Inside Onions
Few growers benefit from strong prices
Onion prices have risen sharply in recent weeks. Now that the onions are largely off the land, growers are getting clarity about their yields. These are disappointing everywhere, so only a small percentage of growers can take advantage of the high prices.
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Choose the subscription that suits youDue to the good weather, many growers harvested the onions in week 38. It is also noticeable that the yields hugely disappointing. Even plots that look good at first glance do not achieve the expected yields. That is why the average yield is being reduced further and further.
The latest reports show that yields are on average 40% to 50% lower compared to last year. That would mean that 700.000 to 900.000 tons of onions would become available this year.
Fixed mood
The mood among growers is at the moment very tight. The 'forced supply' seems to have largely disappeared from the market and the growers do not intend to just sell their onions. The high prices that are now being paid are just a cover-up for many growers.
Yields from less than 10 hectares are no longer an exception in the southwest of the country. This year's high onion prices will not make any difference.
Quiet market
There is not much walking at the onion market. However, this is a well-known phenomenon at the end of September/beginning of October. Exports are also not going well. The sales destinations have to get used to the high Dutch bale prices. As a result, these try sales destinations alternatives.
While the Netherlands usually serves the global onion market as a gap filler, other producing countries are now trying to benefit from the high Dutch bale prices.
Big differences in stock market prices
The differences in onion prices are enormous. The difference between the bottom of the quote for 0% to 30% large onions and the top of the quote for the 60% upward is currently €16. This clearly reflects the situation on the market. The differences in yields, size and quality are very large this year.
When the 3 regional exchanges are compared, €0 to €30 is quoted for 15% to 22% large onions and €30 to €60 is paid for 20% to 26% large onions. The Goes and Middenmeer fairs put the €30 on the board this week.
They are trading up 60%, namely €25 to €30. The regional stock exchange in Emmeloord even quoted €26 to €31 for this quotation. The regional fairs in Emmeloord and Middenmeer show the mood in the onion market every week. They both record a fixed mood. This means that there is more demand than supply.