Thursday, 23 December 2021

Tree options

After yet another disrupted year with Covid on the rampage once again many people are determined to celebrate this Christmas in a bid to inject some normality into their lives, if only for a few days. And who can blame them? Spare a thought for the hospitality sector, however, which depends heavily on the Christmas party season to generate a large proportion of its annual takings but which has suffered a rash of cancelled bookings and a general collapse in activity. Spare a thought, too, for those working over a period when most people are taking a well-earned break, notably those in the medical profession.

The history of the Christmas tree

One of the most common sights at Christmas are decorated trees which brighten up the gloom at a time of year when most European cities struggle to get more than 8 hours of daylight per day, with Stockholm and Reykjavik managing just 6 and 4 hours respectively. Although decorated trees today symbolise Christmas, they in fact predate Christianity. In Ancient Rome, trees were decorated with small pieces of metal during Saturnalia, the winter festival honouring Saturn, who among other things was the god of agriculture. It has been speculated that the early Christian church adopted 25 December as the celebration of Christ’s birthday in order to tie it to a festival that was already known and accepted by wider society.

Whatever the ancient origins, the concept of an evergreen tree symbolising life in the middle of winter became a well-established European tradition in the centuries that followed, with the modern idea of a Christmas tree originating in the Alsace region on the Franco-German border in the sixteenth century. Tinsel with which to decorate trees was invented in Germany in 1610 (although France became the world’s leading producer by the start of twentieth century). Trees started to catch on in the English-speaking world following the publication in 1846 of a picture in the Illustrated London News showing Queen Victoria, her German husband Prince Albert and their children around a Christmas Tree. In 1850, Charles Dickens’ short story A Christmas Tree described it as “that pretty German toy.” At a time when the UK has a rather convoluted relationship with the EU, it is ironic that many of the trappings of a traditional English/American Christmas in fact originate from Germany. The Germans were ahead of the game once more with the invention of the artificial tree in the 1880s in order to alleviate pressure on natural resources.

Demand has since continued to grow and no self-respecting European or North American head of state’s residence would be seen without a sumptuously decorated Christmas tree. In the United States alone, around 35 million natural trees are now sold each year; the corresponding figure for Europe is around 50 million of which the UK accounts for 8 million. Statistics suggest that two-thirds of UK households opt for an artificial tree with roughly 40% of US households doing the same.

The economics are interesting too

The economics of tree production are particularly fascinating. It takes between six and ten years to produce a natural tree around 6 feet (180cm) tall, so the tree standing in your living room today was probably planted no later than 2015. Producers therefore have to gauge the market up to ten years in advance and also cope with climatic effects which can have a significant impact on the crop

In terms of market trends, one of the big issues that tree farmers face is to judge the balance of demand between real and artificial trees. A decade ago artificial trees made up just 10% of the number of trees sold annually in the US – that share has since quadrupled – although in fact the number of live trees sold has remained static whilst the growth in the overall market has been driven by a surge in artificial tree sales. Another factor to look out for are changes in demand for particular variants of tree. In the 1990s, UK demand for Nordmann firs suddenly surged due to the fact that this particular variant is less prone to shedding its needles than the previously dominant Norway spruce. This was a particular problem for growers who were banking on the market remaining unchanged on a six-year horizon. However, those who spent weeks and months after Christmas looking out for pine needles trodden into the carpet now give silent thanks for the introduction of the Nordmann.

As with any agricultural product, unexpected climatic and meteorological events are the things that all growers must beware. Farmers in Oregon, the main production centre in the US, suffered a heatwave this summer which killed off a lot of seedlings in the early stages of development. Fortunately this has not done too much damage to the tree market this year since demand was met from inventory, but a shortfall could occur in 8-10 years’ time if farmers cannot make up for the hit to 2021 production levels. The result has been a modest rise in Christmas tree inflation, according to industry sources, adding to the upward pressure on prices which saw US CPI inflation hit 6.8% last month. Artificial tree producers have also had their problems this year. The bulk of production takes place in China and the rise in global transport costs in the wake of the pandemic has produced a rise of around 25% in US artificial tree prices. Chris Butler, CEO of National Tree Company, reported that “last year we paid $2,000 to $3,000 for containers and this year we’re paying in the region of $20,000.”

Of course, the big question is whether you should go natural and buy a single-use tree or invest in a multi-use artificial variant. Purists argue that there is nothing to beat the smell of fresh pine in the living room although the fact that large numbers opt for the artificial option suggests that for many the downside of jamming the vacuum cleaner with fallen needles outweighs the benefits. The huge piles of discarded trees littering collection points in early January would appear on the surface to suggest that natural trees are very environmentally inefficient. But the balance is a lot more tricky to determine.

According to the Carbon Trust, a 6 foot artificial tree is responsible for about 40kg of greenhouse gas emissions, suggesting that it has to be used anywhere between 7 and 20 times (depending on the weight and the materials in the tree) in order to match the carbon footprint of a natural tree. There again if you are sourcing your natural tree from a long distance away, the carbon footprint of the transport costs will quickly mount up. However, if ownership of a real tree is too much responsibility, you can always rent one for the Christmas period which will then be returned and replanted. Whether this is ecologically sound is a moot point but at least you can feel smug about not contributing to the huge piles of discarded trees that build up at the start of the year.

Whatever kind of tree you choose – or even if you choose not to display a tree at all – it only remains for me to wish a safe and Merry Christmas to you and yours.

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