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Dutch onion pays bill for political game

19 November 2019 - Niels van der Boom - 3 comments

Russia, Colombia, Indonesia, Panama, Vietnam, Belarus. These are all countries where the Dutch onion no longer crosses borders without any problems. This is often the result of political play between nations, in which exports ultimately bear the brunt. That is the opinion of onion foreman Gijsbrecht Gunter in a column for De Groot en Slot's Onion Magazine.

HOA chairman Gijsbrecht Gunter, the chairman of the Holland Onion Association (HOA), puts in a stimulating column in the onion magazine van De Groot and Slot explain how political interests have a negative influence on the export possibilities of Dutch onions. Russia, a destination that is good for up to 100.000 tons on an annual basis, is the shining example in this case. Five years ago, this country instituted a boycott on, among other things, onions from our country.

Indonesia
The Indonesia file is currently under discussion. The Dutch onion sector has lobbied hard to be able to export onions to this country under the strict requirements. This was successful and between 2014 and 2017 the volume increased significantly, reaching a peak of almost 26.000 tons. In 2018, almost 23.000 tons were also exported to this destination.

"Indonesia would now suddenly ban onions, because the European Commission import duty on biodiesel with palm oil from this country," writes Gunter. "The agricultural sector is once again paying the price for a political revenge." Up to and including week 43, almost 6.500 tons of onions have been exported to the country so far this season, where that last year was 16.215 tons.

Measuring with 2 sizes
Another country where the Dutch onion has problems is Panama. In that Central American country, onions from our country are stopped because technical information is missing. At the same time, this country can hardly support itself due to the small harvest of its own. Onions from the United States were imported without any problems at the same time, says Gunter. Vietnam and Belarus are other countries that, in their case, are coming up with unworkable phytosanitary rules to ban onion imports.

In South America it is Colombia that closed the border to onions. In the year 2011, it imported almost 20.000 tons of Dutch product, but then it went silent. Nothing has happened since 2016. Due to internal reorganisations, this case will not be picked up again. Meanwhile, the European Union and Colombia are also in a anti-dumping case concerned with frozen chips.

Tricky image
The reason for this spasmodic attitude is known to Gunter. "The onion from the Netherlands suffers from a difficult image. Onions are said to be dumped and local growers compete unfairly. There are also continuous prejudices about alleged high government subsidies and the rich west. The media is happy to participate in this to confirm this image, while in reality is not exported if local product is available. Our long-day onions can be kept all year round and the local growers are actually helped to improve their cultivation."

This problem does not alter the fact that the onion has a noble purpose, says Gunter. "We are literally part of the solution to the global food problem," he writes. "Despite that, it doesn't get any easier to bring onions to places where there is a need. It's high time to tell the real story."

This article is reproduced with permission from the Onion Magazine (38th edition January 2020) of The Great and Slot.

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Niels van der Boom

Niels van der Boom is a senior market specialist for arable crops at DCA Market Intelligence. He mainly makes analyses and market updates about the potato market. In columns he shares his sharp view on the arable sector and technology.
Comments
3 comments
Subscriber
Teun Paarlberg 19 November 2019
This is in response to it Boerenbusiness article:
[url=http://www.boerenbusiness.nl/akkerbouw/uien/ artikel/10884737/hollandse-ui-betaalt-rekening-voor-political-game]Dutch onion pays bill for political game[/url]
Hi Gijsbrecht,
You can call me to add some nuances to this article.
MVG
Teun Paarlberg
G. Sevenhuysen VOF

Subscriber
Niels van der Boom 20 November 2019
Teun Paarlberg wrote:
This is in response to it Boerenbusiness article:
[url=http://www.boerenbusiness.nl/akkerbouw/uien/ artikel/10884737/hollandse-ui-betaalt-rekening-voor-political-game]Dutch onion pays bill for political game[/url]
Hi Gijsbrecht,
You can call me to add some nuances to this article.
MVG
Teun Paarlberg
G. Sevenhuysen VOF

Dear Teun,

This article is based on a column Gijsbrecht wrote for De Groot en Slot's Onion Magazine. Certain things are therefore sharply worded.
Subscriber
Ivo 20 November 2019
A story that has been known for a long time. Previously, the balance was determined by kilos times price; now kilos times price and politics. The worst part is that they don't realize what they're destroying.
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