Greenhouse floriculture vote controversial

Tuesday, January 15, 2008

by BETTER FARMING STAFF

Irwin Smith, the non-profit organization's executive director, says it has taken about two years to reach the voting process, which is being conducted by the Ontario Farm Products Marketing Commission.

Founded in 1966, the organization is not governed by any agricultural legislation and relies on voluntary membership. Two years ago it expelled its retail members and focused exclusively on grower issues. The Ontario organization remains a member of the national umbrella organization, Flowers Canada. The former retail members now belong to the national organization's retail division.

The industry had grown large and the retail end had different challenges from growers' end, says Smith. "It made sense to separate."

Smith says it also makes sense for the organization to become the representative for larger greenhouse floriculture growers in the province. Historically, the organization has carried much of this responsibility, representing its industry on issues ranging from taxation and pesticide regulation to government aid. But these efforts are being supported by less than a third of the industry's stakeholders, he says, pointing out the organization's membership currently numbers 125.

If voters opt to designate Flowers Canada (Ontario) as their representative association, they will then be required to pay an annual license fee of two cents per square feet of greenhouse area to a maximum of $13,000 to finance the organization's activities.

Only those who grow 20,000 square feet or more of cut flowers, potted plants, annual bedding plants and propagative plant materials are eligible to vote. That amounts to 400 growers, Smith says, noting packages have been sent to these.

Arman Patel, the executive director of Flowers Canada Retail, questions what the eventual impact might be on the retail end of the sector if the vote goes through. In particular, he's concerned that the net effect will be to create a marketing cooperative.

That creates an unfair playing field, he suggests, pointing out that retailers do not receive government funding to promote product to consumers. 

Given the locally grown marketing trends elsewhere in agriculture, Patel also predicts it would not be long before greenhouse floriculture growers promote locally grown flowers and that could create pressure for retailers. Currently, less than 10 per cent of the flowers offered in the province are Ontario grown, he says.

He's not sure how receptive growers will be to the idea of Flowers Canada (Ontario) expanding its representation, noting "it's the small percentage trying to get the large percentage to sign on."

And if there had been a value to such a venture, "it would have been done already," he says. "You don't need government intervention if a value is already there." BF