Floriculture, nurseries & turf

 

Floriculture industry statistics from 2004

Summary

The cut flower, nursery and turf industry in the north east is a small industry with an estimated annual gross value of production of approximately $1 million. Almost 50 per cent of the industry is located within the Rural City of Wangaratta with the remainder being evenly spread across all Shires except Benalla (<1%).

North East Region

1996 – 97 AG Census

2000 – 01 AG Census

2001 – 02 AG Survey

2002 – 03 AG Survey

Gross value of floriculture & nursery production

$3,511,720

$3,058,548

$985,046

Total area of production (ha)

47

38

41

Contribution to Victorian GVP of commodity

1.9%

1.3%

Contribution to Australian GVP of commodity

0.5%

0.4%

Estimated number of farms

29

31

17

Note: the 2002/03 figures have relative standard error of between 50% - 100% and are unreliable. They have been included to indicate likely decline of the nursery and cut flower industry.
Source: ABS Agricultural Census – 1997 and 2001, Agricultural Survey 2002 and 2003

Flower and nursery industry overview

Product description

Flowers grown and sold for the cut flower market. Native and indigenous plants for the wholesale market, retail market, and home gardens.

Main season

From October through to June for most types of cut flowers. Major production in nurseries is over Autumn – Spring period

Industry associations

Victorian Cut Flower Association

Domestic market information

Approximately $3.50 per bunch of cut flowers was reported by one floriculturist surveyed. Cut flowers are purchased by wholesalers and are transported to major markets such as Melbourne.

Export market information

Respondents stated none of their produce / plants were exported.

Source: AAVAF Survey 2004

Location of the Flower and nursery industry within the AlpValleys region

2001 Ag Census

% of GVP

% of production volume

% of farms for commodity

North East Region

Victoria

North East Region

Victoria

North East Region

Victoria

Alpine Shire

13.6%

0.17%

18.0%

0.16%

18.5%

0.77%

Benalla

0.3%

0.00%

0.3%

0%

3.7%

0%

Indigo Shire

5.4%

0.07%

9.9%

0.09%

14.6%

0.61%

Towong Shire

16.6%

0.21%

14.1%

0.13%

14.6%

0.61%

Wangaratta (RC)

49.1%

0.63%

45.7%

0.41%

44.8%

1.87%

Wodonga (RC)

15.4%

0.20%

12.0%

0.11%

3.9%

0.16%

Source: ABS Agricultural Census - 2001

Projected Flower and nursery industry growth

Source

Indicator

Comments

(ABS) AG Census and survey data

Growth in production area 1997 to 2001

The production area for nurseries and cut flowers in North East Victoria has remained relatively constant between 1997 and 2003. In hectares, 1997 recorded 46.6, 2001 – 38.3 and the 2003 estimate was 40.9.

Surveys

Current profitability

Reported as satisfactory or high.

5 year business plans

Stated as either no change or increasing level of cut flower production and variety of flowers grown.

5 year business outlook

Reported as good or very good.

Business planning / budgeting

Of those surveyed that conducted planning activities, it was for 1 year in advance.

Age of producers

Fell between the ages 40 to 59 years.

Capital expenditure 2002-03 financial year

Ranged from $80,000 to $120,000, and represented between 37% and 42% of gross income.

Flower and nursery industry labour requirements

Labour requirements are generally part time and casual employment for both the cut flower and nursery industry. Up to 20 full time people employed during plant propagation and raising over winter period.

Detail

Comments

Areas of indirect employment

Suppliers, transport providers, buyers - brokers and wholesalers. Major regional producer transports its own plants

Flower and nursery industry marketing activities

Detail

Comments

Marketing undertaken

Producers of cut flowers market and sell their flowers mainly to wholesalers and also to local florists. Nurseries for the retail market advertise their outlet in local papers / chronicles within the region.

Value adding activities

For cut flowers, value adding activities undertaken include packaging and labeling of flowers. For nurseries, value adding revolves around potting of grown plants / flowers.

Labels and brands

Sandy Creek Trees

Flower and nursery industry strategic advantages and opportunities

  • Climate and consistent weather patterns.
  • Demand for native plants as gardener’s tastes change. This presents an opportunity for nurseries to focus more heavily on supplying native plants and providing new native plant varieties.
  • Proximity to dry areas enables the supply of plants to these areas eg. Saltbush.
  • Supply of plants for low water use gardens.
  • Landholders are not waiting for Government subsidies for tree planting. Just getting on with tree establishment.

Flower and nursery industry strategic disadvantages and impediments to growth

  • Perception of marketing logistics as difficult due to most products being sold at distant major markets such as the Melbourne flower market.
  • Future availability of water and the impacts of drought although this is being offset by a switch to low water use gardens
 
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