The horticultural market - France (2023)

1.2 The global horticultural market

The global horticultural market can be linked to the market for flowers and ornamental plants. This was valued at $**.** billion in ****, and is expected to grow by *.*% between **** and ****, reaching $**.** billion.

World market for flowers and ornamental plants World, ****-****, in billions of US dollars Source: ****

The horticultural market is mainly developed in Western countries, where garden cultivation has become a way of life and ornamental plants are a real leisure activity. It is also dominated by the United States.

The European horticultural market has seen uneven growth between **** and ****, according to a European Commission report on horticultural products. While the general trend since **** has been upward, with growth of **.*% in six years, the market stagnated between **** and ****, before growing again in ****(***).

European production of plants and flowers EU ** + UK*, ****-****, in millions of euros Source : FranceAgriMer *excluding UK in **** and ****

In ****, the Netherlands will dominate European production of ornamental plants and flowers with **% of production value, ahead of Italy(***). between them, these five countries accounted for **% of European production.

For example, in ****, cut flower production will account for **% of sales by flower and plant wholesalers, and the Netherlands will be the leading supplier of cut flowers and green plants.

Breakdown ...

1.3 Horticultural market stabilizes after long years of decline

Between **** and ****, total sales for horticultural and nursery companies rose by **%. They will reach *.*** billion euros in **** .

However, by ****, the French horticultural sector will be hard hit by a decline in the number of growers, and its competitiveness will deteriorate. In ** years, due to strong competition, the number of French companies has almost halved. Sales of horticultural and nursery companies France, ****-****, in billions of euros Source: FNPHP Also, purely horticultural sales (***). Producers are seeing their sales fall due to growing competition from imports, and a decline in the number of operators. This is due in particular to consumers' desire to buy more plants but on a smaller budget . In ****, sales of ornamental plants, fruit plants and forestry plants (***). Steadily declining sales in France's horticultural sector France, ****-****, in billions of euros Source: ****

1.4 Foreign trade in horticultural products

And in horticultural products

The high consumption of ornamental plants by the French is at the root of a largely negative trade balance for the country , with imports of *,*** million euros in **** and exports of just ** million euros. Thus, the trade balance has always been negative between **** and ****, rising from -***.* million euros to -*,*** million euros.

Imports have risen by **% in * years, creating pressure for producers who are seeing increased competition in this market. While they were up sharply in ****(***) and are therefore growing considerably, even if they remain a minority of producers' sales. France's main trading partners in this sector are its European neighbors.

Trade balance for horticultural products France, ****-****, in millions of euros Source: ****

Details of imports

Outdoor plants represent the leading import item(***). Fresh bulbs and foliage account for only **.*% and *.*% of imports respectively.

Breakdown of French horticultural imports France, ****, in % value Source: ****

As far as suppliers of these products are concerned, the Netherlands largely dominate French imports, accounting for **% of their value. France is therefore extremely dependent on this country. Next come Belgium(***).

Main countries supplying horticultural products France, ****, as a percentage of import value Source: ****

Export details

Outdoor plants account for a large ...

1.5 Covid-19 has had a major impact on the horticultural sector

The industry was heavily impacted by Covid-** due to store closures. Florists were closed for the duration of the containment period, and garden centers were only allowed to sell animal products until April *. After April *, the sale of vegetable seedlings was permitted as a basic necessity. Finally, from April *, garden centers were open again.

The closure of shops during this spring and calendar holiday period was particularly damaging for the sector. The horticultural sector lost *,*** jobs. [***]

The closure of the main distributors of horticultural products led to a drop in sales for growers, according to a study by Strategy&. Over the entire period fromMarch to June ****, growers recorded a **% drop in sales. The decline was particularly marked in March, with some catch-up consumption in June.

sales trend in production in **** vs **** France, ****, in percent Source: ****

2.1 The dynamism of landscapers, intermediate customers of horticulturists

There are three main types of customer for horticulturalists: landscapers (***), companies and local authorities, and private individuals .

