What is involved?
In short, it takes hard physical work, long hours and development of good business sense to grow flowers. Growing flowers, pots or foliage successfully requires that you have or can carry out the following:
- good health and the ability to do hard physical work
- a supportive family who are willing to take part in the enterprise
- practical skills to improvise and repair equipment
- business ability
- business and financial plan
- marketing plan
- management skills
- detailed production knowledge of the enterprise
- detailed understanding of the harvest and post harvest needs of the product
- understanding consumers’ and buyers’ needs and wants
- adequate financial reserves.
As a producer you are likely to be involved in some or all of the following operations or activities:
- deciding on the enterprise you will develop
- selecting or buying suitable land
- making sure there is enough water available for long-term plans
- developing a business plan to present to the bank
- developing the marketing plan for your product
- establishing infrastructure such as irrigation, pumps, shade, glasshouse, parking, shed, coolroom
- establishing your market links with buyers, florists, wholesalers or exporters
- ordering your planting material (and ensuring it is free of disease and high quality)
- preparing the land, beds or pots which includes sourcing chemicals, fertiliser and the like
- planting the seedlings, bulbs or seeds
- managing the growing plants (water, fertiliser, weeds, disease, insects, pruning)
- preparing for harvest (buckets, sleeves, cartons, cooling, preservatives, etc.)
- employing and training labour for harvesting, sorting and trimming
- attending field days
- transport to buyers (preferably refrigerated)
- evaluating feedback from buyers
- increasing your knowledge of the industry
- planning for next season.
This list is not exhaustive but illustrates the range of activity involved. Other articles will give more detail for specific products. The other thing to keep in mind is the time it will take to arrive at saleable product. It may be a few months for some pot plants or seedlings, but five years for some native or foliage plants.
What to grow
This depends on a range of factors:
- your personal interests and skills
- climate and soil on your land (this can be under your control if you still have to buy land)
- what the market, consumer, wholesaler, and exporter want to buy
- cost of production and transport.
The flower industry is a complex one. It is very susceptible to fashion and is always looking for new products, so you need to be flexible to match those changing needs. Be prepared to change varieties quickly and, if necessary, change types of plants within the limitations of your infrastructure.
What to grow is also a matter of when to grow. The best prices are often obtained when others are not producing that product. For example, you may plant a variety that is a little earlier or a little later than others or you may grow in a location where the plant flowers a little later. There may be a loss of quality by growing out of season (such as shorter vase life) and you need to watch the supplies of the same products from interstate or overseas (waxflowers from Queensland are earlier than Western Australian waxflowers).
Seek out information on the economics of producing your preferred product and then compare it to others, keeping an eye on what is happening overseas. Some of the links provided and the publications included in the section ‘Further reading’ are excellent sources of information to help you make decisions.
How large should my enterprise be?
This will always be a balance between the capital and finance you have available, the type of product, the labour available and the ability to produce and sell on that scale. It may also depend on whether you are working with other growers to collectively market the product.
Most wholesalers and exporters like to deal with larger producers to ensure consistent supplies and quantity but if you are dealing with a local florist and you only want a part-time activity, the planting may be a lot smaller.
Never make the planting so big that you cannot maintain quality at all times, from establishment through to the wholesaler or florist.
On the other hand, there are growers of waxflower who grow many hectares of product, often carrying out maintenance such as pruning mechanically. These plantings may be on a more extensive basis with lower yield per hectare but the increased volume compensates for that.
Other growers consider that a reasonable income can be made from 5 hectares as a family business.
What the consumer wants
The consumer generally wants value for money, colour, freshness, freedom from disease and long vase or pot life. They are always after new types, so uniqueness is important, too.
Some of these things are under the control of the grower – variety determines colour, form and vase life, management determines disease status and postharvest treatment determines freshness and vase life. Marketing is about location, location, location – flowers are about quality, quality, quality. Quality doesn’t
necessarily mean top quality but it can mean consistent, reliable quality.
Quality starts with the following practices:
- Make sure the plants are clean and healthy when you order them.
- Control disease, insects and nutrients to maintain the quality during production ensuring good yields, long stems and vibrant colours.
- Time of picking affects the freshness and appearance of the product at the market (do you pick in 20% bud or full bloom?)
- postharvest temperature control and pulsing with appropriate material ensures freshness and vase life in the consumer’s house.
