Ornamentals: The Largest Sector of Horticulture in Canada
The ornamental horticultural industry plays a vital role in the Canadian economy, offers environmental solutions and benefits the health of Canadians. As the largest sector of horticulture in Canada, ornamental horticulture has a major economic impact and significant potential to develop and expand. It stimulates economic activity and entrepreneurship all along a value chain that includes suppliers, producers, wholesalers and resellers, contractors, retailers and electronic and mail order marketing. Ornamental horticulture also provides significant full-time and seasonal employment to Canadians and generated over $2.2 billion in direct labour income in 2007.
A growth sector and an economic opportunity
- The economic impact of ornamental horticulture in Canada has grown in real terms by 2.1 percent each year (2002-2007).
- In 2007, gross farm gate receipts for the ornamental sector amounted to $2.3 billion, with a compound annual growth rate of 1.7 percent (2002-2007).
- The ornamental horticultural sector has an employment growth rate of six percent (2002-2007).
- For every two jobs generated within the sector, another job is created in the Canadian economy.
- Baby boomers are approaching retirement and are expected to spend between $7.8 billion and $14.4 billion annually on gardening between 2011 and 2021 (national sales for this sector were $6.3 billion in 2007).
- Concern for the environment is growing, leading to an increase in green consumerism. The many environmental benefits of ornamental horticulture mean that the sector is naturally well-positioned for this trend.
Economic impact of ornamental horticulture in Canada
- Ornamental horticulture generated 41.8 percent of all horticultural farm cash receipts in 2006 ($2.3 billion).
- Consumers spent nearly $6.3 billion at the retail level on ornamental horticultural products and another $1.8 billion on landscaping services in 2007.
- The ornamental horticultural sector provided 110,750 full-time-equivalent jobs in 2007. Including jobs generated through indirect employment, the sector provides over 332,700 full-time jobs to Canadians (2007). All this is in addition to high levels of seasonal employment.
- The sector is the second-largest production employer in all of Canadian agriculture (Labour Market Information Research on Recruitment and Retention, February 2, 2009, Canadian Agricultural Human Resource Council).
- Ornamental horticulture generated $850 million in end-user taxes (PST and GST) in 2007.