Few transactions take place on the onion market, while there is a lot of supply from the country. The result is that the 3 regional stock exchanges in the Netherlands are lowering their quotes. Knowing more? Subscribe to 'Onion Market'.
The rain is throwing a spanner in the works for Dutch onion growers. While expectations sounded positive last week, that picture changed 180 degrees this week. Until Wednesday, October 4, we worked hard on bringing in onions, before the rain started on Thursday, October 5.
The most rain fell in the north of Zeeland and the tail of South Holland. Yesterday, October 5, 26 to 31 millimeters of rain fell there. The rain is also working against us in the north of Groningen. There are a lot of showers, which means that 24 to 27 millimeters have already fallen this week.
Ex-land prices drop
Even though some onions still have to be collected from the land, the sorters and exporters have a lot on offer. They complete their programs and remain calm on the market, while growers and commission agents continue to make offers.
The fact that few transactions are taking place is reflected in the mood on the stock exchanges in Emmeloord and Middenmeer. They both note the mood as 'bland'. Because there is little trade, but a lot of supply, ex-land prices are falling. The Emmeloord stock exchange notes a negative difference of €60 for the 6% coarse onions at €7 to €0,25.
In Goes, the same sorting records a negative difference of €0,50 and on the 30 to 60% even a negative difference of €0,75. At the fair in Middenmeer, both grades decrease by €1. All stock exchange quotes are automatically updated and can be found here.
Bale prices through bags of light
Bale prices remain virtually the same as last week. Only the bottom of the middles (45/65 millimeters and 50/70 millimeters) sink slightly. These now amount to €10,50 to €12. These are the most common sizes for sales to Africa.
Senegal's quota is responsible for the slight decrease. The export figures of the first full week of September are in line with the quota. In week 36, just under 5.000 tons of onions were imported by Senegal. The quota lasts 13 weeks and covers a volume of 65.000 tons until December 1.
There are stories from sorters about the color of the onions. This is a bit disappointing, but is normally sufficient to ship to Africa. Senegal is therefore a nice safety net for these onions. The quota was announced in week 39, the export figures for the 3 previous weeks are not yet known. When this is the case, more will become clear about the pressure that the quota places on medium-grade onions.