Quality should also extend to presentation (should always look good – every bunch – at all times, sleeves, labelling for variety) and to service (complaints, consistency of supply, documentation).
Develop a quality assurance program for your enterprise. This will benefit from being audited by a third party. ISO 9002 or SQF 2000 are two options. There are costs involved but your product will often have better access to markets.
Where to grow
If you own land this may already be decided but if you are buying land then you can focus on those aspects that are important. These may include:
- climatic conditions (cool and moist for boronia, warmer for wax)
- proximity to market, as the further you transport, the higher the costs and risk of reduced quality
- social and commercial facilities nearby (schools, hospitals, shopping, rural suppliers) that are important if you are employing labour
- source of casual or permanent labour – being near a town may be useful if you are planning a larger operation
- soil type where acidity (pH) can be particularly important, and light soils are better for banksias, heavier soils may be better for boronia and kangaroo paws
- past history of the block (for instance, chemical residues, disease and weed burdens) and soils infected with Phytophthora (for example jarrah dieback) may cause problems with many native plants.
Regulations and licences
Although you do not need a licence to grow flowers you do need a range of approvals and licences for some parts of the operation.
Growers of native flora require a Commercial Producer’s Licence or a Nurseryman’s Licence to sell the product. These are available from the Department of Parks and Wildlife (DPaW).
A reliable, good quality water source is critical to the flower enterprise. If you need to get water from bores then you may need an allocation from the Department of Water. In some areas this may require an environmental assessment to ensure there are no impacts from the flower enterprise on the local rivers, wetlands, groundwater and biodiversity.
Many shires require a development application before the flower enterprise can be started. Obtain these approvals before you commit to buying land or investing additional capital.
If the block is currently covered in bush and you wish to clear it for the enterprise make sure you have approval to do so. Landowners or prospective purchasers may apply to the Department of Environment Regulation for a clearing permit. Ensure you have this approval before buying new blocks.
From time to time growers may also wish to harvest flowers and foliage from remnant vegetation or Crown land to supplement supply. The plants here are protected and a Commercial Purposes Licence is required from DPaW.
Some production considerations
To obtain high yields and good quality flowers nutrients and irrigation need to be applied, and disease and insects controlled. Where chemicals are applied, you must use them in accordance with the label instructions. All appropriate safety precautions and container disposal instructions should be followed. Some chemicals are not registered for use on flowers. For further information contact the Australian Pesticides and Veterinary Medicine Authority (APVMA).
Plants and soil should be tested for nutrient requirements to ensure that too much is not applied. Similarly, irrigation should be monitored by using tensiometers and moisture probes to prevent over-watering. Putting on too much water is wasteful and costly, leads to increased leaching of fertilisers and can cause waterlogging in the root profile. Similarly, too little water can restrict growth and quality. Tensiometers are a very useful and cheap investment.
Will I make money?
It is possible to make money in the floriculture industry. You need to follow the steps suggested here to ensure you get an adequate return on your investment. Capital cost for land, sheds, irrigation and plants is high. Labour costs are also high. The industry is subject to fluctuating prices depending on supply and demand.
The prices florists or retailers charge for a bunch of flowers do not reflect what the grower gets, so you should count on getting no more than 30 to 40% of retail prices.
Example cost
Based on the publication Should I grow Wildflowers? some sample costs are outlined below:
The infrastructure costs may be around $80 000, not including land. To establish a kangaroo paw enterprise may cost about $22 000 per hectare with another $8000 in the first year for operating including labour. Operating costs in future years are about $30 000 depending on labour needs. Returns are about $11 000 in year one, around $50 000-60 000 in the next three years, then declining. The area will need replanting after five to six years.
Conclusion
This article is designed to help you work your way through deciding to enter the industry. There are many publications and internet sites available to help you find the answers, for example the Australian Flower Industry website.
Organisations
Nursery and Garden Industry WA - NGIWA, PO Box 9067, Nicholson Road, Subiaco WA 6008, Mob: 0419 930 008, reception@ngiwa.com.au
This organisation conducts many training events for the nursery industry and employs an industry development officer to assist.
Flower buyers
Buyers are mainly florists, wholesalers and exporters. Contact details are obtainable from the Yellow Pages directory or online.
Recommended reading
Should I grow wildflowers, by C Carson et al., Queensland Department of Primary Industry.
Many other publications on native cutflower species and their postharvest handling can be found on the Rural Industries and Research Development Corporation website in the section 'Wildflowers and Native Plants'.