Florist News – Rose Prices to RISE if ATPDEA Falls
Why You MUST Have an Opinion About Treaty Issue With Ecuador
A deadline is looming. And whether you are pro or con on the issue of importing Ecuadorian flowers into the United States, your opinion matters. And it can make a difference. A significant difference.
What’s the big deal? A decades-old treaty (the Andean Trade Preference and Drug Eradication Act, known as ATPDEA) is about to expire between the United States and Ecuador. If it does, the price of roses and other flowers grown in Ecuador (as well as lots of other products) will increase. A lot. That should be an important enough issue to get most florists’ attention. After all, you’ll be paying significantly more for those Ecuadorian roses you’ve likely taken for granted until now. And you’ll have to pass that price increase on to your customers.
A number of reasons will cause the price increases. The most-obvious increase will be the new duty tax added to the cost of each stem. Less obvious are similar duties Ecuadorian flower farmers will begin paying on the seed, fertilizer and farm equipment they purchase from U.S. exporters. With the farms’ cost of goods increasing, they will have to increase their flower prices.
Third, some Ecuadorian flower farms are bound to go out of business. With less competition, prices will likely increase as florists vie for continued access to a product well-known for its consistency and quality.
Fourth, increased prices of Ecuadorian blooms are expected to affect the prices of flowers from other countries—specifically Colombia. Industry experts anticipate that country’s growers to hike up their prices to keep up with those charged by their neighbors to the south. (Florists in Canada, which has no treaty agreements with Ecuador, have already seen such price increases.) And because Colombia is such a massive source of floral products for North American florists, those price increases will be felt by everyone.
The affects of the treaty’s expiration don’t end with price increases, however. If flower farms go out of business, thousands of Ecuadorian workers, particularly women, will lose their livelihoods. Even worse, the land formerly used for flower production is likely to convert to another purpose: the production of alternative crops, most notably cocaine.
Not everyone considers the demise of the treaty to be a bad thing, of course. Some believe the treaty has empowered wire services and online order-gatherers and put U.S. flower growers out of business, thus endangering the jobs of workers right here in the United States. They point to significant environmental costs involved in shipping floral products such great distances and of U.S. florists becoming dependent on imported products. They cite concerns about less-expensive labor and less-restrictive chemical regulations. They wonder about the irony of small businesses’ efforts to promote “buy local” attitudes among their customers when those same businesses purchase a majority of imported products.
But no matter what side you are on, what’s important is that you choose a side. You need to choose a side and then let your government leaders know which side you are on. Because if you don’t communicate your concerns, the politicians are going to make a decision for you. And time is running out to send your opinions to the politicians who will be determining the outcome because the vote will take place on July 31.
So, today, it’s critical to learn the facts and make a decision. To do that, here are some links to information that can help you form an educated opinion:
Don’t Be a Wall Flower!
Make a comment! FlowerChat can’t fulfill its mission to help florists without your participation in the forums! So take a moment to add YOUR thoughts to this discussion! Don’t see any comments listed yet? Be the first to start the discussion and encourage others to join in.
Why You MUST Have an Opinion About Treaty Issue With Ecuador
A deadline is looming. And whether you are pro or con on the issue of importing Ecuadorian flowers into the United States, your opinion matters. And it can make a difference. A significant difference.
What’s the big deal? A decades-old treaty (the Andean Trade Preference and Drug Eradication Act, known as ATPDEA) is about to expire between the United States and Ecuador. If it does, the price of roses and other flowers grown in Ecuador (as well as lots of other products) will increase. A lot. That should be an important enough issue to get most florists’ attention. After all, you’ll be paying significantly more for those Ecuadorian roses you’ve likely taken for granted until now. And you’ll have to pass that price increase on to your customers.
A number of reasons will cause the price increases. The most-obvious increase will be the new duty tax added to the cost of each stem. Less obvious are similar duties Ecuadorian flower farmers will begin paying on the seed, fertilizer and farm equipment they purchase from U.S. exporters. With the farms’ cost of goods increasing, they will have to increase their flower prices.
Third, some Ecuadorian flower farms are bound to go out of business. With less competition, prices will likely increase as florists vie for continued access to a product well-known for its consistency and quality.
Fourth, increased prices of Ecuadorian blooms are expected to affect the prices of flowers from other countries—specifically Colombia. Industry experts anticipate that country’s growers to hike up their prices to keep up with those charged by their neighbors to the south. (Florists in Canada, which has no treaty agreements with Ecuador, have already seen such price increases.) And because Colombia is such a massive source of floral products for North American florists, those price increases will be felt by everyone.
The affects of the treaty’s expiration don’t end with price increases, however. If flower farms go out of business, thousands of Ecuadorian workers, particularly women, will lose their livelihoods. Even worse, the land formerly used for flower production is likely to convert to another purpose: the production of alternative crops, most notably cocaine.
Not everyone considers the demise of the treaty to be a bad thing, of course. Some believe the treaty has empowered wire services and online order-gatherers and put U.S. flower growers out of business, thus endangering the jobs of workers right here in the United States. They point to significant environmental costs involved in shipping floral products such great distances and of U.S. florists becoming dependent on imported products. They cite concerns about less-expensive labor and less-restrictive chemical regulations. They wonder about the irony of small businesses’ efforts to promote “buy local” attitudes among their customers when those same businesses purchase a majority of imported products.
But no matter what side you are on, what’s important is that you choose a side. You need to choose a side and then let your government leaders know which side you are on. Because if you don’t communicate your concerns, the politicians are going to make a decision for you. And time is running out to send your opinions to the politicians who will be determining the outcome because the vote will take place on July 31.
So, today, it’s critical to learn the facts and make a decision. To do that, here are some links to information that can help you form an educated opinion:
- Ecuador, Agriflor and the ATPDEA (Article by Flower Chat founder and administrator Ryan Freeman)
- From California’s Flower Farmers: Thank You Ram Truck (article by Kasey Cronquist, California Cut Flower Commission)
- "Keep Trade Going" Campaign Aims To Protect Ecuador-US Trade (article by Embassy of Ecuador in Washington, D.C.)
- We’re not ready: It can get worse (article by Kasey Cronquist, California Cut Flower Commission)
- Topical website funded by Embassy of Ecuador: http://keeptradegoing.com/
- California Flower Farmers Seek Consumer & Congressional Support (article by Kasey Cronquist, California Cut Flower Commission)
- The Importance of APTDEA (by Yvonne Ashton , Mayesh Wholesale Florist Inc.)Don’t sit back and think your individual voice doesn’t make a difference. You DO count. Choose a side and communicate your preference to your state senator and representative. Because your business will be affected by this issue one way or the other. So take advantage of your opportunity to impact the outcome.
Don’t Be a Wall Flower!
Make a comment! FlowerChat can’t fulfill its mission to help florists without your participation in the forums! So take a moment to add YOUR thoughts to this discussion! Don’t see any comments listed yet? Be the first to start the discussion and encourage others to join in.