No compass needed

Jim Gilbride, Publisher

It’s a good time to be in the greenhouse edibles market. A recent study by Rabobank’s Food & Agribusiness Research and Advisory (FAR) group revealed the sales for the U.S. greenhouse produce industry will reach more than $4 billion by 2020.

FAR’s report, written by Karen Halliburton Barber, points out several opportunities for the industry.

“There is a growing preference among U.S. Retail and Foodservice buyers for greenhouse produce,” Barber said. “These buyers are seeking the quality and reliability of supply that greenhouse products provide.”

And greenhouse tomatoes today account for as much as 70 percent of sales, according to the report. To read more about this study, visit http://bit.ly/1geIWyu.

Our own data from sister publication Greenhouse Management also points to a strong greenhouse produce market.

The State of the Industry report (found in the October issue of Greenhouse Management) showed that 35.5 percent of respondents plan to grow more vegetable starter plants in 2014. And 21 percent said they’ll grow more finished produce – great news for the starter plant growers.

Vegetable starter plants and finished produce were profitable for greenhouse growers in 2013, according to the SOI report. Although annuals were far and above the most profitable with 48 percent, finished produce came in second at 11 percent and vegetable starter plants tied for third with perennials.

Sales of edibles are also up at independent garden centers. Another sister publication, Garden Center magazine, also conducted a State of the Industry report. IGCs reported that sales of edibles were up this year compared with 2012. Last year’s numbers were higher, but 34 percent of those surveyed to Garden Center that sales of edibles were up 1-9 percent, while 19 percent said sales were up 10-20 percent compared with 2012.

And edibles continued to rank as one of the hottest trends in garden centers this year, according to GC’s SOI report. In this year’s survey, edibles ranked fourth as the best-selling green good at the garden center, behind annuals, hanging baskets/combination planters and perennials.

As the grow-your-own trend continues to thrive, there are still opportunities for greenhouse produce sales to escalate. We’d like to hear how you plan to increase sales next year with new marketing techniques or new products. Please share your story at jgilbride@gie.net. I look forward to hearing from you.