F. Optimal Connection Market Review Week 31

F Optimal Head of Roses Department, Ishai Sharon says that in the recent past weeks, the main factor that influenced low prices was the extreme hot weather in Europe this summer.

“It’s already 2 months and there is no rain at all,” says Ishai.

“This has made authorities to limit the using of water.” According to him, the temperatures are still high. A few days ago the recorded temperature was 37 degrees for 3 days. The forecast at the end of next week will be around 26 degrees, Ishai states.

From Ishai’s assessment, all local production has been coming in earlier with high quantity and bad quality. Recently on the clock there were 1.55 million flowers and from these 300,000 were destroyed. Dutch growers did not even send all their production and chose to simply destroy them at home.

The price of roses in July was about 20% lower compared to the year before, even the supply was smaller.

“We expect and hope that from mid to end of August when people are back from holiday, the climate will change and local supply will reduce, thus resulting in prices going up,” Ishai predicts.