. Good demand was also for the whole range of flowering houseplants, with primroses as the leading product. All the aforementioned products were easily sold for the requested prices. Even bigger quantities could have been sold, has they been available. The only one flowering plant product that did not sell so easily was the saint paulia. Why it was like that, could not be explained. On the other hand, kalanchoe sales were running very smoothly and prices were good. In the green-plants sector all went rather positively as well, except for the smallest sizes, which were much less demanded. The medium and bigger sized plants were

demanded and sold successfully. Surprisingly good was the situation in the very big plants, so much used for internal landscaping. This market has been continuously good since last October, after having been poor the whole year before. However, throughout the last two weeks of April this market completely died again. The garden- and bedding plants demand and sales were positive, even though night frosts still occurred from time to time. In the tropical ornamental young-plants sector all went rather normally. Sufficient quantities of new young plant-material from the tropical production countries were constantly available, while the general quality level of the imported plants was called good and positive. Quite some quantities of young –plants were supplied from other importers in Europe, who tried to get a foothold/position in the Danish market. This created price pressure and unfair competition.

Germany With the relatively cool and dark weather throughout all of March and the first half of April, the garden-plant market was still rather slow and quiet. Meanwhile, the plants that were already supplied in smaller quantities were reasonably well priced. Production-wise, quantities were not yet very high, mainly due to the cold weather as of the beginning of February. Most probably the real big quantities will arrive at the market when temperatures will rise to some 20º Celsius. However, until half of April that was not really the case. In the green–plants sector things were moving at a slower tempo, while prices for the more important products, such as dracaenas, phoenix roebelinii and ficusses were relatively lower. It was reported by growers and traders that these mentioned plants have become less popular with big parts of the clients and consumers. They are seen as old-fashioned plants nowadays. During the second half of April the weather was still not very nice and not very warm. Nevertheless, supplied quantities increased considerably. Due to the control over the quantities, prices were rather good. Traders reported that the present situation is more steady and better, than when it would

become very warm. In such a situation there would be a tremendous boom in the supply, with - most probably - pressure on the prices. In the flowering plants sector all was moving satisfactorily as well, especially with more demand for the approaching Mother’s Day. Furthermore, relatively slow and quiet was the market situation of the green-plants; with two exceptions, however - a positive one for the phoenix roebelinii, which were rather expensive, and the phoenix canariensis, which were much cheaper. In the tropical ornamental young-plants sector continuously sufficient new plant material was available. Enough offerings were placed all the time. However, clients and growers could wait and bargain on the prices. Some prices for the respective products: phoenix roebelinii 1.40m high in a pot size 24 for €12.50 (which is far too low); dracaena marginata tufts of 3 plants per pot with a total height of 1.40m for €4.00–4.50; dr. marginata 4" rooted canes for €0.17–0.20, 6" rooted canes for €0.20–0.25; dr. warneckei and deremensis 4" rooted canes for €0.35; areca palms 1.20m height in a pot size 24 for €6.50–7.00.

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Sweden

The start of the season of the spring products, especially of the flowering house-, garden- and bedding plants was very good and successful. Good demand, sales and prices for all the so-called bulb-flower products on-pot. Products such as: narcissus, hyacinths, tulips, muscari, crocuses and many others, particularly those in yellow colours. Yellow is the colour of the spring and of Easter. Wholesalers and florists were sold out all the time and they were not stuck with any leftovers. The successful flowering houseplants were: kalanchoe, calandiva, chrysanthemums and

primroses. As of the beginning of April the market slightly slowed down, mainly because the weather became colder and less spring-like. A spring exhibition, with garden- and bedding plants, in Stockholm, turned out to be very successful. Over 300 growers/producers, 600 traders and buyers and over 60.000 visitors, visited the exhibition, which was called very good, and better when compared to previous years. In the green-plants sector the market was still rather slow and quiet, which will most probably last until the beginning of May.

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Selected Floriculture World Info

Floriculture Sector towards Mainstream Sustainability The Floriculture Sustainability Initiative (FSI) is a unique international public private sector initiative that will be officially launched during the Floriade 2012. With the support of a growing number of international organizations the initiative is currently being shaped with the aim to mainstream sustainability in the sector. Current founding participants are: ANCEF, BGI, BRO, EPHEA, Dutch Flower Group, Fair Flowers Fair Plants, FleuraMetz, FloraHolland, Florint, Hivos, LTO Noord Glaskracht, MPS, Pfitzer B.V., Rainforest Rescue International, UnionFleurs, VGB, Vereinigung des Schweizerischen Blumengrosshandels and WWF Kenya. FSI is an international coalition of major players in the flower sector, civil society organizations and other relevant stakeholders. By joint commitments and pre-competitive cooperation the FSI aims to contribute to greater sustainability in the sector and to create a more level playing field for producers, wholesalers and retail.

