Industry Analysis & Industry Trends
The Floriculture Production industry has struggled with adverse trading conditions over the past five years. It has faced stagnant demand from Australian consumers, rising import penetration and dwindling export earnings. Cut flowers are considered discretionary items, and traditional flower arrangements may be readily substituted with other products such as chocolates, gift vouchers and charity donations.
The industry is projected to generate revenue of $345.5 million in 2015-16, up by 0.6% on the previous year due to the improvement in consumer sentiment and household discretionary income. However, revenue will be constrained by the decline in sales by the downstream Flower Retailing industry... purchase to read more
Industry Report - Starting a New Business Chapter
There are minimal barriers for new entrants into the industry given that inputs are readily available and entry is typically via another complementary agricultural activity. For floriculture products produced undercover, the main barriers to entry include the significant capital outlay necessary to establish greenhouses, cold frames or shade houses as well as irrigation systems, temperature control and monitoring systems. Access to water may also be costly. Although purchasing land outright is a high cost, leased property is available but this may limit the degree to which a grower can invest and establish new infrastructure.
Other barriers to entry include the gathering of native wildflowers and seeds from native species... purchase to read more