The Ever-Evolving Cuttings Market

Top 10 Cuttings Producers–World Map 2013

Change is a constant among the world’s vegetative cuttings producers. In any given year, the companies on Greenhouse Grower’s Top 10 Cuttings Producers list are added or dropped for many reasons, including consolidation and economics — and 2013 is no exception.

Agribio Group’s purchase of Ecke Ranch last year moved it up to the number one position on our list. Both Agribio and The Dümmen Group are owned by holding company DNA Green Group, but operate as separate entities, according to Mark Schermer, general manager of Fides Oro, also a part of DNA Green Group.Dümmen’s volume increased by more than 200 million units, though it remains at No. 5.

Cohen Nurseries has a new, state-of-the-art facility in Gderot, Israel, accounting for an additional 3.4 hectares of production space, which moved the independent producer to No. 6. this year from No. 7 in 2012.

Florexpo reduced its production slightly in Costa Rica, bringing the operation down one spot to No. 9. Although the operation says its biggest challenge is constant industry consolidation, it is confident in its independent position.

“We have found our place in the market as the last truly independent supplier for North America,” says Florexpo’s Fernando Altmann. “Customers have responded positively to the fact that we offer what they want. We are not forced in a way to offer our own genetics, since we have none.”

Changes In Latitude
While most of the cuttings producers are staying put in the countries where they have stock production, a few changes are underway.

The Dümmen Group will expand its El Salvador farm in 2014 with 20 new acres of greenhouses to produce Ecke poinsettias, according to Perry Wismans. As a result, the existing Ecke farm in Guatemala will be closed.

Beekenkamp reports it is looking in Central America for a possible future site, as shipping from there to North America is faster than out of Africa.

Marlon Carrera from Syngenta Flowers says the company will consider moving its chrysanthemum production outside the U.S. if Quarantine 37 is lifted.

Logistics, Politics And Economics
Because of new security rules and political agendas, shipping from overseas production sites in Ethiopia is becoming a concern, says Martijn Kuiper, Beekenkamp Plants’ sales manager.

“Due to tensions in the region, shipments out of different countries like Ethiopia are being checked more intensively,” Kuiper says. “Because of doubts by the airlines about the security checks in Ethiopia, there are additional checks at the European airports before the cuttings are transferred to the U.S. This causes delays of the shipments, with all kinds of possible problems.”

A dispute between the different airlines and a decision by the Ethiopian government to more-or-less favor its own airline have caused the number of flights from Ethiopia to decrease, Kuiper adds.

“Both issues are not in our grip,” he says. “This makes it more difficult to keep a reliable supply chain. It is also why we are looking at Central America.”

Europe’s tumultuous economic climate has caused problems for Selecta Klemm. Spain’s economy is down and consumption is being cut back drastically. Italy is facing a difficult situation, with both consumers and growers in a holding pattern, and Greece is a small market but has gone down by 50 percent, reports Per Klemm.

“In a situation where there is no growth in the overall European markets, this is for sure not helping, hence being, in my eyes, one of the biggest challenges for 2014,” Klemm says.

Since this economic crisis is not new, Klemm says Selecta Klemm has been implementing its contingency plan over the past few years, directing its efforts toward becoming more competitive.

“We will not cut back our production — actually, it’s the other way around. We intend to increase our market share and production, and see good possibilities to do so,” Klemm says. “But growing volume and turnover in a growing market is, of course, a different ball game than doing this with the current economic development.
“The present situation will accelerate the processes we have already been seeing for some time. Our industry is becoming more professional and there is consolidation on all levels of the value chain. The good thing is, the ones that adapt and have the right strategy will get stronger by this process and the ones that already had a hard time before will drop out. At the end, we should have a healthier situation for
our industry.”

A Worldwide Labor Shortage
Offshore cuttings producers are facing labor shortages in the countries where they set up shop to avoid this very challenge.

Paul Gaydos of Athena Brazil says Brazil’s economy is growing, especially in the state of Sao Paulo, where competition for labor is increasing.

“Labor will be the issue,” Gaydos says. “Why work long hours in a hot greenhouse when you can get an office or retail job that pays the same wage?”

Gaydos says Athena Brazil has a plan in place to keep the employees it currently has, which is working well.

