Onion sales are better than expected

Great diversity of purchasing structures
For example, fixed money is offered for an entire box of onions, with the buyer covering the scooping and weighing costs. Floor constructions of zero euros are also used, whereby it is determined at the time of delivery whether participation is possible.

In addition, onions are sold at bale prices minus costs or onions are fixed for a fixed price. In all cases, the best way to act is examined, taking into account the circumstances and making an assessment of the possibilities that the onion market can still offer. And that is not an easy task for either buyer or seller.

Stock measurement onions
The question about the actual stock of onions that would still be there is being heard more and more. At times like these, an instrument for stock measurements is sorely missed. However, the instrument of stock surveys should not be given more weight than necessary, because when the instrument was still there, enough critical comments were made about it. Sometimes things suit you and sometimes you miss things.

The underlying question is: could it soon be the case that the available stock of onions has become so tight that the onion market will show an upward movement in price developments? The Netherlands seems to be left with an unsellable quantity of 100.000 tons. But because stock measurements are no longer carried out, the big question is whether this figure is actually correct.

Acceptance of stock onions
Although we no longer have a national stock measurement of onions, we may be able to say something about the stock of onions based on the data that does exist, figures from Statistics Netherlands.

• In the final harvest forecast, Statistics Netherlands expects a gross yield of 52,9 tons of onions. Last year, Statistics Netherlands calculated this quantity at 57,4 tons. For the conversion into net kilos, CBS assumes a loss of 7,9 percent this season, compared to 9,2 percent last season. In net tons this amounts to 1.187.692 tons, compared to 1.245.274 tons last year; 57.582 tons less than last year.
   
• Exports up to and including week 13 (last known week) this season, at 838.234 tonnes, are 29.491 tonnes behind last year's schedule. A note should be made regarding imported onions, which feature more prominently in the export figures this season than last year. Assumption 30.000 tons. Including the backlog, this would amount to 59.491 tons, which roughly compensates for the reduction in yield.
   
• Exports in weeks 14 to 26 of the past season had a weekly average of 12.826 tons. This season should certainly be able to match that and, at best, could be higher.
   
• From the first 2 points of attention it can be concluded that we are on equal footing with each other until week 13. The last national stock measurement, from mid-April 2016, indicated that there were still 190.000 gross tons of onions in storage. If we take that figure as a starting point, a net 175.000 tons of onions must be delivered from mid-April to the end of the season. That amounts to 15.900 tons per week.

Low prices ensure sales
What is striking is the size of the onion trade. The volume of onions traded in week 15 (transaction list of the Holland Onions Association HOA), at almost 7.000 tons, was considerably more than the more than 4.200 tons of week 14. However, the price almost halved, from 0,62 euros to 0,34 euros per 100 kg. Apparently, competitive business can be done at this price level, resulting in a larger volume of onions that can be sold.

Remarkable
What is also striking are the prices paid here and there. This week, business was done up to and including 3,50 euros per 100 kg for an averagely large batch of onions of good quality. The delivery time is within 3 weeks.

The interest from the trade in, in any case, coarse consignments and, if possible, with top quality, is palpable and visible this week due to demand from Brazil. The fine parts are still difficult to wear.