Onionpool Flevoland's fixed sales method has provided stability in a turbulent onion market. When all the signals were green, corona threw a spanner in the works and the onion market had to recover. That worked surprisingly well. Unfortunately, the pool could not take this tail.
Onion pool Flevoland sells a quarter of the volume every 2 months during the term. It is one of the few pools that still trades for its participants from the beginning to the end of a marketing season. Most other pools have now split their delivery times into an off-shore, short and long storage pool.
Revival came too late
The pool achieved a price of €2019 per 14,10 kilos on week 100 for the 13 harvest. According to chairman Evert Brommer, this result is approximately on the long-term average. The price could have been higher if the pool had also been able to benefit from the latest price upturn, the chairman also knows. However, by then the pool was already sold out. The Emmeloord stock exchange price amounts to an average of €15,18 over the entire season. Without this revival, the average is €13,60 in Emmeloord.
Onion prices were in a recovery phase when the corona crisis struck. “We were already looking forward to the €20 level when the lockdown came into effect,” Brommer reflects. "It was then very quiet for 5 to 6 weeks and no trade. When trade started again, we sold on. Anyone who still had onions at the end was the winner."
Tare acceptable
With an average tare percentage of 7,35% in the pool, the quality can be considered acceptable. Fusarium came to the fore in a few games, but this did not lead to any problems. The storage scale paid is based on the quality of the Arctic onions. For Global Gap it pays a fixed fee of €250.
The 2019 growing season was erratic. What strikes Brommer is that, despite unfavorable spraying times due to hot weather, the MH spraying turned out well. The onions appeared to keep well. A potting test was carried out once, after which a single batch was sold earlier than planned.
Difficult season
A lot can be said and written about the current season. The differences within the plots of the participants, all from Flevoland, are enormous. This started with tillage followed by sowing. Two-facedness has grown out of it somewhat in the last 2 weeks, but remains present. Many plots have too few plants. "Onions that are not there do not grow either. We therefore expect an effect on the yield," said the chairman.
Even now, challenges remain for growers. In the Noordoostpolder there is plant loss due to the onion fly. Mommer also hears about plots that have problems with wireworms, carrot centipedes, bean flies and onion leafminers. Insect damage is becoming more apparent this season because almost no IC-coated seed has been sown after the ban on Mundial. In parts of Eastern Flevoland, problems are observed as a result of irrigation with too high an EC. "Plants are therefore deprived of irrigation and it inhibits growth."
No strategy changes
Speculators have been quite active in the market in recent weeks. When the rain came, trade was quieted. Brommer has not yet had any Arctic growers who change their strategy. The changing situation has not yet led to the decision to deliver from land instead of spraying with MH. The number of participants remains stable, as does the area. The size of the pool depends mainly on the growing season.