A first important step is to develop a tool to increase the transparency and comparability of existing floriculture sustainability standards. Such a tool will increase efficiency, flexibility in buying, decrease costs and reduce the overlap of criteria. This will create a starting point for mainstreaming the implementation and demand of sustainability criteria in the sector by building on existing standards and initiatives. FSI will be financially independent and linked to existing structures to create a cost effective and sector embedded initiative. The start-up of the FSI is financed by the founding members and co-funded by the Dutch Horticulture Board (PT) and the Sustainable Trade Initiative (IDH). “To accelerate sustainability in the sector we should cooperate and create tools on an international level”, states Herman de Boon, chairman of the FSI steering group. “It is of great importance that this initiative is supported by a large group of stakeholders”. For more information visit www.floriculturesustainabilityinitiative.com

Source: The Floriculture Sustainability Initiative 07/05/2012

India: a Dutch Model Flower Auction is Ready The hi-tech flower auction centre in Noida, southeast Delhi, the first of its kind in India - is all set to be inaugurated. Noida Authority is in completion of the last round of talks with floral traders and market associations in northern India asking them to begin trading at the centre. Built on the lines of the auction centres in Holland, and with support from the Dutch government, the new facility would be a one-stop-shop for Indian flower producers and wholesalers and will link home traders with Dutch retailers. A team from Holland, along with agriculture ministry officials, visited the centre recently.

"Indian farmers suffer because they fail to get the right price for their produce. This facility would overcome such problems and would give them an ideal environment to fetch the best price for their material from floral stockists in and outside the country," said a senior official of Noida Authority. "The facility is almost ready to be launched. We are deliberating with flower associations asking them to start trading at the centre. The facility will not only help them overcome their losses, but also increase business in bidding of flower stocks, subsequently providing a huge revenue to the state government," the official added.

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Flower producers incur heavy losses in Delhi's improvised markets. Traders of these markets force their own prices on the producers and are involved in black-marketing. The produce also gets damaged in the absence of buyers during lean days. "With the entire trade shifting to Noida's centre, illegal trading will stop, benefiting both farmers and traders immensely. The trading here will generate 40 per cent more business than in Delhi and will be fool-proof, fair and transparent," said a senior district administration official. Noida Authority has also announced a complete tax waiver for farmers and traders for the first year of operations. The online bidding centre will invite farmers from UP, Uttarakhand, Delhi, Haryana, Himachal Pradesh, Punjab and Jammu & Kashmir.

The flower market, developed at a cost of about Rs 12 crore (US$ 2,270,000) has distinct facilities for cold storage, a bank, cafeteria and a guesthouse.

Source: Times of India 20/04/2012

Australian Flower Growers Worry about Increased Imports Australia's manufacturers can't match the low labour costs of developing countries and the nation's flower growers are finding the same thing. An increasing number of growers fear the market will be overwhelmed by fresh cut flowers from overseas. So Australia's biggest growing groups are calling for mandatory labels on flowers to show where they come from. In Australia's biggest market for cut flowers, the Sydney Flower Markets (pictured), buyers in search of a bargain dodge trolleys, and trucks. From five o'clock each morning Mark Grubski sells roses that he grows at Glenorie on Sydney's northwestern fringes. He says he can't sell his roses as cheaply as the ones imported from countries such as China. “The only way we can compete is on quality and I think that's the key”.

Mark Grubski argues his roses are in better shape than those straight off a plane. “After that trip, being fumigated and gassed, they are not good quality. I mean the logic says, there is no rocket science in it”.

Among Australian growers there's more and more concern about competition from imported flowers. Says Tony Bagala: “Well you've got India and China; they're the ones who really can produce a lot cheaper than what we can. And then you've got Africa. Africa can be competitive.” He says the Federal Government should do something to protect local growers. Just what, he's not sure. “Well if it keeps up the way things are and then we've got GST and now this carbon tax coming up and all this sort of stuff, we don't know what the future holds for the industry.” Imports are not new and not everyone is worried about them. One of biggest companies in the cut flower business is Lynch Flowers. Peter Lynch, the group’s manager: “We've imported flowers for many years. You either get good or get out.” Peter Lynch dismisses the complaints about cheaper imported flowers. He says growers have to adapt to the conditions in the marketplace. “As flower growers, we have to adapt the same way that you know some of the major retailers have to adapt to pressures from online shopping.” Australia's largest growing associations are concerned. Denis Secco is the President of the New South Wales Flower Growers' Group. He says growers want tighter quarantine checks because at the moment only a fraction of flowers are inspected. “They're checking 10 boxes. They're not checking the whole hundred boxes.” The Department of Agriculture says the Department inspects all consignments of cut flowers at the border to ensure freedom from pests and diseases and compliance with mandatory treatments.

