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Analysis BB Organic

Organic grower has trouble saying goodbye

11 November 2021 - Jurphaas Lugtenburg

The market for organic potatoes and onions is a bit of a push and pull. Trade wants something, but not at any price. Growers remain calm, have faith and wait. Little happens in the organic carrot. Demand for exports in particular is lacking at the moment.

The mood remains good among the organic farmers. Most farmers are not afraid of missing the boat. The trade is therefore in two minds. They want to retain their customers and prevent them from going to cheaper alternatives, but have to dig deep into their pockets to get the trade off the farmer. This puts the grower in a luxury position. "But yes, if you are now selling part of your onions for say €50 and they will turn out to be the worst onions of the season, have you done badly?", said one of the traders.

Division in the onion market
The onion market has two faces. Here and there there is supply from parties with problems such as water sheets, fusarium or head rot. It is easy to get rid of those because there are few onions, but then the price has to be right. And that causes some chagrin among arable farmers who had expected a higher price. Good onions are only offered to a limited extent. Several growers are waiting and want to see how the market develops in the second half of the season after the new year. The DCA Indication Price has increased compared to last week. The fine grade stands at €47 to €50 per 100 kilos and the coarse grade at €50 to €53 per 100 kilos.

Little spectacle in potato trade
The potato trade is babbling on a bit. Demand is there, but growers are in no rush to sell. German buyers are reporting and are already trying to secure potatoes before the end of this month. According to various traders, that is quite early. Growers see this as additional confirmation that the market is under the spell of shortages. The DCA Indication Price remains the same as last week at €57 to €62 per 100 kilos.

The supply and demand for carrots is considerably out of balance. Yields were good in the Netherlands, but also in Germany and Belgium, for example. As a result, there is little demand for carrots for export. There is not much trade but prices mentioned are between €15 and €17 per 100 kilos. It is difficult to find a buyer.

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Jurphaas Lugtenburg

He is a market specialist in grains and other agricultural commodities at DCA Market Intelligence. He also focuses on onions, potatoes, and roughage. Jurphaas also runs an arable farm in Voorne-Putten (South Holland).

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