“Most employees are loyal and very happy to be working with Athena,” he says. “As we grow and need more labor, we plan to bring workers from other parts of Brazil to our area on a contract basis as needed during peak times of the year.”

Ball FloraPlant is facing the same issue, with offshore labor rates continuing to rise every year at aggressive rates, says General Manager Allan Davidson.

“Most of the cost of production is labor, so it dramatically affects the cost per cutting,” he says. “Other costs such as fertilizer and electricity are also increasing. We continue to push efficiencies, yields and train the best employees to try to offset some of these increases.”

Crops To Watch In 2014
Cuttings producers report the crops decreasing in demand include osteospermum, argyranthemum, poinsettia and standard annuals like Impatiens walleriana, due to downy mildew.

The biggest crops cuttings producers reported growing are specialty annuals, perennials and potted plants. Among these, growers feel pre-planted combinations are poised for growth in specialty annuals, as well as crops like petunia, calibrachoa, nemesia, lantana, geranium, lobelia, New Guinea impatiens, bidens, mandevilla and begonia, specifically in the boliviensis group.

Potted crops like kalanchoe and chrysanthemums were named as growth areas. Producers also said succulents and unrooted perennials will increase.


Leave a Reply

One comment on “The Ever-Evolving Cuttings Market

More From Crop Inputs...
Colorado State University 2015 Container Field Trials

November 29, 2015

2015 Colorado State University (Fort Collins, Colo.) Field Trials Results

See the 2015 field trials results (includes photo gallery) for Colorado State University in Fort Collins, Colo.

Read More
Coleus 'Colorblaze Velveteen' (2015 University of Tennessee Field Trials)

November 28, 2015

2015 University of Tennessee Gardens (Knoxville and Jackson, Tenn.) Field Trials Results

See the 2015 field trials results (includes photo gallery) for University of Tennessee Gardens in Knoxville and Jackson, Tenn.

Read More
Feature Image Cob 700 (NewLux)

November 28, 2015

16 LED Lighting Solutions For Your Greenhouse

Narrowing in on the right LED lighting product often comes down to considering your specific crop needs and growing requirements to see what works best for your application. Here are 15 LED products to take into account when choosing the right fit for your greenhouse.

Read More
Latest Stories
Stockosorb Crystals_with water Agriculture leaf (Evonick)

November 21, 2015

9 Sustainable Growing Media Products For Superior Green…

Manufacturers are delivering new growing media products to help growers attempt to minimize their footprint without sacrificing quality. Here are nine new products to consider for your greenhouse operation.

Read More
Suzanne Wainwright-Evans

November 16, 2015

Real-World Biocontrols Trends From The Buglady

During ,em>Greenhouse Grower's Top 100 Breakfast at Cultivate'15, Suzanne Wainwright-Evans of Buglady Consulting discussed trends in biocontrols, including what she has seen from breeders, growers and even public gardens.

Read More

October 13, 2015

Bayer CropScience And OHP To End Marketing Partnership …

The move allows Bayer to market its ornamental products directly to greenhouses and nurseries, although OHP will still service a limited line of Bayer products.

Read More
RISE 2015 Governing Board

October 13, 2015

RISE Annual Meeting Celebrates 25 Years of Industry Adv…

The annual meeting for RISE (Responsible Industry for a Sound Environment), held the last week of September in Orlando, was more than just presentations, awards and the election of new officers. It was also a celebration of 25 years as a leading advocate for the specialty pesticide and fertilizer industries.

Read More

October 9, 2015

New Biochemical Miticide Is Designed To Combat Varroa M…

EPA recently registered Potassium Salts of Hops Beta Acids (K-HBAs), which is intended to fit into a rotation program to battle resistance.

Read More

October 7, 2015

Ball FloraPlant Eliminates Neonicotinoid Use On Its Off…

Ball FloraPlant has announced its offshore cuttings farms did not use neonicotinoid-based pest management chemicals during its spring crop production last shipping season, and will continue to be neonic free this year. Instead, the company and its greenhouse managers have relied on alternative means to supply insect-free cuttings to its global customer base.

Read More
Nemasys And Millenium Beneficial Nematodes from BASFm_Nematodes

October 7, 2015

How BASF’s UK Biological Production Facility Expa…

BASF has expanded its biologicals production facility in Littlehampton, UK. The new capacity increases the company’s ability to double the production of beneficial nematodes and inoculants.

