A woman walks under illuminated trees along Berlin's boulevard Unter den Linden as workers start to install the Christmas decorations in Berlin November 7, 2006. Christmas tree prices are set to rise in Germany, Britain and elsewhere because of a shortage of supply from main exporter Denmark, producers said on Wednesday.. Photo Credit: REUTERS/Fabrizio Bensch
COPENHAGEN (Reuters) - Christmas cheer will be a little more expensive in Europe this year.
Christmas tree prices are set to rise in Germany, Britain and elsewhere because of a shortage of supply from main exporter Denmark, producers said on Wednesday.
"The dog fight is in bulk sales for middle quality trees, which is about 75 percent of the business," said Niels Ambech, a tree producer near Copenhagen.
The price for a 2-metre Nordmann Fir tree, one of the most popular breeds, will go up 10 to 20 percent compared to last year, said Kaj Ostergaard, head of the Danish Christmas Tree Growers Association.
"It will retail at between 30 euros to 40 euros ($38 to $51) per tree," Ostergaard said.
The seeds of the shortage were planted between 1998 and 2004, when tree prices collapsed due to oversupply and some Danish growers switched to other crops.
"We had a total production of 12 million to 13 million trees in 2002, and this year we will only have 8 million to 9 million," Ostergaard said.
About 50 percent of Denmark's Christmas tree exports go to Germany and about 15 percent to 17 percent go to Britain. France and Austria are also big clients.