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Denis Secco says they also want to see mandatory labelling of all flowers. “Eventually it would be great if all the Australian growers could market their produce under one banner.” Some growers are already stating where their flowers come from. Robin Williams grows flowers at the New South Wales Central Coast. When he sells flowers at suburban markets in Sydney, he now displays signs that state: “no imported flowers sold here”. He says: “A lot of flowers especially roses are coming in from overseas.

They're coming in from Namibia, Zambia, South Africa, from the entire world; tonnes and tonnes of flowers are coming in. He's not opposed to imports in principle, but he does worry that they might overwhelm the local market. “Free trade is the way to go, but there should some restrictions of some things coming in because the local farmers up where I am, the years and years of experience. There's a 100 farms for sale, they're all going broke and experiences could be lost forever.”

Source: ABC News 17/04/2012

Breeders’ Rights to be Protected in Ethiopia Ethiopian government and the private sector are busy nowadays in the formation of a new law for the protection of plant breeders’ rights. According to the Dutch agriculture advisor in the Embassy of The Netherlands in Addis Abeba, the new law enables international breeders to collect their royalties, supported by law enforcement in Ethiopia; something that is not so easy so far, especially in the flower sector. Flowers are easy to augment by cuttings, and the owner of the breeder’s rights has no legal way to enforce the rights. The Netherlands would support the Ethiopian authorities in the implementation of the new regulations, and the training of the legal enforcement personnel. Meanwhile: a rose breeder lost court case Rose breeder Van Kleef accused rose nursery Mekiya Enterprise from Addis Abeva of the committing of an infringement of the breeder’s rights. However, he has lost this case because of procedural infringements.

Van Kleef wants a compensation for lost revenues from 135,000 rose plants planted at the nursery of Mekiya in 2009. He asked for a compensation of 300,000 €. But the judge rejected the claim because Ethiopia doesn’t recognize breeders’ rights. According to the judge, Van Kleef should have taken legal action in the Netherlands, because the flowers were sold in the country, and the breeder should have based its claim on the sold roses. The third argument of the judge was that the roses were planted at a subsidiary company of Mekiya, which should have been sued.

Source: Vakblad voor de Bloemisterij 16/04 + 03/05/2012

Rwanda Seeks Kenyans for Developing Horticulture A delegation from Kigali, who recently participated in the International Flower Trade Exhibition in Nairobi, encouraged Kenyan growers and exporters to invest in Rwanda. Simon Ethangatta, a Kenyan working with Rwanda’s Ministry of Agriculture as a technical advisor in horticulture development, said Rwanda lacks the infrastructure required to fully exploit its potential for fresh produce. Mr Ethangatta, a former chairman of the Fresh Produce Exporters Association of Kenya (FPEAK), led the delegation

to look for established exporters willing to invest in Rwanda. The country has an ideal climate for fresh produce. “The entire country is made up of highlands with year-round rainfall. It also has the natural humidity suitable for long stem and big headed flowers — a favourite with international markets,” he said. He added that Rwanda could supply summer flowers when Kenya gets into its dry spells. “Summer flowers in Kenya are grown

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by smallholders who rely on rain-fed farming, so when it becomes dry supplies dwindle and so Rwanda wants to offer an alternative,” he said.

At the moment, the country is not exporting much and most of the fresh produce is consumed locally or within the regional markets. Other reports indicate that there is a shortage of fruits and vegetables globally, such as green beans (French beans) and snow peas, which can do well in Rwanda and which have been identified for export. FPEAK chief executive officer Stephen Mbithi concurs that Rwanda’s climate is ideal for crops and Kigali is keen to work with Kenyan growers. “We have met President Kagame who is personally pushing for the partnerships,” he said. Rwanda’s push for horticulture development kicked off in 2006 when the government established the Rwanda Horticulture Development Agency (Rhoda), which was mandated to assess the potential of the sector and introduce new crops. The goal was to seek

ways of growing fresh produce to the level of tea and coffee — the country’s key agricultural exports. Last year, Rhoda was placed under the National Agriculture Export Board, which was established to promote the country’s agricultural exports. Head of horticulture at the board Nsanzabaganwa Epimaque said Rwanda wants to borrow from Kenya’s experience in fresh produce trading and production. According to Tony Nsanganira, head of agribusiness Rwanda Development Board, the government views horticulture as a key to diversifying exports in order to bridge the trade deficit by increasing foreign exchange earnings. He added that Rwanda, currently rated by the World Bank as the most investment friendly in East Africa and third on the continent, has recorded an average of six per cent GDP in the past six years making it attractive to foreign investors. To woo investors, the country has established a 24-hour one-stop-shop to register businesses, issue work permits and visas, offer banking, legal and statutory services in one office ran by the board. “This has been one of our winning strategies as it saves investors valuable time,” he said. Being a landlocked country makes shipping of fresh produce difficult, while the small volumes make airfreight costs too high. “Airlines have said we must grow our volumes to bring down the cost of freight”, Mr Ethangatta said.

