Netherlands: Prospects for greenhouse berry production

Netherlands: Prospects for berry production in greenhouses

03/05/2016

The berry market is expanding. The consumption of strawberries will increase by about 2% over the next five years. Growth of at least 7% per year is expected for blueberries, raspberries and blackberries. The consumption of blueberries in particular will increase a lot, partly because of the healthy image consumers have of them, which, according to Rabobank, implies many opportunities for entrepreneurs in the berry chain.

FruitRabobank

Greater growth
The market is up and higher growth is possible. Improvements in availability, quality and the promotion of health, versatility and moments of consumption will drive the market. Those who add value to their chain partners are those who will be most likely to achieve it.

In the future, around ten semi-integrated entities will supply the large retail chains and horeca services in the EU. These berry specialists of the future will collaborate closely with other links in the chain.

Foreign competition
Offering a complete package of berries remains difficult as local production has to be combined with import flows within and outside the EU. Prospects remain for local production in the Netherlands, including greenhouses, despite increased production in cheaper regions in eastern and southern Europe. Competition from these countries will increase, especially in weeks where the seasons overlap.

Various parties (producers, berry suppliers and investors) have invested in expanding and improving production in future production areas. There are good varieties available in almost all climates.

Quality is the key
The challenge will be greater for all players in the berry sector. Producers in the Netherlands will have to further define themselves with higher quality products to face the threat of competition. Production should be scaled up carefully and with chain partners in mind, as oversupply is lurking. It mainly affects strawberries.

Choosing the right varieties and the right path to the consumer is becoming even more important. In the future, varieties will be replaced more often. Sustainability is also becoming a condition to be able to produce. The risk of diseases and pests is still present, although the crop protection applied is decreasing.

New arrivals
The rapidly expanding market for berries is also attracting new companies. However, fortune seekers will only be able to sustainably succeed if they have a long-term plan and the right partners in the chain. Only large entities that collaborate with experienced and efficient producers and the best breeders and propagators will be able to succeed in this sector, since the decisive factor will not be price, but quality (taste and texture) and availability.

Source: Rabobank