In this section, we'll look at how demand from landscapers influences the market for horticulturalists.

The first thing to note is that the landscaping sector has been growing steadily since ****, and is therefore a vector for growth. Sales of these services have increased by **.**% since ****, particularly strong post Covid-**(***). Indeed, the gardens and green spaces sector is meeting the growing demand of the French for greenery and nature, a trend accentuated in the wake of the health crisis. Indices are adjusted for seasonal variations and working-day effects.

Sales index for landscaping services France, ****-****, index base *** **** Source: ****

Thus, in ****, the landscape industry will record total sales of *.* billion euros, representing **,*** companies and over ***,*** workers.

Landscape activity breaks down into maintenance(***).

Breakdown of sales by type of work France, ****, in % of sales value Source: ****

However, landscape gardeners are only an intermediary customer for horticulturalists, since they act directly on behalf of third parties such as private individuals(***).

Breakdown of sales generated by the landscape business according to who commissions the work France, ****, in % of sales value Source: ****

2.2 Local authorities and businesses find it difficult to direct their budgets towards the creation of green spaces

Local authorities and businesses can work directly with horticulturalists to purchase flowers and plants, particularly for occasional green-space maintenance needs that require less expertise than their creation.

According to the Palmarès des villes vertes ****, the number of m* of green spaces per inhabitant rose from ** m* to ** m* between **** and ****, then stagnated, reaching **m* in ****. However, the average city budget allocated to green spaces per inhabitant rose from €**.* in **** to €** in ****. This increase is a positive sign, suggesting that local authorities have understood the importance of developing their parks and gardens.

However, increases remain limited, and on average, investment in green spaces by major cities represented *.*% of their budget in ****, for example.

green spaces in cities France, ****-****, in € and m* Source: ****

What's more, cities are increasingly encouraging citizens themselves to green their cities through the introduction of various measures [***] :

Authorization to plant, supported by almost all participants; encouraging the greening of building exteriors (***); waterproofing permits, adopted by more than half the cities (***).

Indeed, citizens are increasingly demanding these spaces, and this could represent a real electoral argument in the years to come. As a result, local authorities could become a promising customer sector for horticulturalists. Green spaces are the ...

2.3 The French buy more plants, but on a smaller budget

Trend in French spending on horticultural products

In ****, **% of households purchased at least one outdoor plant (***), down on recent years due to a decline in average quantities purchased and average budget per purchasing household.

Average basket of outdoor plants in volume and value per purchasing household France, ****-****, in units, in euros and in millions of units Source: ****

More than half of Frenchhouseholds bought at least one indoor plant in ****. The average budget and the average quantity per purchasing household fall back to a level similar to ****, resulting in a drop in the sums spent and the volumes purchased

Average indoor plant basket in volume and value per purchasing household France, ****-****, in units, in euros and in millions of units Source: ****

What types of plants should I choose?

Outdoor plants account for the most sales by volume(***).

Weight of different plants in spending and quantities purchased France, ****, as a percentage of value and volume Source: ****

How much do they spend?

Individuals are regular consumers of plants and vegetation. In ****, people aged ** and over will be the biggest spenders(***). The **-** age group accounts for **% of total plant spending, while the under-**s account for only **%, with a slight increase. Between ...

2.4 Cyclical demand, largely dependent on the weather

The purchase of plants is highly seasonal, with a notable increase in purchases in April and May (***).

The summer months are less propitious for plant consumption, as households often leave their homes to go on vacation.

Purchasing calendar France, ****, in % of amounts spent Source: ****

2.5 Containment has led to renewed interest in horticulture

Covid-** had different impacts on each segment of demand for horticultural products.