Source: The East African 31/03/2012

EU Might Tax Kenyan Flowers The European Union Parliament has tasked a British MP to prepare a report that will determine whether Kenyan flowers exports will be subjected to duty in the EU markets, or continue operating in the quota-free market regime. David Martin has been appointed to prepare a report on the proposed amendment to the European Commission regulation 1528/2007, which imposes a December 31, 2013 deadline on the conclusion of all negotiations for the Economic Partnership Agreements (EPAs), otherwise a 16% duty will be charged on imports from ACP countries. Once passed, 18 African Caribbean and the Pacific (ACP) countries, which include Kenya, will be deleted from the quota-free agreement that allows Kenya to export its flowers to the EU market duty-free.

"David is expected to prepare a report and a resolution on the EC proposal for discussion and adoption in the EU parliament by mid this year," Morgan Githinji, an expert on multilateral trade issues based at the ACP secretariat in Brussels, said.

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The report comes a month after the European Parliament Committee on Trade made a visit to Kenya and Zambia last month. Voting is expected to take place during EU’s plenary session that could either see the amendment adopted, and therefore pushed to the EU parliament for debate, or rejected. A decision as to whether the amendment will be adopted or rejected should be ready by September, when Kenya and other ACP countries are expected to know their fate.

"We have rejected the EC’s proposals and will lobby for its rejection. I have written to all ministers of Trade of the 27 countries EU countries, lobbying for the rejection of this amendment," Musikari Kombo, President of the ACP Joint Parliamentary Assembly, said in an interview. The ACP group believes that the regulation should be maintained until the full EPAs have been concluded and implemented.

Source: The Standard 08/04/2012

Japanese Buy More Flowers in Kenya A growing number of Japanese buyers are opting for direct importation of Kenyan flowers in a move likely to boost sales of the country’s roses in Asia. Most of the importers are now placing their orders directly with suppliers for delivery through Dubai and other international hubs, said Japan’s embassy officials. Previously, Japanese importers preferred to buy Kenyan flowers from the Dutch auctions, the channel through which up to 70 per cent of Kenya’s flowers traditionally get to the international market. “As a result of direct imports, the supply of roses from Kenya was ranked number one in 2011 and other types of flowers from Kenya are expected to increase in the market,” the embassy said in statement posted on its web site. In line with official policy to look for alternative markets in the East, Kenya’s flower industry players have been trying to make inroads into the Japanese market over the past four years. While most importers are still reluctant to break up their traditional links with Europe (mainly the UK), those who are establishing direct contacts with buyers in Asia are hoping to eliminate the expensive middlemen in the flower market chain. The direct sale contacts are identified either during trade fairs or through the Internet. But

even industry players who are still attached to intermediaries are expected to tap Japan’s 150 flower auctions. The Horticultural Crops Development Authority (HCDA), the industry regulator which has been campaigning to open up more markets for Kenya’s fresh produce has said it will take time to record noticeable change in revenues from the new market. For a start, importers who have shifted to direct contracts with Kenyan suppliers still have to endure longer lead times, as there are no direct flights between Nairobi and Narita International Airport in Tokyo. “Japan is an important alternative market for Kenya’s flowers but suppliers find the distance quite long and unreliable,” said Dr Alfred Serem, HCDA’s managing director. Dr Sarem said exporters to Japan faced stringent quality standards, which include a requirement that suppliers fumigate their produce; an expensive exercise that most growers say lowers quality even as it raises produce prices. Industry data indicates that last year Kenya led rose exporters to Japan, supplying a total 20,057,578 stems out of which the Ota Floriculture Auction (pictured) took up 1.7 million stems valued at Sh122.6 million.

