Media Release
20/06/2011

Rosy outlook for ‘home grown’ flower industry

The demand for ‘home grown’ flowers is blooming, according to a representative of New Zealand’s flower industry.

Florists New Zealand Incorporated board member Joy Knight said the budding demand stemmed from a younger generation of Kiwis in particular, many of whom were purchasing bunches of blooms more than once a week, instead of on special occasions such as anniversaries and Valentines Day as older generations did.

Men in particular are becoming regular flower purchasers, either for a partner or loved one, or to make their homes look more attractive, she said.

This demand has seen the number of florist shops in New Zealand rapidly increase over the last decade, driving up demand for high quality product from flower growers.

Ms Knight said: “We have a generation now that want New Zealand growing flowers and do not want cheap imports. There’s a whole generation that’s pushing for the clean green product. And that is very healthy for the floral industry as a whole.”

The news comes as a Waikato market flower business has been placed on the market for sale through Bayleys for $795,000.

The 2 hectare lifestyle property, located 15km from Ngatea and Paeroa, produces around 5000 first grade chrysanthemum stems each week which end up in prepared bouquets retailed in supermarkets. The property has a rating valuation of $440,000 and annual rates of $1,833.

The business was established a decade ago and has a projected revenue of $297,000 for 2011-2012, based on current production. Around 105 hours per week are needed to produce the flowers, split between one full time flower manager, part-time workers, and the owner.

Included in the sale is $160,000 worth of fixed assets, including the business’ plants, equipment and vehicles, all ready for use.

The business is marketed for sale by Bayleys Waikato salesperson Karl Davis. Mr Davis said the business would ideally suit a family or a couple looking to purchase a lifestyle property which would also provide a sustainable income.

“This business is ideally set up for someone wanting to be their own boss and spend as much time at home with their family as they like,” he said.

Ms Knight said chrysanthemums were poised to become a leading flower again after nearly two decades of being out of fashion.

“Twenty years ago chrysanthemums were huge, but demand for them petered out. Now they are making a comeback,” she said.

“The next generation of trained florists prefer them for their large blooms which, when mixed with other flowers, makes for an exciting arrangement.”

Ms Knight said someone wanting to be a successful flower grower would need to have a passion for the industry and be prepared to learn about product.

“We have a lack of young people in the industry and a lot of the older generation are now ready to move on and pass on their knowledge,” she said.

Mr Davis said alongside the market flower business, the sale included a four bedroom family home, including a sleep out for teenage children or additional office space. The property features a peaceful outdoor entertainment area.

“There is schooling across all levels in the area. The property is just a short distance from two towns and one hour from Auckland, Tauranga and Hamilton, so you can enjoy the country lifestyle with all the benefits of amenities close by,” he said.

Mr Davis said the business was being sold as a going concern, with a full set of accounts available for interested buyers.

ends

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