Read More

September 25, 2015

Canadian Sphagnum Peat Moss Association Announces Early…

According to an August 31 survey of members of the Canadian Sphagnum Peat Moss Association (CSPMA), whose members represent approximately 95 percent of all North American peat production, the peat harvest season has been adequate, but not strong, and could cause shortages and potentially higher transportation costs. Down To The Dirty Details The survey inquired about the status of CSPMA members’ 2015 Actual Harvest (including an estimate of what can be expected to be harvested for the remainder of the season) as a percentage of their 2015 Expected Harvest. The lack of a strong harvest overall may challenge peat availability. The Prairie Provinces (Manitoba 98 percent, Saskatchewan 88 percent and Alberta 94 percent), experienced early favorable weather conditions and a strong start to the year. This helped to minimize periodic, negative, weather-related conditions during the balance of the harvest season, and the harvest numbers are close to achieving the expected amounts. […]

Read More

September 23, 2015

New Crop Protection Products And Label Updates

Here are some of the most recent products released and label updates for crop protection agents in the greenhouse and nursery market. Fame Fungicides (FMC Corp.) FMC Corp. has introduce Fame fungicides, a family of FRAC 11 group (Strobilurin) products that delivers fast-acting, patented fluoxastrobin protection against major soil and foliar diseases. Rainfast in 15 minutes, Fame fungicides can be used on most greenhouse and nursery plants and provide fast foliar and root uptake. “Proven by university research, Fame fungicides offer fluoxastrobin action, which ensures a high degree of systemic activity to provide very rapid disease protection and stop further growth of established disease,” says Naimur Rahman, strategy and fungicide marketing product manager for FMC. The Fame fungicide family includes: • Fame SC: a suspension concentrate fungicide containing fluoxastrobin that controls major diseases, including anthracnose, downy mildew, powdery mildew, scab and leaf spot. It provides rapid foliar and root uptake […]

Read More
Offshore farm profiles Dummen Orange Las Mercedes Solanaceas GH

September 8, 2015

Dümmen Orange Implementing Consistent Standards On All …

Owning and operating several locations can be a challenge in maintaining consistent quality and cleanliness across the board. This is true of both breeders and growers. But those who do it right have invested in technology and practices that ensure that plant quality matches, no matter where their plants are shipped from. That’s the goal for Dümmen Orange. Now the world’s largest producer of unrooted cuttings, the company has a combined 150 hectares or 370 acres of production space worldwide, dedicated to cuttings production. Recent acquisitions of product portfolios, both this year and in the past few, has raised the company’s cuttings production expectation to more than 1.4 billion, including 350 million in North America. It has farms all over the world (see the 2015 Top Cuttings Producers ranking to see where), and produces cuttings for its own genetics, as well as collaborating with more than 30 third-party breeders across all […]

Read More
Bill Lewis grower manager at Delray Plants

August 31, 2015

Delray Plants Takes Preventative Approach To Pest Contr…

Trying to control pests effectively on a wide variety of crops is a major undertaking. Delray Plants in Venus, Fla., has been using biological controls as a part of its pest control program for more than 10 years. It operates 300 acres, which includes covered structures and 7 acres of outdoor field production.

Read More
Bob’s Market and Greenhouses’ Ron Morris pours Stockosorb into the hopper for distribution on the conveyor line

August 13, 2015

How Bob’s Market And Greenhouses Improved Growing…

My father started our company 45 years ago growing bedding plants, mainly early season production and finished plants for our West Virginia market. It was in the early 1980s that we started growing earlier spring production and shipping materials to southern markets, and by the late 1980s, we also produced pansies for fall. We started using hydrogels when they first came on the market in the early 1990s and found that they really helped with our production by keeping plants healthier for these new markets. Over the years, we’ve grown to be a large young plant producer and have a sizable business growing finished plants in cell packs, 4 1/2-inch pots, 6-inch pots, gallon containers, hanging baskets, multiple sizes of large containers and large baskets for municipal use. Creating The Ideal Soil Mix With our old system, it took several workers to mix pre-made soil with slow-release fertilizers in cement […]

