First, is there a real flowers shortage?
The floral supply-demand imbalance is unprecedented in the last 30 years, so we would like to explain to you what is causing the tight market conditions and how this may impact floral choices in the days, weeks, and months ahead.
Exactly What Is Happening with the Flower Farms and Flower Supply?
One year ago, the entire world was turned upside down with massive disruption from the Covid pandemic. The global economy abruptly came to a halt, and many U.S. florists and flower distributors shut down, some temporarily and unfortunately some closed. Around the world, the growers were being impacted as flower demand collapsed. Nobody could possibly predict what would happen next. As a result, many growers made decisions in 2020, reducing cost and pared-back production volumes. We are still dealing with the downstream effects of those decisions. The frustration of this is the supply constraints, several largescale grower/bouquet makers supplying mass markets have acquired South American farms, thus reducing product available to the florist channel. On top of all that, inclement weather conditions in Colombia and Ecuador recently has further reduced growing and/or destroyed flower farm production.
The pandemic also wreaked havoc with the delicate flower supply chain and logistics companies that get flowers to the florist straight from the farms. Also add the fact that passenger flights have been dramatically reduced, and placing increased demand to cargo airlines for freight. In some cases, cargo planes themselves have been redeployed from South America to other regions of the world to accommodate spiking demand. The result – higher prices for air cargo and less availability of space for perishable items like flowers. Complicating distribution issues, even more, U.S. trucking companies are struggling to hire farm-to-market drivers due to the explosion of e-commerce in the past year, which has driven farm-to-market driver demand all-time high.
People Are Loving Flowers:
All of the above is happening just as consumer interest in flowers has caught fire. Americans have been spending more time at home and have been separated from loved ones for over a year. As a result, flowers have seen a spike in demand. We look forward to a more normal supply level in the months ahead.