Inside: Onion Market

Agrifirm Plant starts with two new onion pools

12 April 2017 - Niels van der Boom

Agrifirm Plant will start with 2017 new onion pools for the 2 harvest. In doing so, it says it responds to demands from the market. An onion pool with short storage offers the possibility to 'pool' between the landing season and the long storage pool. Red onions can also be sold in pools in the coming marketing season.

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The period between field delivery and the standard storage pool varies each year. This is how the storage pool of the 2015-2016 season only in December, because the field season lasted a long time due to the weather conditions. After the 2016 harvest, matters were handled much more smoothly. The harvest went well. A result of 9,70 euros per 100 kg was recorded last off-farm season.

The largest price peak occurred between field deliveries and New Year's Eve

Price peak at the end of October
The 2016-2017 marketing season saw the largest price peak after completion of the field delivery. In week 43 (end of October) the average stock exchange quotation reached a level of 13,50 euros per tonne. Until New Year's it fluctuated around 13 euros. Reason for Agrifirm Plant to start pooling during this period?

Market demand
Aart den Bakker, Agrifirm Plant: 'We do not look at one season when setting up a pool.' We have seen for some time that there is a market for growers who want to store their onions for a short period of time. 'The term of our storage pool is too long for them. The sales strategy of selling before January 1 also does not fit within this pool.'

The pool is open to everyone

Interested in sand and clay
Onion growers in growth areas such as the Northeast and Southeast of the Netherlands are often not long-term keepers. Last growing year, for growers who supply fields, financially good. Den Bakker: 'The onion pool with short storage is not only for growers in these areas. It is open to everyone. There are also growers on clay soil who would like to sell some before the new year.'

Pool red onions
In addition to the pool for yellow onions with short storage, the company is also starting a pool for red onions. Flevo Onions was the only pool provider for red onions. In February of this year, PPA announced that it would also start a red onion pool. 'The market for red onions is expanding. We speak to growers who are looking for a good average price for their product," Den Bakker explains. 'These are often existing relationships who also sell other products through us. That is why we are introducing a pool for red onions.'

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