For landscape gardeners, for example, who were unable to carry on their trade continuously during the containment period, the coronavirus led to a drop in sales, and therefore a fall in demand for plants. The gross sales index fell by *.*% in April **** and by **.*% in May **** compared with ****. However, the fall is limited compared to other sectors. Indeed, certain activities continued to be carried out, notably to ensure safety (***). [***]

Sales index for landscaping services France, ****-**** Source: ****

For consumers, Covid-** and containment have led to an increase in interest in plants and vegetation. This could represent a major opportunity for demand. Horticulturalists have been able to ensure the continuity of part of their business thanks to the drive. Indeed, vegetable plants were seen as a basic necessity. Garden centres and specialist supermarkets with animal feed sections were able to open[***]. However, despite the closure of the majority of retailers, the French remained interested in plants and vegetables during their confinement.

In addition, the graph below shows the proportion of searches for a given keyword in a given region and for a specific period, in relation to the time when ...

3.1 Horticultural value chain

Horticulturalists are at the start of the value chain, as they produce the finished plants they grow (***). Horticulturalists can either propagate the plants themselves or source them from specialized companies.

They then have multiple distribution channels at their disposal, with sales to wholesalers and direct sales to retailers, landscapers, local authorities and businesses, or to private individuals.

3.2 Fewer and fewer horticulturists

The number of horticultural companies has been falling steadily since ****(***).

Growth in the number of companies and employees in horticultural production France, ****-****, in units Source: ****

South of France

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(+**% between **** and ****

Surface area cultivated by horticulturists France, ****-****, in thousands of hectares Source: ****

In ****, average horticultural sales per farm were €***,***, up **% on **** [***].

Some growers also form cooperatives to benefit from more optimal distribution networks. Le Fleuron d'Anjou, for example, based in Les Ponts-de-Cé, will achieve sales of ** million euros by ****. [***]

3.3 Distribution of horticultural products

There is a diversity of distribution channels in the sector. In ****, a large proportion of sales by horticultural producers will be made directly to private individuals(***).

If we take into account all the channels aimed directly at private individuals (***), we find that private individuals account for **.*% of horticultural product customers.

Breakdown of sales by channel in **** France, ****, as a percentage of sales Source: ****

Focus on garden centers

More specifically, garden centers, which represent the largest customers of horticulturalists after private individuals, are dominated by DIY superstores (***). Apart from these leaders, the market is fairly fragmented, with a large number of locally-based independent garden centers. In ****, garden centers and grain stores will generate sales of *.** billion euros excluding VAT. [***]

The undisputed leader of garden centers in France is currently InVivo, which acquired Jardiland in ****, when it already owned Gamm Vert. InVivo Retail's sales under the Jardiland, Gamm Vert, Delbard and Jardineries du Terroir banners reached €*.*** billion in fiscal ****-****. [***]

Garden center sector leaders, in sales France, ****, in millions of euros Source: ****

Focus on wholesalers

Wholesalers account for an ever-decreasing share of horticulturalists' sales. In fact, they accounted for **.*% of sales in ****, compared with just **.*% in ****. Growers are seeking to capture wholesalers' margins ...

3.4 Mostly local distribution

French growers mainly sell locally and regionally. In fact, according to FranceAgriMer, horticultural sales are made in the following order:

Regional (***) ; locally (***) ; nationally (***); eU-wide; worldwide.

Furthermore, in ****, plants of French origin will account for **% of plant supplies in garden centers and grain stores. In addition, **% of these establishments offer products with the "Fleurs de France" label, while **% offer products with the "Label Rouge" label. Similarly, **% of garden centers and grain stores source all or part of their produce from "Plante Bleue" certified growers. [***]

3.5 E-business opportunities for horticulture

Although the horticultural market is lagging behind in terms of digitalization, it is likely to turn increasingly to this mode of marketing, particularly in light of the lessons learned from the Covid-** crisis.

Today, the vast majority of garden center and horticultural chains are not involved in online sales, with the exception of a few specialist chains that are developing their online distribution channels, such as Jardiland, Botanic, VillaVerde and Truffaut. In **** , for example, Truffaut developed a ship-from-store system that enables it to offer an express delivery service provided directly from its points of sale. The InVivo cooperative is also looking to launch a marketplace dedicated exclusively to gardening, bringing together the offerings of its various subsidiaries such as Gamm Vert, Jardiland, etc.