Source: Business Daily 10/05/2012

Ecuador and China Broaden Cooperation Ecuador and China plan to increase cooperation in the areas of animal health inspection and quarantine through a memorandum of understanding signed during a visit to Beijing by Director General of Agri-Quality, Luis Valverde. This memorandum will allow Ecuador join efforts in speeding health requirement authorization procedures, which will promote the entry of Ecuadorian products to China, said the

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Ecuadorian official form the Ecuadorian Embassy in China. Ecuadorian and Chinese authorities in the field will exchange experiences and information and increase the communication among relevant national organizations in the field of animal and plant health. They will also cooperate in research and establish a warning mechanism for animal and plant quarantine, according to the document,

also signed by host, Deputy Minister Wei Chianzhong. The agenda of this visit also included a technical meeting to discuss products of interest to be increasingly exported to China, including banana, mango, pineapple, lemon, flowers and cocoa, fishmeal and shrimp. The Ecuadorian delegation also met with representatives of Chinese wholesale businesses to know their views and experiences about the Ecuadorian goods they import and others to joint the list.

Source: Presenta Latina 07/04/2012

Colombian Congress Approved the U.S. Trade Accord Colombia’s Congress passed bills to implement a free-trade accord with the U.S., advancing the agreement ahead of President Barack Obama’s visit to Bogota for the Summit of the Americas. The Senate and lower house passed the legislation last night, Colombia’s trade ministry said in an e-mailed statement today. The deal, projected to increase U.S. exports by as much as $1.1 billion a year when in full effect, won U.S. approval in October after Colombia pledged to strengthen protection of labor unions. The agreement may enable Colombia to boost exports, including oil, metals and cut flowers, to the U.S. and will immediately eliminate duties once in effect on more than 80 percent of U.S. consumer and industrial products exports to Colombia, with remaining tariffs phased out over 10 years. The U.S. exported $14.3 billion in goods to Colombia last year and imported $23.1 billion, according to the U.S. Commerce Department. The trade pact, which was first agreed more than five years ago under President George W. Bush, was stalled in the U.S. Congress amid Democratic opposition. The Obama administration sent it back to lawmakers in October after Colombia pledged to strengthen protection for organized labor leaders. “The trade agreement implementation review process is still underway, but the United States has indicated its desire to see the agreement with Colombia enter into force as soon as possible,” Nkenge Harmon, a spokeswoman for the U.S. Trade Representative’s office said. Colombian exporters ask government to curb strong peso Earlier this spring, Colombian exporters and producers have asked the government to take additional measures to keep the peso in check against the dollar. The exporters want authorities to take measures to assist producers and

exporters in the face of the peso's rally against the dollar. "We are very worried about the uncertainty that lays ahead and we don't feel they are taking important steps," said Agosto Solano, president of the Colombian Association of Flower Exporters.

Solano said that floriculture is one of the most affected sectors, because "we export 100% of what we produce and we are very labor intensive. 55% of our costs are spent on wages and our prices have not soared as they have with the coffee, petroleum, minerals and sugar." He added that last year the value of Colombian flower exports was the same as that of 2010, $1.25 billion, despite the continued growth of the national economy. The fact that there was no increase in the figure was largely due to the appreciation of the peso. Regarding the revaluation he said, "One must look at the longer term because if this phenomenon persists, it will begin to affect employment." The Finance Minister Juan Carlos Echeverry said the government had been taking steps to reduce the amount of currency in the market since taking office in August 2010, but "the currency war is very strong."

Sources: Bloomberg 11/04/2012 + Colombia Reports 23/03/2012

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Japan is the Third Destination of Colombian Flowers Last year Japan overtook the United Kingdom in the chart of most important export destination of Colombian flowers. Japan took the third place and the United Kingdom became fourth. According to the Colombian flower export organisation Asocolflores, The US was by far the most important destination with a share in the total flower export of 76.5%, and an export value of US$ 957 million. The second important

destination is Russia, stands with a value of US$ 61 million. Third is Japan with US$ 50 million. Fourth is the United Kingdom with US$ 44 million, and fifth Canada with US$ 28 million. Flower bouquets were the most important products to the US. Their value was US$ 434 million, which is 34.7% of the flower exports to the US. Second are roses, with a share of 30.5% and a value of US$ 381 million.

Source: HortiBiz /FloraCulture International 10/05/2012

Mexican Producers Increase Flower Exports to Europe Mexico participated through agribusiness of the floricultural and horticultural sectors on a commercial mission to the Netherlands in Expo Floriade 2012, from April 5th to 10th.

During 2011, exports of flowers to Europe rose 2.8%, with a value of more than $10 million dollars, said the General Coordinator of Trade Promotion and Export Promotion, Gabriel Padilla Maya. The Mexican Ministry of Agriculture, Livestock, Rural Development, Fisheries and Food (SAGARPA) stated that Mexican producers are looking for export opportunities for flowers in the Dutch market, and they want to use the Netherlands as a base for further export to other countries.

