VGB‘s conference has an impact

The Dutch Association of Wholesalers in Floricultural Products (VGB) hosted a conference to share the latest practices in sustainable horticulture with its members. The conference theme on 16 April was ‘Sustainability Collaboration in Ornamental Horticulture.’ Writes Wilma van Velzen for FloraCulture International.

The VGB began by posing a question to its members and establishing a premise: To measure is to know, but what data and information does the sector need, want, and have? What tools are available to measure sustainability, and where should it start?

A panel of five green professionals tried to answer these and the many questions floral wholesalers have regarding product certification and footprint measuring. An audience of 70 VGB members and other industry stakeholders gathered at Tech Campus De School in Roelofarendsveen proved that there is an appetite for this topic.

Moderator Rob van Ruiten first explained why sustainability in ornamental horticulture is important in light of climate change and resource efficiency.

An audience of 70 VGB members and other industry stakeholders proved that there was an appetite for this topic.

Certification

For many years, organisations such as Floridata, FSI, Royal FloraHolland, and VGB have collaborated to prepare the sector for increased political and societal pressure and a rise in (retail) customers searching for more sustainably grown ornamentals.

MPS, MPS GAP, and GLOBALG.A.P. already have thousands of producers certified worldwide. Within the sector, there’s an overall consensus that sustainability is no longer an option but an imperative.

CSRD

As the industry moves towards sustainable production and trade of flowers and plants, there are principles, standards, and legislation to familiarise yourself with.

To protect their public reputation, businesses increasingly adhere to Corporate Social Responsibility (CSR) principles. This business model helps a company show transparency and honesty with its stakeholders and the public. Essentially, it’s about holding the company accountable for its impact on all aspects of society, including social, environmental, and economic.

In particular, wholesalers selling their flowers and plants to the mass market should have CSR on their radar, as in the retail market, CSR is known for acting as a license to operate. Simply put, if suppliers are not managing their environmental and social risks, they will find it hard to supply the retail segment of the market.

CSR can be used to guide the entire floral industry along the path to forthcoming EU legislation, of which the Corporate Sustainability Reporting Directive (CSRD) and the Directive on Corporate Sustainability Due Diligence (CSDD) stand out prominently.

Under CSRD, companies will be required to publicly disclose information about environmental matters, including carbon emissions and biodiversity, and how the company impacts social factors such as human rights, working conditions, equality, and non-discrimination in the value chain.

CSRD applies to all large EU companies, that is, companies exceeding two of the following three criteria: more than 250 employees on average during the financial year, a balance sheet totalling more than €20 million, and a net turnover over €40 million.

Maaike Fleur of Royal FloraHolland explained that CSRD is part of the Green Deal, which forces retailers, large flower and plant trading houses, and sales platforms to report on how their activities impact the planet and its people. A sustainability report based on accurate and verified figures is required to be published annually.

“It’s complex as CRSD virtually affects all actors in the value chain from breeder to trade,” Fleur said. And, there is hardly any escaping as several big box stores have committed themselves to 40-50 per cent less carbon dioxide emissions through the products they source.

FSI

Sectoral standardisation is a work in progress. Jeroen Oudheusden, Chief Executive of the Floriculture Sustainability Initiative (FSI), noted that FSI members have made significant strides forward: a 2020 survey found that 75 per cent of their traded cut flowers and more than 80 per cent of houseplants are certified.

The good news is that the European Commission has given its seal of approval to the Life Cycle assessment-based method FloriPEFCR, endorsing it as the new standard method for calculating the environmental footprint of flowers and plants.

Sustainable Sourcing Scan

Wesley van den Berg from market analyst Floridata focused on making sector standards visible and measurable in the Sustainable Sourcing Scan (SSS). SSS is designed to indicate the share of certified products in volume. The scan produces an FSI Compliance score, which serves as a Proof of Purchase towards customers.

To date, the tool has been used to scan around five billion stems and 500 million units of potted plants produced by 7,000 growers and products traded through intermediaries in 56 countries. FSI members of Trade&Retail use the scan.

FloriPEFCR

Royal FloraHolland’s Albert Haasnoot sees FloriPEFCR as the next step towards a more sustainable floriculture sector.

The FloriPEFCR handbook is designed to facilitate uniform footprint calculations of cut flowers and potted plants. It provides comparable and verifiable results on 16 environmental indicators.

This ‘compendium of calculations’ gives users better insight into the environmental impact of specific products and will help them make better-informed purchasing decisions.

In wrapping up the conference, VGB’s Floor Schamp said that good progress had been made. Around 30 VGB members will begin CRSD reporting, and those who haven’t started yet are advised to jump on the CSRD bandwagon as soon as possible.

This article was first published in the June 2024 issue of FloraCulture International.