An economic evaluation of single stem cut rose production

The economics of an innovative long stem rose production system was examined as a specialized perpetual production system as well as an enterprise integrated with other typical greenhouse crops. Commercial quality cut roses can be grown in a single stem system from cuttings. Single stem roses grown in 6 to 10 cm containers can be grown on mobile trays with ebb and flood subirrigation to greatly reduce irrigation runoff. Marketable yields for the greenhouse space are significantly increased over conventional production systems, although capital costs and management intensity are increased. This system allows the use of pot handling robots to reduce labor costs and the movement of the roses to specific controlled environments that are appropriate for each stage of rose growth. Data from seven sequential crops of 'Lady Diana' rose cuttings grown from February to May 1995, showed that rooting required a mean of 16 days, flower buds were visible in 39 days, flower harvest required a mean of 55 days and the mean stem length was 54 cm. Production costs within several enterprise schemes were determined for cut rose stems that met these mean characteristics as well as for high quality stems (66-75 cm long). Economic considerations integrated seasonal market prices, seasonal energy costs, special capital and labor costs etc. These variations led to break-even costs ranging from $0.20 to $0.25 per stem. Estimated internal rates of return were 77% for year around rose production and 175% for rose production specifically targeted to the Valentine's Day market while integrated with other greenhouse products over the rest of the year.