Westhoff, Dümmen Orange End Licensing Agreement for Unrooted Cuttings

Calibrachoa Cappuchino (Westhoff)

Calibrachoa ‘Cappuchino’ (Westhoff)

Westhoff and Dümmen Orange have decided to discontinue their licensing agreement for the production of unrooted cuttings of Westhoff breeding products at the end of this season, according to Westhoff Sales Manager Bart Hayes.

“We value the long history of the relationship between our two companies, but the market has changed,” said President and CEO Christian Westhoff. “Our mutual business models have shifted since the inception of our partnership, competitive pressures in the marketplace, and the rapidly changing global space for breeding companies has led to the mutual realization that both companies need to make changes to better suit the needs of our customers today.”

Westhoff and Dümmen Orange have a longstanding business relationship and the original ownership family of both companies knew each other well. Dümmen Orange was one of Westhoff’s licensees, and cuttings were produced at one of Dümmen Orange’s farms in Guatemala. Over the years, Westhoff gave additional companies the license to produce their genetics. The decision to end the partnership for the production of unrooted cuttings was mutual, Hayes said.

“This partnership didn’t make sense for either of us anymore,” he said. “It’s sad to see it happen. We have a good relationship with Dümmen Orange, but the market changes and we evolve with it. There are no hard feelings.”

Pink, Patterns Among Biggest Trends at 2023 Poinsettia Trials

Marta Maria Garcia, Head of Product Management, Marketing and Retail for Dümmen Orange, said this decision was not made lightly, noting the company has partnered with Westhoff since 2008. Garcia said that Dümmen Orange is a producer and a breeder, and considered how this decision would affect both sides of its business.

“It was difficult to grow a profitable program at a farm where we have other crops, like perennials and foliage,” Garcia said. “At that farm, we grow all of our perennials and we grow our Welcome to the Jungle Collection. When you have two large growth categories that are doing extremely well for us, now you have to decide how to use your space so you have a profitable farm. We have to support what our customers want, which is more perennials and foliage items.”

From a breeder’s point of view, Garcia said Dümmen Orange also wants to focus on its own genetics.

Westhoff gave notice to brokerages and sales partners of the discontinued partnership. Dümmen Orange sold millions of cuttings for Westhoff, Hayes said, so Westhoff wants its customers to know that the cuttings are still available from other farms. The North American market will continue to be supplied from Westhoff’s remaining licensees: Cohen Nurseries, Plant Source International, Quality Cuttings Team, and Vivero International. For additional questions and inquiries, customers may contact Westhoff at [email protected].

Source link

About The Author

Scroll to Top