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Exploring the International Flower Market

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1 Exploring the International Flower Market
Lesson 1 Exploring the International Flower Market

2 Why are flowers imported from foreign countries?
Interest Approach Why are flowers imported from foreign countries? Why do we not grow all the necessary flowers here in the United States? What do you think is the percentage of flowers that are produced outside the United States?

3 Student Objectives 1. Describe the scope of the international flower market in the florist industry 2. Explain the international flower distribution system

4 How Big Is the International Market to the Cut Flower Industry?
These three types of flowers are produced outside the U.S. Often grown in hydroponic greenhouses (flowers are grown in nutrient rich water solution versus soil) Used in the Netherlands

5 Another leading country for flower production is Columbia
Flowers are grown outside in the mountain regions Latin America’s floral production is expanding because labor is so cheap and flowers are a labor intensive crop to produce Other countries include Spain, Kenya, Israel and India

6 Courtesy of Interstate Publishers

7 Regions and Countries That Produce Flowers for the International Market
United States: California, Florida, Hawaii Netherlands, France, Italy, Spain Columbia Israel Australia, Singapore South Africa, Kenya, Ivory Coast Mexico, Jamaica, Guatemala, Costa Rica, Honduras, Ecuador North America - Europe - South America - Middle East - Asia - Africa - Central America- Courtesy of Interstate Publishers

8 The domestic market (that found in the United States) is on the decline
The U.S. greenhouses propagate more of the potted and foliage plants rather than cut flowers Ex. Poinsettias and houseplants International markets rely heavily on air traffic in order to link producers with the retail consumer

9 Many floral producers ship their product to the International Flower Auction in Aalsmeer, Netherlands There it is auctioned off to wholesale buyers around the world

10 Cut Flowers and Production Regions
Roses - Carnations - Tulips- Tropical ginger- Chrysanthemum- Iris- Sprengeri- Leatherleaf- Eucalyptus- Ti leaves- Israel South America Netherlands Hawaii North America Courtesy of Interstate Publishers

11 How Do Flowers Get From a Grower in Columbia to a Retail Florist in the United States?
Flowers can be bought by a retail florist directly from the grower This can occur via the internet or by phone Flowers must go through inspection by the USDA (U.S. Department of Agriculture) and by the U.S. Customs department This department of the government imposes international tariffs on products outside the United States

12 Buyers from around the world inspect and buy the flowers
Flowers are flown from the grower to the flower auctions in Holland by exporters - companies that ship products to other companies Ex. Carnations from Columbia, roses from Israel and tropical flowers from Hawaii Buyers from around the world inspect and buy the flowers Once purchased, the flowers are shipped by air to the wholesalers This must occur quickly because flowers are perishable - one that dies very quickly if not treated properly

13 Courtesy of Interstate Publishing

14 Steps involved in the production and distribution of cut flowers
1. Field workers cut flowers early in the morning 2. Flowers sent to auction that day 3. Next day, a buyer purchases the flowers and ships them to Chicago, for example 4. Flowers arrive at the wholesaler the same day and are conditioned (processed to extend their vase life) 5. Next day, the flowers are sent to retailers such as a florist

15 A wholesaler can purchase flowers directly from the growers, eliminating a whole day’s travel
This keeps the flowers fresher for the retailer A wholesaler can also sell flowers to garden centers, retail outlets and the mass market - a place where the general public can acquire particular goods

16 Summary 1. Where are most cut flowers produced?
2. What is the difference between a domestic market and an international market? 3. Describe the role of an exporter. 4. Why are cut flowers perishable? 5. Where do foreign producers send their product once it is harvested? 6. There are three ways that a consumer can purchase cut flowers. What are they? 7. What is the role of the US Customs Department?

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