Royal FloraHolland trades 12.5 billion flowers and plants in 2016 but UK exports dip

Royal FloraHolland traded a total of 12.5 billion products in 2016, an increase of 0.3%, with turnover of €4.6 billion, up 3.8% from last year.

Image: Florint.org
Image: Florint.org

The largest market for Dutch flowers and plants is and remains Germany. Exports in this market increased by 7% to more than €1.6 billion, accounting for 61% of total export growth.

Exports to other European countries also increased further, with the exception of the United Kingdom, where the strong decline of the British pound had a dragging effect. Russian exports continued to be impacted by the trade sanctions that remain in place.

To the UK, exports of cut flowers and houseplants fell from €925m to €883m, with houseplants down from €224m to €217m and cut flowers down from €701m to €666m, according to FloraHolland/Floridata.

The auctions in Aalsmeer, Naaldwijk, Rijnsburg and Eelde, along with the online FloraMondo platform, processed more than 100,000 transactions a day, involving thousands of varieties of cut flowers, house plants and garden plants.

Royal FloraHolland chief executive officer Lucas Vos said: "We are on track to achieve our goals for 2020: improving profit margins for our members and their customers and promoting the sale of flowers and plants in the consumer market."

The turnover increase is driven mainly by the higher prices growers received for their flowers and plants. Price levels rose by an average of 4.2%, while total turnover from cut flowers reached €2.7 billion – an increase of 6.7%. Turnover in the house plants product group fell by 1.3% to €1.5 billion. Turnover from garden plants increased by 4.7% to nearly €0.4 billion.

Dutch exports of flowers and plants reached a record level of €5.7 billion in all, up 3% from the previous year. Exporters of floriculture products expect this positive trend to continue in 2017.

Royal FloraHolland’s revenue decreased marginally by 1.3%, to €378 million, while operating profit increased by 3.8% to €27 million. Operating profit excludes the costs of Strategy 2020, the recent corporate reorganisation and profit from participating interests.

The company’s financial ratios have remained level, with a solvency rate of 25.1% and a risk-bearing capital base of 54.9%. "Our revenue and ratios provide a solid foundation for the future," chief financial officer Steven van Schilfgaarde said.

Vos added: "Royal FloraHolland is the world’s largest marketplace for flowers and plants. The floriculture industry is constantly changing and evolving, with digitalisation being the main driver. We are responding to these changes by integrating all digital trading instruments into our upgraded Digital Trading Platform. Digital is the new standard.

"Our strategic programmes are finding their way to consumers and to new markets outside Europe.

"In addition, we are developing new concepts for the domestic and international markets. Examples of such initiatives include the international innovation project Let it Grow, which supports and connects 'green' businesses. This is our way of boosting innovative concepts and meeting consumers’ changing needs."

 

 


Before commenting please read our rules for commenting on articles.

If you see a comment you find offensive, you can flag it as inappropriate. In the top right-hand corner of an individual comment, you will see 'flag as inappropriate'. Clicking this prompts us to review the comment. For further information see our rules for commenting on articles.

comments powered by Disqus

Read These Next

How did ornamentals production fare in 2016?

How did ornamentals production fare in 2016?

Survey highlights growing importance of ensuring profitability in uncertain times.

Career profile - Production manager

Career profile - Production manager

A production manager's main responsibility is to ensure that the glasshouse, nursery or farm produces a bountiful and consistently high-quality crop for people to enjoy.

Ornamentals fertilisers

Ornamentals fertilisers

Manufacturers are developing new ways for growers to manage crop inputs while reducing reliance on pesticides, Sally Drury reports.


Seabrook On... Sensible pricing levels

Seabrook On... Sensible pricing levels

One of the big retail chains has flower seeds on sale at 25p a packet, while one of the specialist mail-order companies has six nigella plants on offer at £15 plus £4.95 carriage charges.

Production stars take innovation lead at UK Grower Awards and Garden Retail Awards

Production stars take innovation lead at UK Grower Awards and Garden Retail Awards

Over the past week it has been the great privilege of the Horticulture Week team to welcome more than 700 leading horticulture professionals to three great industry events - the Garden Retail Awards 2017, the UK Grower Awards 2017 and the third Garden Retail Summit, all hosted by Horticulture Week.

UK Grower Awards winners demonstrate exceptional talent

UK Grower Awards winners demonstrate exceptional talent

Welcome to this special presentation of the achievements of the outstanding winners of the UK Grower Awards 2017.


Follow us on:
  • Facebook
  • LinkedIn
  • Twitter
  • Google +
Horticulture Jobs
More Horticulture Jobs

Pest & Disease Tracker bulletin 

The latest pest and disease alerts, how to treat them, plus EAMU updates, sent direct to your inbox.

Sign up here

Are you a landscape supplier?

Horticulture Week Landscape Project Leads

If so, you should be receiving our new service for Horticulture Week subscribers delivering landscape project leads from live, approved, planning applications across the UK.