The trade mission to the Netherlands and participation at the Expo Floriade 2012 involved 13 agribusinesses that are engaged in floriculture and horticulture, from the states of Aguascalientes, Baja California, Chiapas, Guanajuato, Hidalgo, Morelos, Puebla, Tamaulipas, Sinaloa and Veracruz. These producers offer orchids, anthuriums, lisianthus, roses, cacti, and also greenhouse vegetables: tomatoes, peppers and lettuce. Padilla Maya said this trade mission is intended to explore the potential of the Dutch market for Mexican horticultural sector in order to study the characteristics of this market and how to adapt Mexican products to its needs. He said they would learn processing techniques, packaging and marketing in floriculture and horticulture industry, identify niche markets and generate business contacts. The SAGARPA encourages activities that integrate a greater number of products certification Mexico Supreme Quality and as other international certification that facilitate the access of products to markets.

Sources: Mexbest 25/03/2012

Canada Helps Flower Growers to Open New Markets Canadian flower growers can further expand their profitability with the support of the Government of Canada. At the Canada Blooms Flower and Garden Festival, Member of Parliament John Carmichael, on behalf of Agriculture Minister Gerry Ritz, announced an investment of almost $380,000 for Flowers Canada Growers (FCG) to explore new international market opportunities. "Our Government's top priority remains the economy, and Canada's flower growers play an important role in keeping our economy strong," said MP Carmichael. "This investment will help increase awareness of the value and quality of

Canadian-grown flowers to help connect exporters with new buyers, leading to increased profits for our growers." An investment of more than $145,000, delivered to FCG through the Canadian Agricultural Adaptation Program (CAAP), will go towards improving access to new chrysanthemum genetics and developing an economic impact study of the sector in Canada. An additional $95,000 is being delivered to create a bio security and traceability strategy for the floriculture sector in Ontario. This will provide flower growers with tools to respond quickly to new and emerging quarantine threats, as well as path find and pilot the solutions to these threats.

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Nearly $140,000 will be invested through the AgriMarketing Program to help FCG facilitate market exports and boost sales internationally, in particular in the United States, Germany and the Netherlands. The investment will help Canadian growers differentiate the high quality of their products from others on the market, and promote them abroad. "This funding will allow Canadian flower growers to better understand their export market, share information with international buyers through the directory of greenhouse growers, and facilitate flower exports," said Dean Shoemaker, FCG Executive Director. "These projects will go a long way in helping FCG enhance the profitability and competitiveness of the floriculture industry as a whole and will contribute to the economic sustainability of the sector by assisting floriculture producers in maintaining their strong relationships in trade." FCG represents greenhouse growers across Canada, as well as distributors and importers/exporters dealing with cut flowers, potted plants, bedding plants, cut greens and specialty supplies and services. This industry brings in approximately $1.5 billion in farm-gate sales and helps to sustain more than 20,000 full- and part-time jobs in this country. Canadian Agricultural Adaptation Program (CAAP) is a five-year (2009-2014), $163-million program that supports the agriculture industry's ability to

seize opportunities, respond to new and emerging issues, and remain competitive. The AgriMarketing program helps industry to implement long-term international strategies, which include activities such as international market development, consumer awareness, promoting the

Canada Brand and industry-to-industry trade advocacy. The Government of Canada has also developed a Canada Brand strategy to help the Canadian agriculture, agro-food, fish and seafood sector distinguish itself from key competitors in international markets. The Canada Brand encourages buyers overseas to associate Canadian products with quality, commitment, trustworthiness and the clean land and water for which Canada is known.

Source: The Wall Street Journal 26/03/2012

Global Outlook on the Cut Flowers Industry Global Industry Analysts, Inc (GIA) announces the release of a comprehensive global outlook on the Cut Flowers Industry. Flowers, once considered to be mere decorative items, are now gaining recognition as special occasion items with rapid changes in the customer attitudes. The global cut flowers market is extremely dynamic. Flower varieties, production centres, cultivation methods, marketing, and supply techniques, are all undergoing continuous changes. The market players are challenged to adapt to these changes. Cut flower exporters from developing nations are gaining market share at the expense of existing players from developed nations. Leading flower growers are trying to regain lost market share by increasing the production and quality of the flowers, and through innovation and diversification. The global economic crisis took its toll on the cut flowers market as sales of fresh cut flowers withered, owing to the frugal spending patterns, and currency fluctuations. Rising costs and

stagnant prices reduced grower margins, obliging growers to shift focus towards cost leadership through producing bulk products, scaling up, and specializing in products targeting particular market segments. Though the recession had affected the sales and trading of fresh cut flowers, it has not completely wilted the bloom in the market. Global cut flowers market witnessed a positive growth in 2010, after a decline in 2009, both in terms of acreage and value, with emphasis having shifted to developing regions exporting to the industrialized countries. Flowers, once considered to be mere decorative items, are now gaining recognition as special occasion items with rapid changes in customer attitudes. Higher levels of disposable incomes, and supermarkets and other retail stores featuring exclusive outlets for flowers primarily drove the change. Finally, online trading of fresh flowers has become immensely popular because of the convenience factor. Over the years, online purchase has gained in popularity mainly because of convenience and easy delivery service and this

