Use of CHP results in lower cost price advantage

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Quantitative Information for Greenhouse Horticulture 2014-2015

Gepubliceerd op
15 december 2014

The Quantitative Information for Greenhouse Horticulture 2014-2015 (KWIN Glastuinbouw) is now available, containing key figures for vegetable, cut flower and potted plan cultivation.

The new KWIN Glastuinbouw shows that differences in cost price between the use of CHP (combined heat and power) and non-CHP use are negligible, while the CO2 footprint with the use of CHP for heating continues to be more profitable. With different growing periods, the average (business) economic cost price is higher than the sales price achieved. The scale size of the companies continues to increase, while the total acreage for the most important crops has shrunk slightly.

More on this can be read in the 23rd edition of the periodical reference book Quantitative Information for Greenhouse Horticulture, available from Wageningen UR Greenhouse Horticulture from today. This version includes data on the development of the acreages of the various crops, recommended prices for farm equipment and, for the most important crops, a calculation of revenue, costs and operating results.

Sales tool for growers

Operating results are currently calculated based on the average economic cost price. This cost price is not enough to make a profit, but sufficient enough to compensate for all costs. But for healthy business operations, the selling price must be higher. This average cost price calculation provides growers with a tool that can help them with the sale of their products.

Economic cost price calculation

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To arrive at the average economic cost price, a calculation is carried out based on production costs and part of fixed costs. These costs are attributed to the supply during the supply period concerned. For vegetables and cut flowers, this price is calculated for every supply period of four weeks or different plantings. The production of 1,000 plants is calculated for plants.
Since interest is growing in the environmental effect of crops, the CO2 footprint is calculated for every crop, divided among the various production factors.
The following findings emerged when compiling this reference work.

Sector-wide

  • Increases in scale are continuing. Of the total acreage, 66% concerns farms larger than 3 ha and 48% farms larger than 5 ha
  • Total vegetable acreage is also decreasing. The total acreage for tomatoes increased during the period of 2000 to 2013 by 56%, while total acreage for vine and cherry tomatoes doubled during this period, but at the expense of the beef and round tomato group. Until 2010, the total acreage for sweet peppers increased by 22% compared to 2000, but has since decreased by 14%. The percentage of green has decreased in favour of red
  • Total cut flower acreage is decreasing, especially acreage for roses and chrysanthemums, which have shrunk by 60% and 40%, respectively
  • Total acreage for flowering potted plants has increased by 40% since 2000, but has been stabilising in recent years.

Business economics

  • Differences in cultivation methods result in differences in cost price and lead to greater differences in the CO2 footprint
  • With different growing periods, the average (business) economic cost price is higher than the sales price achieved
  • The favourable effect on the cost price with the use of CHP has decreased due to the lower price for sending electricity back to the grid, but the use of CHP results in a better CO2 footprint.