Are there still chance cards on the onion market?

Also on the transaction list of the Holland Onions Association (HOA), the top end of the realized trade in week 17 is 5 euros per 100 kilos. The lower end is at a level of 2 euros per 100 kilos, achieved for a batch of 280 tons in the southwestern cultivation area with only 5 percent tare.

Average 3,80 per 100 kilos
On average, in week 17, according to HOA information from the reporting trade, 5.400 tons of onions were traded at an average price of 3,80 euros per 100 kilos. Compared to week 16, it is striking that fewer onions were traded, a decrease of 34,9 percent. On the other hand, the average price that was traded increased by 2,33 euros. That is an increase of 158,5 percent. 

It is striking that the quotation of yellow seed onions in Goes has the same bandwidth as the HOA's display. Middenmeer noted the onions more modestly this week and expressed the mood with 'Bland'. Emmeloord also used the 'Bland' vote to characterize the onion market, which was accompanied by a decline in the quotation of yellow seed onions.

Upturn brings optimism
There was a lot of optimism in the trading that took place last week. The question remains whether this optimism for growers will be rewarded in higher prices, now that the market is again sending signals that the worst of the heat seems to be over. The Brazilian demand has been met and Africa has also done its shopping in view of Ramadan. The last onions for this will be delivered early next week.

On balance, the Dutch onion market feels very calm again. It is more difficult for growers to get a merchant to buy the onions. In the euphoria of the market, the sorters have had to work for very sharp to negative margins and have little appetite to constantly have to bear the risks of purchases.

The folder with destinations is becoming increasingly thinner
Countries in Eastern Europe have limited market access, at least in the Netherlands. Trade that has taken place is not always collected as agreed. Sometimes it can be cheaper in Austria (logistics advantage) and a purchased batch in the Netherlands is postponed to a pick-up time to be determined later.

Insiders indicate that the onion market has returned to the mood before the recent revival. The regional quotations also underline this. The desire to buy is waning. Within Europe, except for Great Britain, it is difficult to operate. Distant overseas destinations are increasingly dropping out, testing patience.

In other words: The deck of chance cards has shrunk considerably.