NACE 01.3 – Plant Propagation | Public Tenders

Definition: NACE 01.3 covers the operation of plant nurseries and the growing of plants for ground cover, including woody plants, ornamental plants, lawn seed and plants for landscape design. This activity is an essential upstream sector for public green-space construction and urban planting.

Legal basis: NACE Rev. 2 (Regulation (EC) No 1893/2006) · Last updated: January 2026

What does NACE 01.3 cover?

NACE 01.3 (Plant propagation – operation of nurseries and growing of plants for ground cover) classifies businesses that produce young plants, woody plants, turf grass and planting material for the landscaping, gardening and environmental protection sectors.

Group 01.3 within Division 01 comprises a single class:

Nurseries and horticultural businesses supply public contracting authorities in the areas of urban greening, roadside planting, compensation and replacement measures, and ecological restoration projects.

Public Tenders: Plant Propagation and Ground Cover

NACE 01.3 is one of the most relevant NACE groups in municipal procurement — public parks departments, road authorities and nature conservation agencies regularly procure plant material for urban and landscape planting measures.

Typical types of contract

• Procurement of urban trees: Supply of street and city trees (avenue trees) for municipal new-planting programmes
• Planting of public green spaces: Perennials, shrubs and hedges for parks, cemeteries and playgrounds
• Compensation and replacement measures: Plant material for compensation measures required under nature conservation law in connection with infrastructure projects
• Embankment and noise-barrier planting: Lawn seed, wildflower seed mixes, woody plants for roadside embankments
• Ecological restoration: Supply of site-appropriate native woody plants for wetlands, riparian zones and habitat-network projects
• Framework agreements for plant material: Annual framework agreements with municipal parks departments

CPV codes for NACE 01.3

For Contracting Authorities and Bidders

Public contracting authorities

• Municipal parks departments: Main purchasers of urban trees and planting material
• Road authorities: Procurement of woody plants for embankments and noise barriers
• Nature conservation authorities: Plant material for restoration and biotope projects
• Schools and public institutions: Planting of outdoor facilities
• Federal and state forestry administrations: Forestry plants for afforestation programmes

Typical eligibility requirements

• Business registration: Commercial nursery operating licence
• Plant quality: Evidence of plant quality in line with FLL quality guidelines or equivalent standards
• Certificates of origin: Increasingly required for native woody plants (regional seed, autochthonous provenances)
• Supply capacity: Evidence of storage capacity and reliable delivery at seasonal peaks
• References: Evidence of comparable supply contracts for public contracting authorities

FAQ

Which tenders are available for plant nurseries? Municipal tenders for urban tree planting are the most common form of contract, often as one-year or multi-year framework agreements. In addition, there are contracts for embankment planting in road construction projects and for nature conservation compensation measures.

Which CPV codes are relevant for NACE 01.3? The most important codes are 03451000 (plants), 03452000 (trees) and 77314100 (grassing services). Supply and planting services are often combined in a single contract — in which case CPV 77310000 is also relevant.

Are autochthonous plants mandatory in tenders? For compensation measures required under nature conservation law, many nature conservation authorities now require woody plants of regional origin. Nurseries should keep appropriate certificates of origin to hand.

• NACE A – Agriculture, Forestry and Fishing: Parent section
• NACE 01 – Crop and animal production, hunting and related service activities: Parent division
• NACE 01.4 – Animal production: Related group

Last updated: January 2026 All information is provided without guarantee. For legally binding advice, please consult a law firm specialising in public procurement law.