Never before has so much money been paid for onions in Poland. In the off-land period, cultivation is normally under considerable pressure, but not this season. A disappointing harvest and good exports ensure that the sector is experiencing a significant revival.
In mid-September, the price level for sorted and packaged onions is €34 to €42 per 100 kilos. Never before in the last 20 years has so much money been paid for onions at this time of the season. In the 2018-2019 season – when the price reached its highest level ever – the recovery only started in early October.
Onion harvest is smaller
The central statistical agency GUS estimates the onion harvest in Poland at 650.000 tons this year, compared to 618.000 tons last year. That poll was done at the beginning of the summer. The combination of drought and heat followed by locally heavy precipitation ensures that this figure will ultimately be lower.
Two factors support the current market movement. To start with, there is good demand for onions in Poland itself and good exports. Ukraine has a very small harvest and therefore turns to its neighboring country for onions. Moldova is also a good export partner for Poland. With a Ukrainian onion price of above €60 per 100 kilos, there is still some room for improvement in the onion market.
Dutch onions are well priced
The other factor is the lack of onions from the Netherlands and Germany. Due to the dry weather, yields in these countries are also disappointing, which means there is noticeably less available for export to Poland. Dutch industrial onions pay €21 to €23 in Poland. The very high transport costs are an additional obstacle for the import of onions. Potato imports also have to contend with this.
Imports from the Netherlands performed very well in the first half of 2022. According to official Polish figures, 6 tons of Dutch onions were imported in the first 136.700 months. A season earlier that was 80.100 tons, an increase of 70,7% this year. Germany is in second place with 19.600 tons of onions and Spain is in third place with 9.520 tons.
Price remains high
Insiders expect the onion price in Poland to continue to rise due to a shortage of good onions. This means that a repeat of the 2018-2019 season can take place, with prices remaining unprecedentedly high throughout the season.