Inside: Onion Market
Brazil still on the market for one week?
Due to the demand for Dutch onions from Brazil, it was a very busy week in the onion sector last week. Calm has returned this week. Brazil is expected to be on the market until King's Day. How does this affect onion prices?
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Choose the subscription that suits youLast week Brazil caused a lot of excitement on the onion market. There is little evidence of this mood at the moment. The prices for large onions increased last week, but the biggest rush now seems to be over and the price is stabilizing.
Initially it was thought that Brazil would be on the market for five weeks with significant volumes. Processors quickly anticipated this and purchased large volumes of onions last week. However, it now appears that all onions must be loaded before King's Day. The result is that processing has more than adequately hedged against Brazil's demand and is now taking an exploratory attitude.
Coarse onions
After King's Day, Brazil switches to one of their own cultivation areas. It remains difficult to predict whether they will subsequently be marketed in the Netherlands.
The destinations currently on the market in Europe mainly require large onions and the onions that go to Brazil also have a coarse size selection. The ratio between the medium grade and the coarse onions is therefore coming under more pressure. Ramadan starts on May 15, which could result in a small delivery for the middle sorting.
Quality
The quality of the onions remains decisive this season. There will remain a market for the good lots until the end of the season. The size, color and quality must be good. The fact that there is a big difference in quality is shown in the quotations of the regional stock exchanges. The spread in quotation prices is very wide this growing season.
Regional fairs
Regional stock exchanges Emmeloord and Middenmeer are trading unchanged in their quotation prices this week. In addition, both fairs indicate a calm mood for the 60% large onions. Middenmeer notes a calm mood for the 30-60% large onions and Emmeloord a dull mood.
The Goes stock exchange shows a slight increase in the quotation prices. A plus of € 30 is noted for both the 60-60% large onions and the 0.25% large onions.
The spread in bale prices also remains very wide. There are many different destinations with only their own quality requirements. Current bale prices can be found in boerenbusiness database.
