Horticulture Science
Lesson 54
Exploring the International
Flower Market
Interest Approach
Display a variety of flowers in front of the class. Include
flowers from Europe, South America, and Hawaii. Ask the
students to tell you where they think each of the flowers
originated. As the discussion progresses, ask how the
flowers got to this classroom and when they were
harvested.
Student Learning Objectives
•Describe the scope of the
international flower market in the
florist industry.
•Explain the international flower
distribution system.
Terms
•
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export
import
mass market
perishable
retail florist
wholesale florist
How big is the international market
to the cut flower industry?
• The USDA Economic Research Service
reports that the world cut flower trade is
concentrated in a relatively small number
of countries.
• The Netherlands is the world’s leading
exporter of cut flowers.
– An export is a good or commodity shipped
from one country to another.
• Germany is the top market for imports.
– An import is a good or commodity brought into
a country from another country.
– Roses are the major traded cut flower.
How big is the international market
to the cut flower industry?
• The Netherlands is by far the largest exporter of
cut flowers with around 60% of all exports.
• The Netherlands is the main supplier of cut flowers
in Europe, especially to Germany, Switzerland,
France, and the United Kingdom.
• Columbia, Italy, Israel, Spain, and Kenya are
significant exporters of fresh cut flowers, and
China’s exports have been growing rapidly.
– 1. Germany consumes the greatest quantity of fresh cut
flowers.
– It is followed by the United States, the United Kingdom,
France, Netherlands, Japan, and Switzerland.
How big is the international market
to the cut flower industry?
How big is the international market
to the cut flower industry?
– 2. In the Americas, Colombia stands out as
the primary supplier to the United States,
followed closely by Ecuador.
– 3. Japan is Asia’s primary market.
• Its most important suppliers are Taiwan, New
Zealand, and Europe.
– 4. Regular air traffic linking the world today
makes an international market possible.
• Today’s airline industry helps
get flowers from a grower to
the retail consumer in a short
period of time.
How big is the international market
to the cut flower industry?
– 5. A variety of countries throughout the
world sells flowers through the International
Flower Auctions in the Netherlands.
• There are seven flower auction houses in the
Netherlands.
• The one in Aalsmeer
is the primary
international outlet
for cut flowers.
The Dutch flower
auction at Aalsmeer
How big is the international market
to the cut flower industry?
• According to the USDA Floriculture and
Nursery Crops Report, the United States’
projected value of fresh cut flower imports
for 2006 is nearly $750 million.
– That makes up 66.1% of all cut flowers sold in
the United States.
– To give an idea of the trend, in 1994 only 50%
of the cut flowers were imported.
– During the 1980s and 1990s, production of the
major cut flowers shifted from U.S. growers to
South and Central American growers.
How big is the international market
to the cut flower industry?
• 1. The cause of the shift to South and Central
America is attributed to year-round production,
lower labor costs, and little or no energy use for
heating or lighting.
• 2. Since the beginning of the shift, U.S. growers
have focused on higher value specialty cut
flowers, such as orchids, irises, lilies, and tulips.
– In 2002, sales of specialty cut flowers topped $100
million, making specialty cut flowers a major segment of
the total U.S. cut flower sales of over $400 million.
• 3. Eighty to ninety percent of the fresh cut flowers
entering the United States pass through Miami
International Airport.
– They make up the airport’s largest single commodity
handled.
How big is the international market
to the cut flower industry?
• 4. In 2005, Columbia and Ecuador
exported approximately 90% of all roses,
98% of all carnations, and 95% of all
chrysanthemums sold in the United States.
– The Netherlands account for almost 95% of all
U.S. tulip imports.
– Roses, lilies, gerbera daisies, freesias,
snapdragons, and cymbidium orchids are other
major Dutch exports to the United States.
• 5. Canada is the recipient of about 80
percent of U.S. floral exports, mostly freshcut flowers and live plants.
How do flowers move from a
grower to a retail florist in the
United States?
• Fresh cut flowers are obtained in one of
two ways.
– Wholesalers in the United States may place
orders with a broker representing an exporting
country.
– The wholesale florist purchases cut flowers,
cut foliage, and hard goods from a number of
suppliers for resale to retailers.
– The other option is to place direct orders with
the producers for shipment to a well-located
airport in the United States and delivery to the
wholesaler’s warehouse.
How do flowers move from a
grower to a retail florist in the
United States?
• The Holland auction house
is a good example of
purchasing cut flowers
through a broker.
• This pathway involves floral
auction houses located in Holland.
• Through this route, crops
move from the producer to an
exporter, wholesaler, retailer,
and consumer.
How do flowers move from a
grower to a retail florist in the
United States?
• 1. Gladioli grown in Israel,
tulips grown in Holland, and
carnations from Italy are
harvested and flown or
trucked to the auction
houses.
• Buyers representing
wholesale florists in the
United States inspect and
buy the flowers in early
morning auctions.
How do flowers move from a
grower to a retail florist in the
United States?
• Once purchased, the
flowers are quickly
packed and shipped by
air to the United
States.
• The flowers arrive
early the same day in
a convenient airport
and are trucked to the
wholesale house.
How do flowers move from a
grower to a retail florist in the
United States?
• The wholesaler takes orders from retail florists,
garden centers, grocers, and mass merchants.
– Mass merchants are sometimes called discount stores
(e.g., K-Mart, Target, and Wal-Mart).
• The cut flowers are repackaged and delivered to
the retailers.
• Traditionally, a retail
florist provides floral
design services, cut
flowers, foliage plants,
and potted flowering
plants.
How do flowers move from a
grower to a retail florist in the
United States?
• 2. Cut flowers are perishable, meaning
they degrade over time.
• Therefore, it is critical that floral products
are delivered to market as soon as
possible.
How do flowers move from a
grower to a retail florist in the
United States?
• A large number are purchased from the producer
and shipped directly to the United States.
• Most of the flowers bought from Columbia and
Ecuador are shipped directly to the United States
through Miami.
• Purchasing directly from a grower eliminates one
full day from the process, allowing the florist to
obtain a fresher product.
• The following example traces fresh cut roses from
Columbia to a retail floral shop in the United
States.
How do flowers move from a
grower to a retail florist in the
United States?
• Tuesday, 7 a.m.—Roses are cut early in the
morning while well-hydrated and moved
quickly to coolers.
• Tuesday, 1 p.m.—Roses
are graded by color,
stem length, and stem
thickness.
– They are bathed in a weak bleach solution to
retard bacterial and fungal growth.
How do flowers move from a
grower to a retail florist in the
United States?
• Wednesday, 6 a.m.—Roses are boxed,
sometimes with ice, and trucked to the
airport in Bogotá.
• Wednesday, 9 a.m.—Roses arrive in Miami.
– Floral wholesalers ship the roses to destinations
around the country by air, truck, and railroads.
• Thursday, 4 p.m.—Roses arrive at local
wholesale florists.
– They are unpacked, conditioned, placed in
coolers, and sold.
• Friday, noon—Roses reach the retail florist,
are processed, and sold.
Review/Summary
•How big is the international
market to the cut flower industry?
•How do flowers move from a
grower to a retail florist in the
United States?