Japan Agriculture Newspaper(October 15th, 2008)
(Translated by Rei Fukushima)
The flower prices, up and down is too much and dangerous!
Relay shipping of flowers is breaking down!!
“The flower production might decrease 20~30% in next mid winter from Jan. to Mar.” Mr.Nobuo Isomura,the president of Ota floriculture Auction said, on Oct. 10th,he gave very hard opinion too in the meeting of the persons concerned with flower industry.
The price of A heavy oil was 126 yen per litter in Aug. (searched by MAFF). It was further 40% higher than Jan., even when it was more expensive than before. It will be much harder for flower growers to ship suitable quantity for the market continuously because they like to save the energy cost.
“If the shipping schedule will make a lag from winter to spring, it will cause the problem to sell flowers.” Auction people are afraid of the prices too much up and down.
The change of supply has already happened, especially in Eustoma. This flower is useful for the wedding and funeral ceremony. The number of stems is 117,700,000 a year. It is the 6th item in Japan now. So far, in winter, in Shizuoka, Kochi and
Kumamoto where are warm areas, growers have grown many Eustoma. After June production succeed to in Kanto, Tohoku Hokkaido where are cool areas. But this year’s situation changed dramatically.
Because of the higher oil cost, the warm area couldn’t keep the suitable temperature.Quantity of stems sharply decreased.Domestic grown stems to Tokyo central Flower Auctions were 2,510,000 from Jan.to Mar.. It was 13% less than last year. Feb.’s average price was 161 yen per stem. It was 5% higher than last year. On the other hand, instead of domestic production, Taiwan export to Japan 910,000 stems. It was 70% more than last year. The market share of it increased to 27%.
After June, domestic production was too much. Because the production area, both warm and cool area shipped together at the same time. So the average price in July was 95 yen. It was 20% cheaper than they expected.
Mr.Shinichi Teshirogi, who grows 200,000 Eustoma in a year in Fukushima prefecture(cool area) and one of the growers who had been damaged in this situation. His income decreased 1,000,000 yen in July only one month. He said, “I can understand suffering grower’s feeling from very high oil cost in warm area, but we are in problem too.”
The situation of production area, where grower have to heat to keep the hight temperature in winter, is much harder because of the higher cost of oil and the materials. The number of the stems decreased 30% from Jan. to Mar. in ※JA Oigawa, in Shizuoka prefecture, where is one of the main production area in winter.
Some JA person said, “We might decrease further 10% from Jan. to Mar. next year again” He worries about delay of growing and also delay of the shipping till late spring.
So far, the domestic production area could supply stable quantity of the flower by growing flowers in different season in different area,so called Relay shipping. But due to the very expensive oil, change of the shipping period of even lily and rose is happening.
Mr.Shigeru Katano, chief of Daiichi flower Auction in Tokyo, worries to say, “If the price’s up and down will continue so much, due to shortage or surplus, both warm and cool production area will fall down together.”
※JA:Japan Agricultural cooperatives