Read More
Fertilizer Rates Feature Image

August 12, 2015

Selecting Fertilizer Rates For Several Spring Bedding P…

Fertilizing bedding plants can be difficult due to the differing needs of the large variety of plants that we grow. Many operations do not grow enough of any one crop to cater the fertilizer specifically for each crop. Therefore, grouping crops with similar fertilizer requirements and having two to three fertilizer strengths available is a practical way to ensure plants are getting the fertilizer they need. With many new plant varieties on the market, we wanted to conduct a trial at Cornell University to determine best fertilizer rates for several common bedding plant crops. 22 Bedding Plants Studied To Establish Fertilizer Rates Plugs and rooted liners of 22 crops (Table 1) were transplanted into 4-inch (500 mL volume) round pots with a commercial peat/perlite based substrate. The plants were grown in a glass greenhouse at Cornell University during the spring season at a spacing of one plant per square foot. Heating set […]

Read More
Feature image The Aphid Guard Aphid Banker Plant, coming soon to the market, supports beneficial insect populations.

June 21, 2015

The Latest In Crop Protection

Protecting your plants from the latest threats is no easy task, but new product lines promise to safely and effectively eliminate a wide range of pests and diseases, without harming your employees or the environment.

Read More
Bee On Flower

June 18, 2015

Pest Management And Marketing Strategies For Bee-Friend…

Michigan State University Extension shares pest management practices to produce plants that are safe for pollinators and marketing strategies for clearing up confusion about bee-friendly plants.

Read More

June 13, 2015

UMASS Fertilizer Trials Recommend Nature’s Source Organ…

In a recent online fact-sheet at its Extension website, the UMass Amherst Center for Agriculture, Food and the Environment lists Nature’s Source Organic Plant Food 3-1-1 as “the best liquid organic fertilizer,” according to Dr. Douglas Cox, Stockbridge School of Agriculture. It is called-out by the Extension after a number of years of studying the use of organic fertilizers for growing commercial greenhouse crops. The trials evaluated traditional water soluble and granular slow-release chemical fertilizers. Dr. Cox recommends Nature’s Source Organic Plant Food 3-1-1 as a liquid fertilizer that is readily available, cost effective, OMRI-listed and with good label directions for greenhouses. He also mentions the ease-of-use in how it mixes well with water and can pass fertilizer injectors. “Nature’s Source is currently the best liquid organic fertilizer,” Cox wrote in his article “Organic Fertilizers – Thoughts on Using Liquid Organic Fertilizers for Greenhouse Plants,” “I have seen no foliar chlorosis yet with this fertilizer. Nature’s source is widely available and a great […]

Read More

June 10, 2015

BASF’s Sultan Miticide Receives California Regist…

BASF Sultan miticide recently received registration in California, giving ornamental growers a new rapid, targeted mode of action for mite control. Sultan miticide, with active ingredient cyflumetofen, offers ornamental growers targeted knockdown of all life stages of tetranychid mites, with long residual control. It has practically no toxicity to beneficial insects, including predatory mites and pollinators. Sultan miticide offers a new mode of action to combat cross-resistance with other commercial miticides, and is compatible with integrated pest management programs (IPM). “The long-awaited California registration of Sultan miticide is exciting news. Greenhouse, nursery and landscape professionals in the state now have a new class of chemistry that gives them fast control over all life stages of plant-damaging mite populations,” says Joe Lara, senior product manager for BASF. “Sultan miticide now provides California growers with a much needed new first choice for miticide resistance management programs that won’t disrupt populations of beneficial […]

Read More
Bee on a Sedum

May 27, 2015

Industry Associations State Their Support Of National P…

AmericanHort, Society of American Florists, American Floral Endowment and Horticultural Research Institute joined together to embrace key aspects of the federal government’s recently announced National Strategy for the Protection of Honey Bees and Other Pollinators. The long-awaited strategy has three major goals: reducing honey bee colony losses, increasing Monarch butterfly populations, and restoring or enhancing millions of acres of land as pollinator habitat through public and private action. According to the statement, the associations are studying the details, but they agree that the overall approach appears balanced and mostly sensible. The rest of the statement reads as follows: “The national strategy’s overarching goals dovetail well with the focus of the ongoing Horticulture Industry Bee and Pollinator Stewardship Program. Under that initiative, we have directly funded several priority research projects, and collaborated on additional research funded by others, to provide critical scientifically sound guidance for professional horticulturists. We are developing a grower […]

Read More
[gravityform id="35" title="false" description="false"]