FloraHolland closes 2013 with increased turnover

The Royal Cooperative Flower Auction FloraHolland closed 2013 with a turnover of €4.35 billion. That is a growth of 1.6% compared to the previous year. Although sales seemed to be slowly improving at the end of the year, 2013 was, all in all, a challenging year. Many companies in the sector are under pressure and the export of certain products dropped for the first time in a long time. The fact that the turnover of FloraHolland grew in this challenging year testifies to the power of the cooperative. In 2013, the Dutch floriculture cluster as whole was also a significant cornerstone of the horticulture top sector and the Dutch economy.

Increased turnover the result of better average prices

In 2013, a total of 12.4 billion products were traded via the largest international trading platform for flowers and plants. Thanks to better average prices, FloraHolland realized a growth in turnover. Although there are differences per product group, in 2013, growers on average have received a more than 2% higher price for their flowers and plants compared to last year.

The volumes of cut flowers and house plants that were traded via FloraHolland showed growth in 2013. With garden plants, a decline was noted due largely to the persistent winter weather during the spring months. The largest product group (cut flowers) increased in turnover by 2% to €2.5 billion. The average price went up while volumes dropped slightly by 0.9%. For the product group house plants, both price and volume increased. The turnover amounts to €1.5 billion (+1.9%) with a 1.1% increase in units. The last product group (garden plants) showed a drop in turnover of 2.2% due to a drop in volume of 3.2%. The average price was slightly higher.

Movement in the market

The shift from auction clock sales to direct sales via FloraHolland Connect was clearly visible in 2013. Auction clock turnover declined by 4.7% in 2013, amounting to €2.2 billion. The €2.1 billion turnover achieved by FloraHolland Connect signifies an increase of 9.3%. Over the entire year, 51.5% of the total turnover was sold via the clock while in 2012, this was still 55%. FloraHolland caters to this shift in sales instruments, which also leads to a lower number of jobs and reduced turnover, and in the fall of 2013, the organization announced that it would be taking the necessary steps to accomplish this. FloraHolland adjusts its services, works to simplify the way in which the company is governed, and increases the commercial focus on the products and sales of its members.