A recently published study by Rabobank called "The Color of Cooperation" suggests that due to a number of recent Auction mergers, there are fewer market places, making the market less efficient. In response, it predicts that over the next 10 years, ornamental plant and flowers production will be increasingly distributed from growers direct to volume retailers (supermarkets, chain-strores, garden centre and DIY chains) or to various types of intermediary wholesalers acting on their behalf such as the so-called 'flower bunchers' that customize products. Rabobank predicts a changing role for the Auction Markets. They will remain an indispensable part of the distribution chain, but agency work is expected to increase. Within 10 years cut-flowers traded through the Auctions could fall to 50% for cut-flowers and even less for pot plants. The Auctions will become less of a physical logistical centre and more of a brokerage operation and payment facilitator. The Auction markets will always be used to supply products that the 'intermediary wholesalers' cannot purchase directly from growers in an efficiently manner on a fixed program and price which is often set for several years in advance. Growers themselves will increasingly participate directly in the international distribution network in the form of strategic alliances which will come to dominate the market. www.rabobank.nl/info/execute/node?_id=202846