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holds true especially for fresh cut flowers arrangements. Increasing consumer demand for high quality products is driving the need to export only premium quality flowers. The flower industry is attracting new entrants despite various entry barriers such as huge capital, technical expertise, and infrastructure. Low production, ineffective cold storage systems and poor transportation has limited the competitiveness of developing countries such as India and China. Besides the traditional growers, which include the US, Japan, Italy, Netherlands, and Colombia, recent times have witnessed the emergence of new producers, especially in Asia where countries have taken to horticulture on a

large scale. Japan boasts of a large domestic market. The research report titled "Cut Flowers: A Global Outlook" provides a collection of statistical anecdotes, market briefs, and concise summaries of research findings. The report briefly discusses the overview and trends in the global cut flowers market, demand patterns for various types of cut flowers, international trade, and role of distribution channels in sales of cut flowers. For more details about this comprehensive industry report, please visit - www.strategyr.com/Cut_Flowers_Industry_Market_Report.asp

Source: PR Web 07/02/2012

World Record for Fresh Cut Rose Cold Storage Vivafresh, a world leader in vacuum freshness technology, has set a new world record for the storage of fresh cut roses that delivers a pristine product after over fifty days. No other cold chain technology has demonstrated this capacity with roses. In an on-going commercial demonstration of the technology at the Vivafresh laboratory in Homestead, Florida, Dr. Tom Davenport, Director of Research and Development for Vivafresh

confirms that the system effectively and reliably upholds the quality of the cut flowers at least ten times longer than previous processes. After over fifty days in the Vivafresh system, the roses maintain their ‘like new’ condition and industry-established vase life. The trial is presently on track to exhibit the same “blossoming” success in the preservation of the roses for sixty days.

Source: Vivafresh 25/04/2012

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Events Calendar Flower Days Calendar

Exhibitions and Conferences

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STATISTICAL INFORMATION

1. Period Price Information – First Quarter 2012

Floriculture Products - European Markets Statistics from FloraHolland Auctions of the Netherlands

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Notes: Cut flowers

The auction figures of the first quarter 2012 cannot be compared with the figures that were published last year, due to a change of statistical information available by FloraHolland of the Netherlands. The information given is valid for the top 15 products only and therefore not comparable with previous years. However, the published survey of the first quarter 2012 provides a good overview of the market situation. The total results of the first three months 2012 in cut flowers are turnover increase of +3.5%, realised with a supply decrease of –4.1%, resulting in a 1 cent higher total average price for the top 15 products together, all when compared to the same period in 2011. The market during the first two months January and February was nothing special. Turnovers and prices were nearly identical to those of the same months of last year. However, during the month of March the market was really booming. Supplied quantities did stay behind, but prices were much better (about +20 %). It has to be said that the weather during in March 2011 was very summer like, Therefore supplies were very big and prices were then on summer level. This year the springtime weather was like autumn. Plants

The first quarter’s houseplants turnover 2012 of the top 10 products was +9.6% higher, realised with the same supply like last year, resulting in totals average price of € 1.32 (last year € 1.34). Much lower supplies of ; kalanchoe, anthurium, and ficus. On the other hand, a slight increase only of phalaenopsis orchids, but significant increase in supply of narcissus, pot-rose, arrangements, and campanula. Much higher prices this year for kalanchoe, anthurium, ficus, and hedera. Lower prices for: narciss, arrangements, and campanula. Due to the cold and rainy spring weather during the month of March the garden- and bedding-plant supplies (not published) were much lower than during the same period of last year, when it was already rather nice and warm weather.

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2. Export of Floriculture Products from the Netherlands First Four Months – 2012

Graph Total Export (All Products) Cumulative

Jan. – Apr.