Most garden center chains only have a non-commercial website to showcase their products and services. This is because it is difficult for them to adapt their logistics structure to e-commerce, due to the specific nature of bulky garden items and their sensitivity to transport conditions.

But it is above all the generalist platforms such as Amazon and Cdiscount that will benefit from the boom in online sales of garden products. Indeed, thanks to the very large audience for ...

4.1 Different horticultural products

Sales of horticultural products are varied, with the following main categories:

Nursery plants : woody plants such as trees and shrubs. Potted plants. Bedding plants : plants used to make up flower beds (***). Cut flowers : flowers sold in bouquets or used to make garlands or other decorations. Perennials and aromatics: a perennial is a plant that survives all year round and doesn't die in winter, thanks to its stump, which remains in the ground. Aromatic plants are those that can be used in the kitchen, for example, for the aromas they give off. Nursery seedlings. Bedding plant seedlings. Bulbs : plant onions that are buried and awaken when exposed to warm soil, humidity, etc. Hyacinths, tulips or dahlias can be planted as bulbs. Vegetable or fruit plants.

Breakdown of horticultural sales by product type France, ****, in percent Source: ****

In ****, the range marketed by French growers appears to be stable and diversified .

Percentages are calculated in relation to sales of strictly horticultural products (***). Vegetable plants are included in the "other" category, for which they represent a significant proportion.

Young nursery plants have seen the strongest growth since **** (***). This figure is somewhat artificial, however, since it includes the reintegration of fruit nurseries into the target. Cut ...

4.2 Consumer prices for horticultural products

Since ****, prices for garden, plant and flower products have been rising steadily(***).

This may in part explain why the average budget per purchasing household has seen full growth between **** and ****, as seen in part *.*.

consumer price trends for garden, plant and flower products France, ****-****, index base *** **** Source: ****

5.1 Regulatory framework

Interprofessional agreement

VAL'HOR has been recognized by the French government since August **, **** as the French Interprofession for horticulture, floristry and landscaping. Recognition of Interprofessions is provided for by the French Rural Code - Article L***-*.

An interprofessional financing agreement had been concluded by Val'Hor members on March **, **** for a period of three years. This agreement obliged all players in the activities represented by the interprofession to respond to surveys relating to their activity, to take part in actions to develop and supervise the sector, and to pay the annual membership fee used for the interprofession's missions. On April **, ****, VALHOR's ** member organizations approved a new agreement covering the period from July **** to June ****. [***]

These obligations therefore concern all "establishments of companies carrying out all or part of their activity in the fields of horticulture, floristry and landscaping, namely production, marketing, implementation, even incidental or occasional ornamental plants".

All business start-ups, transfers, etc. must be declared to Val'hor.

Phytosanitary passport

Regulation (***) ****/****, which came into force on December **, ****, governs the movement of plants, plant products and other goods within the European Union, particularly with regard to the issue of plant passports. This passport is extended to all plants intended for planting, with the ...

6.1 Segmentation

• François Horticulture
• Samuel Penochet
• Le Fleuron d'Anjou
• Gamm Vert (Teract Groupe)
• Jardiland (Groupe Teract)
• Truffaut
• Pépinières Naudet
• Pépinières Ripaud
• Pépinières Lepage
• Pépinières Minier
• Pépinières Jean Huchet
• Pépinières Rouxel
• Pépinières Guillaume
• Pépinières Larnaud
• Pépinières de Kerzarc'h
• Pépinières de la Saulaie
• Pépinières et Roseraies Georges Delbard
• Pépinières du Val d'Erdre
• Pépinières du Val de Loire
• Pépinières Delabroye
• Pépinières Charentaises
• Cholat Pépinière
• Micropep Technologies
• Promesse de Fleur