The winter weather has taken the pressure off the carrot market. Combined with some demand, this is leading to better prices.
The regional trade fair in Emmeloord is starting the new calendar year with a €5 increase in prices per 100 kilos for conventional carrots. This represents a significant increase compared to pre-Christmas prices. A price of €11 to €14 is certainly much more attractive than just €6 to €9 per 100 kilos.
Despite this, growers are still far from breaking even on cold-storage carrots with current prices. Further steps are needed to raise the price, starting with an increase to €20 per 100 kilos. It remains to be seen whether this will happen quickly. These developments do, however, give growers some hope for better prices.
What's going on? The winter weather is driving up demand for carrots. Demand is up in both Belgium and Germany, while some orders are also coming in from northern Spain. More importantly, however, carrots still in the fields have to be written off. These carrots can no longer be harvested due to the frost. This is causing a shortage of carrots on the supply side, and with it, much of the pressure that had been holding the market in check.
Organic carrots are also showing a strong increase after several very quiet weeks. Before the turn of the year, there was already talk of good sales opportunities for organic carrots; this is now reflected in the pricing. The price in Emmeloord is rising by €6,50 this week to between €33 and €40 per 100 kilos.
The changes in the carrot market are also reflected in the market sentiment. Emmeloord has moved up the sentiment indicator from calm to price-stable. The coming weeks will reveal whether more can be achieved in the improved market. The outlook is positive, however. Compared to last year, Germany and Belgium themselves have fewer carrots.