Top 10 countries export – All Products

Exports are listed up to and included the month April 2012 All monetary amounts in 1,000,000 Euro / Change in % from same period in 2010

Total Export Countries Jan.-Apr. 2012 Change +/- April 2012 Change

+/-

Germany 663.8 3.3% 175.0 -4.5%

United Kingdom 304.6 14.7% 67.3 -3.6%

France 229.2 -4.0% 54.6 -03%

Russia 108.0 40.5% 19.0 31.0%

Italy 98.6 -10.3% 21.8 -26.7%

Belgium 77.9 -7.5% 22.0 -9.0%

Switzerland 65.8 8.7% 18.3 18.5%

Austria 58.5 -5.3% 14.5 -22.9%

Poland 50.5 -6.5% 11.5 -7.3%

Sweden 46.3 12.1% 10.8 -9.8%

Other countries 359.0 0.5% 90.2 -15.2%

Total all countries 2,062.1 3.5% 505.2 -6.7%

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Graph Cut Flowers Cumulative Jan. – Apr.

Top 10 countries export - Cut Flowers

Exports are listed up to and included the month April 2012 All monetary amounts in 1,000,000 Euro / Change in % from same period in 2010

Flowers Export Countries Jan.-Apr. 2012 Change

+/- April 2012 Change +/-

Germany 396.7 5.7% 97.1 11.6%

United Kingdom 240.8 19.4% 51.1 6.4%

France 145.0 -5.7% 32.6 -0.5%

Russia 81.2 42.3% 12.7 24.6%

Italy 47.3 -12.5% 9.7 -19.1%

Switzerland 38.7 9.2% 10.1 38.2%

Belgium 36.4 -1.8% 9.2 -2.5%

Poland 29.9 -9.0% 6.3 -1.2%

United states 28.7 12.3% 5.6 -23.3%

Austria 28.2 1.0% 6.0 -2.2%

Other countries 205.6 0.0% 46.3 -9.3%

Total all countries 1,278.3 6.0% 286.6 3.3%

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Graph Potted Plants Cumulative Jan. – Apr.

Top 10 countries export - Potted Plants Exports are listed up to and included the month April 2012

All monetary amounts in 1,000,000 Euro / Change in % from same period in 2010

Plants Export Countries Jan.-Apr. 2012 Change

+/- April 2012 Change +/-

Germany 267.1 -0.1% 77.9 -19.0%

France 84.2 -1.0% 22.0 0.1%

United Kingdom 63.8 -0.1% 16.2 -25.7%

Italy 51.3 -8.1% 12.1 -31.8%

Belgium 41.5 -11.9% 12.8 -13.2%

Austria 30.3 -10.5% 8.6 -32.8%

Switzerland 27.1 8.1% 8.3 1.0%

Russia 26.9 35.2% 6.3 46.0%

Sweden 24.5 15.4% 6.4 -7.2%

Poland 20.7 -2.6% 5.2 -13.8%

Other countries 146.5 0.1% 42.8 -19.5%

Total all countries 783.8 -0.4% 218.6 -17.2%

Source: HBAG Bloemen en planten

See notes at the next page

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Notes: All products’ Export

The total floricultural products’ export value (cut flowers, potted plants and propagation material together) during the first four months of 2012 from the Netherlands increased by +3.5% when compared to the same period of last year. During the months of January and February the exports only, but very slightly increased with some 2%. However throughout March the increase was almost +20%, followed by a decrease of almost -7% in April. For the first time in history the 2 billion € export level at this period was passed. The export turnover of Mother’s Day, which took place during the second week of May, was not included this year. Very important this year was the influence of the weather. A severe winter attack during the first two week of February and the very cold spring had quite some impact on the supplied quantities of all three product groups. On the other hand prices of nearly all products were considerably higher this year, which resulted in an increase of turnover. Per country of export quite some differences could be noticed. Most positive results were obtained from United Kingdom, Russia, Sweden, and Switzerland. Most negative results, however, from Italy, France, Austria and Poland. Cut Flowers’ Export

This product group showed a +6% increase of accumulative exports during the first four months, compared to the same period of last year. Export turnovers were higher than last year mainly because of higher prices for most of the products, while on the other had supplied and exported quantities were slightly lower. The major given reason was the summer like weather throughout spring 2011 vs. the quite cold weather during this year’s spring. Exports to Russia, with +42% (last year +34 %) were far better than to all other countries. The country noticed the fourth rank in the top export countries’ list for the first time. Other countries with positive results were United Kingdom, Switzerland, Germany, and the United States (for the first time back in the top ten ranking list since many years). Negative results were obtained from: France, Italy, Belgium and Poland. Potted plants

The total export value of house- and garden-plants during the first four months of 2011 decreased by -0.4% when compared to the same period of last year. In 2011 the increase was +3.7% compared to the same period of 2010. Most positive results were obtained from Russia and Sweden. Negative export results were obtained from: Italy, Austria and Poland. Due to the cold spring weather supplied quantities of houseplats were lower, but even more of garden and bedding plants.

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