After a number of very quiet weeks, the onion market is getting a little more lively this week. What does that result in?
Last month it became clear that Senegal was introducing a quota for Dutch onions. However, the quota period has now been extended by 1 month and is now valid from October 1, 2017 to January 1, 2018. During this quota, 64.000 tons of onions can be exported.
According to buyer William Nannes of Beemsterboer, the fact that the quota period has been extended is beneficial. Anything delivered in September does not count towards the quota. This is beneficial for the total export volume.
More trading than previous weeks
Last week, all ex-land prices on the regional stock exchanges fell. This week there is a slight decrease in fine onions. Processors and exporters already indicated 2 weeks ago that this sorting was coming under slight pressure. This sorting is mainly sold to Africa. Both Goes and Emmeloord indicated a negative difference of €0,25. It should be noted that when it became known that Senegal had shifted the quota, the quotations were already known.
For large onions, Goes indicates a negative difference of €0,25. Emmeloord, on the other hand, indicates an increase of €0,25. In week 41 they quote €5 to €8,50 for large onions from the field. Middenmeer notes unchanged.
Emmeloord changes the mood from dull to calm. This is somewhat contradictory to stories from processors and traders. They indicate that the previous weeks were very quiet, but that trade has picked up more and more during this week. It is not the case that there is a lot of trading going on, but there is still an upward trend.
They indicate that transactions around €8 for onions from storage will take place before the beginning of November. When it comes to onions from the field, the coarse sorting is particularly popular. These prices vary but increase slightly in width.
Bale prices are rising slightly
The bale prices also show that the market is improving slightly. Bale prices are broadly comparable to last week, but the bottom is rising slightly. The medium sorting (45/65 millimeters and 50/70 millimeters) costs between €11 and €12. The bale prices for large onions (60 millimeters upwards) are €14 to €16.