The Dutch onion market seems to be in an extremely precarious situation. The sales of onions are waning, which means that it is a matter of trial and error which batch should be processed first. The warm weather is increasingly taking its toll, forcing buyers to sometimes forego processing onions purchased at an earlier stage.
The most common problem for refraining from processing onions is shot. Now that onion prices have reached a low point again, the risks in a vulnerable onion market are being avoided as much as possible. However, in a situation like the one the market has now found itself in, it is difficult to do well for all parties.
Grower is looking for certainty
What is particularly striking is the movement the growers are making this week. The realization that this season could be over and done with is becoming increasingly clear. This at least ensures a logistical connection with a processor. This way there is a "guarantee" that there will be someone who will eventually pick up the onions.
In such periods when the demand for onions is slowly disappearing, processors are happy to have their own customer base. That's where all the attention goes. For all the demand surrounding it, price fighting is on its way. In any case, it is clear that at current prices returns are under pressure for both growers and traders.
Is there still light on the horizon?
The big question is whether there is still light on the horizon for onion sales this season. The devil could certainly be in the tail, especially since the new harvest would appear later. On the other hand, the heat has generally been good for the crops, although rain would be welcome, especially in the sandy areas.
Many processors are not yet thinking about the new onion season. The stock of old harvest is more than sufficient for the time being. Considering what onions have been exported this season, that is remarkable. This is because many growers only had a very normal onion harvest (CBS: gross 52,9 tons per hectare). The generally good quality of the harvest makes the desire for new onions fade into the background.
Interest is limited
The fact that interest in the new crop of onions is currently limited is reflected in the import figures for onions from New Zealand. The import figure to mainland Europe is approximately 10.000 tons behind last year. In addition, retailers appear to switch to new onions on store shelves later.