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Rabobank research

Global poinsettia market in figures

It is estimated that almost 200 million poinsettias are sold worldwide, with a retail value of just over 1 billion euros. The poinsettia fits well into the cultivation program of many companies. That is why the sector is trying to keep sales steady by introducing new varieties and making cultivation more sustainable. These are just a couple of facts reported in a recent Rabobank release.

Poinsettia: a seasonal staple in many countries
Every year, during the run-up weeks to Christmas, poinsettias can be found at florists, supermarkets, or garden centers. The Dutch production and sales of poinsettia make up only a small part of world production and sales.

The main markets for poinsettia are the United States (around 70 million units), Germany (20-25 million), Mexico (15-20 million), Italy (15 million), Spain (10 million), and the Netherlands (around 5-7 million).

Usually, trade takes place almost exclusively within Europe or the United States. Because of plant health regulations or high transport costs, it isn't easy to trade potted poinsettias from, say, Mexico or Europe to the United States. Growers, therefore, focus mainly on sales within their own country or in neighboring countries. Of the production in the Netherlands, about 80 percent is exported. Around 19 million poinsettias are grown annually in the Netherlands, which is about 20 percent of the European production.

Dutch cultivation of poinsettia must fit into a grower's year-round cultivation schedule
By far, the majority of poinsettia sales take place in November and December while in the other months, sales are limited. The cultivation cycle of poinsettias is about 15 to 20 weeks - form July to December. Obviously, this depends on the starting material, the variety, the pot size, and the plant size to deliver. In other months, growers usually utilize their greenhouses for other crops. These are oftentimes companies with other flowering pot plants or bedding plants that can include poinsettia in their schedules. Vegetable growers also sometimes include poinsettia in their schedule. In total, about 25 horticultural companies in the Netherlands account for more than 80 percent of poinsettia production.

Innovations needed to sustain the market
To keep up poinsettia sales, it is important to continue to surprise consumers with new varieties and implement innovations for more sustainable cultivation.

From a global standpoint, seven breeding companies are the main developers of new varieties. Almost every year, these companies set up demonstrations to inform growers, trading parties, and retailers about new varieties. These include the color and shape of the (spathe) leaves, resistances, and, by extension, more sustainable cultivation methods.

The production of unrooted cuttings often takes place under climatically favorable conditions such as in Costa Rica, Guatemala, or Kenya. After transport to the destination country, the unrooted cuttings are usually rooted in the country of the final grower. The rooted cuttings go to the growers in July or August.

What are the innovations in the poinsettia chain?

  • Breeding: In addition to ornamental value, breeding focuses on resistance and low-temperature efficiency. Examples include finding new resistances to the damage caused by the whitefly and trialing new varieties on the principles of The New Cultivation (HNT) that reduce the energy requirement (under glass) in cultivation.
  • Cultivation: Growers are experimenting with coir, wood fiber, compost, or bark to reduce the amount of peat used. In addition, organic crop protection is now a widely accepted method. They are also experimenting with more sustainable pots and labels. Many growers have certified their operations to one of the well-known standards (MPS, Global-Gap, Fairtrade) and are gradually trying to produce more sustainably.
  • Marketing: Four breeding companies launched a joint campaign to promote poinsettia just after the turn of the century. The marketing focuses mainly on new color combinations (such as salmon, orange, and yellow), different plant sizes, and variegated leaves.

Source: Rabobank

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