Impact of COVID-19 on the flower market
The lowering of the prices of cut flowers at flower auctions in the spring was the direct result from a decrease in demand. Flower auctions (such as Royal Floraholland, which is the biggest in the world) were forced to limit the supply of Dutch flower growers because of decreased international demand. Dutch flower auctions typically serve an international market, which was disrupted by the coronavirus outbreak. The closing of European borders and the complete lockdowns in major export markets such as Italy and France meant that flowers could not be sold, and were thus put on sale for dumping prices.
Annual developments in flower prices
The average price of cut flowers at flower auctions is typically the lowest in April and July, and the highest at the end of each calendar year. The revenue of cut flower sales peaks in spring, which is the time during which flower growers in the Netherlands reach the height of their production capacity. Flower market experts questioned whether the coronavirus would have long-lasting effects on Dutch flower auctions. Many flower growers were expected to struggle with the sudden loss of income during the high season. Additionally, the uncertain prospects for the global economy might lead to a decrease in demand for one of the Netherlands’ most famous export products.