Netherlands: Fewer bankruptcies in horticulture in 2014

In 2014, fewer bankruptcies have been pronounced in agriculture and horticulture compared to 2013, according to the Agriculture Report of the LEI. The number of greenhouse and mushroom production companies dropped by 284 to 3,510. This reduces the number of businesses in greenhouse and mushrooms by 7.5%, a percentage that is much higher than in other sectors, where the number of businesses decreased by 2.9% on average.

Decline
The decline in the number of horticultural companies mainly consists of the more or less voluntary closure by generational change. Forced termination in the form of a bankruptcy is relatively rare. Just as in the economy as a whole, the number of bankruptcies in agriculture and horticulture dropped in 2014. The vast majority of bankruptcies are pronounced in the vegetable sector (nearly 90%), especially in (greenhouse) horticulture.

The number of bankruptcies in the plant sector last year was around 50. In 2013 and 2012 there were still about 90.

The decline in the number of companies fits into the long term picture, the less soil-bound, the stronger the decline in the number of companies. In the less soil-bound sectors such as horticulture, the number of companies shrank with a total of 53%. The decline has to do with market trends (markets and prices).

Source: landbouweconomisch bericht