The Netherlands, renowned for its floral exports, experienced a notable growth in flower exports by five percent in the first half of 2024, reaching a total value of €2.5 billion, as reported by the Flower and Plant Exporters’ Association (VGB). Despite stable sales volume in the first quarter compared to the previous year, the surge was predominantly attributed to heightened demand from Eastern European markets, according to Matthijs Mesken, Director of VGB.
Conversely, the export of plants witnessed a slight decline, dipping one percent to €1.6 billion in the first half of the year, despite a promising two percent growth observed in the first quarter of 2024. The VGB cited adverse weather conditions as a key factor impacting plant demand, noting that excessive rain affected both African flower imports and domestic summer flower supply.
Overall, the combined export value of flowers and plants showed a moderate increase of 2.5 percent, totaling €4.1 billion in the first six months of 2024. Mesken highlighted this growth as a positive turnaround for the sector, which had seen consecutive declines in export values over the past seven quarters until last year.
The disparity in growth rates between flowers and plants was underscored by significant variations in specialist trade and retail segments. Notably, exports to supermarkets surged by nine percent, marking the most substantial increase since the peak of the COVID-19 pandemic.
Looking ahead, VGB expressed optimism about potential trade normalization with Great Britain under the new Labour government. Since Brexit, the sector has faced numerous challenges in exporting to the UK. The association emphasized the importance of maintaining low VAT rates on flowers and plants within the Netherlands to sustain competitiveness.
Mesken also emphasized the sector’s reliance on migrant workers and emphasized the critical need for adequate housing to support this workforce. “We are navigating uncertain times, and adaptation is key,” Mesken concluded.