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Analysis BB Organic

Not too much stress for growers of organic products

3 March 2021

Just like last week, there is little demand for organic onions, carrots and table potatoes. Growers are not too stressed about selling yet, but the fact that they are convinced of high prices is another matter. The expectation of rising prices is ebbing slightly from sentiment.

The demand for free organic onions has been very limited in the past week. The season continues and the question is how many free onions there are at the moment. The impression is that there must be quite a bit behind the shelves. The yields per hectare were quite reasonable and are estimated to be around the average of recent years.

The free trade that has so far been done in organic onions is limited. This applies in any case to the onions from storage and is also apparent from the analyzes that Boerenbusiness has been making about this market since the end of last year. Reportedly, growers are still calm, but the mood seems to be changing slightly. As a result, buyers seem to be taking the initiative in the market.

In any case, they expect it to be cheaper than in the past period. So the pressure seems to be on prices. Across the board, prices have to drop by about €4 per 100 kilos to interest buyers. That means the DCA Indication Price for this week comes in at $40 to $43 for >30% coarse. The coarser onions are worth €38 to €41 per 100 kilos. There is little trade in free onions and the mood is very calm.

Good carrot not scarce
The organic carrot market has a special season. The quality is not good for the second year in a row and the yields were certainly not easy. Then you expect that good carrots will be scarce, now that the season has passed for a good part. That is not really the case for now.

Prices for good quality remain unchanged with very little trade. And the latter is because growers stick to the right carrot. There is a lurking risk here that people wait too long and the quality deteriorates. After all, the offer from Israel and Spain is not too long in coming. Lesser quality is traded more, but of course this is at varying prices. 'Just how much work you need', says a trader. The DCA indication price for good quality (class I) organic carrots remains unchanged at €25 to €30 per 100 kilos.

Calm makes foggy
The market for table potatoes has never been as calm as in the past. So quiet that it is difficult to indicate what the prices actually do. There is no movement from either side. That could go on for a while, but here too the following applies: do you keep the quality good? Will there be a final sprint when it comes to demand from the Netherlands or from abroad? And when will the first offer from Israel and Egypt be on the Dutch market? That makes it all exciting.

The market is trading unchanged at €25 to €28 per 100 kilos. This applies to floury and waxy potatoes 35 to 65 millimeters. The mood is hesitant with little to no trading.

A clear explanation of these indication prices and how they are established can be found here: the organic quotations of DCA-Markets

Do you have a tip, suggestion or comment regarding this article? Let us know

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