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I would suggest it's not so much the costs of transport of flowers that will hit this individual trade so much as the economics of long distance transport will begin to unravel.

Sure, if you look at a £4:00 bunch of flowers in bare terms, it's unlikely that more than £1:50 is transport. So even doubling the cost of transport won't push the flowers out of economic viability.

But doubling the cost of transport across the whole economic sphere renders huge portions of the transport industry as currently configured non-viable. People will simply cease to operate in the way they do currently because the margins become nonsensical. Large warehousers like supermarkets will cease their 800 mile round trips between sorting centres etc etc, localism will predominate. So flowers become a casualty of the entire rationale unravelling rather than being priced out of the market.

keep to the Fen Causeway

by Helen (lareinagal at yahoo dot co dot uk) on Mon May 12th, 2008 at 09:09:39 AM EST
[ Parent ]
I'd be surprised if even £0.50 of the price was transportation.
by Colman (colman at eurotrib.com) on Mon May 12th, 2008 at 09:13:34 AM EST
[ Parent ]
Maybe. Not that it matters, it's the rationale of the industry that will go rather than whether the add on price of transport inflation is 50p or £1:50.

keep to the Fen Causeway
by Helen (lareinagal at yahoo dot co dot uk) on Mon May 12th, 2008 at 09:34:25 AM EST
[ Parent ]

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