Russia, the Ukraine war and how it affects the florist industry.
Holland dominates the flower trade with over 80% of flowers bought in the Uk originating from The Netherlands. The spread of flower growers throughout the world is shared between Holland, Ecuador, Columbia, Kenya and Ethiopia. At Rays Florist, all of our flowers come from Holland – we buy online and they’re with us overnight. The majority are Dutch grown however some (and it’s mainly roses and carnations) are grown in South America or Africa.
All flowers grown in Holland, The Americas and Africa are shipped to Holland to be sold in the flower markets, Aalsmeer being the largest one.
With the current crisis in the Ukraine affecting energy prices, this has a knock on effect with the actual growing process farmers are faced with. A very large percentage of growers have reluctantly turned the heat off, shut the doors behind them and resigned themselves to waiting for warmer growing conditions as it’s just too expensive for them to heat their glasshouses. This has had a drastic effect on the basic tenet of supply and demand – far, far less supply from some growers who only specialise in one variety of cut flower. The amount of growers actually staying in business in some cases has been reduced by up to 70%. There is the same demand for fresh flowers and plants however there is much less product in the market meaning much less supply and therefore higher prices.
For instance, all varieties of Chrysanthemums have at least doubled in price since October, in some cases prices have trebled. This affects all aspects of floristry, from gift bouquet work to funeral work. Other affected varieties (but not confined to) include Eustoma Lisianthus, Gerberas, lilies and roses. Flower prices across the board have seen at least a 30% increase in price in the last few months.
All this has an effect on the retail floristry industry, with prices going up and bouquets getting more compact. This situation will continue to influence florist shop owners who will have to think long and hard regarding pricing structures, flower availability, stem quantities and the breadth and depth of the range that they offer. Challenging times indeed.