Onion market calmer, grower maintains confidence

Things are a little quieter among the processors, but normal work continues smoothly. "The sales cannot be called special, but so is the supply from the growers. That is also small," says an insider. Things seem to be looking a bit different now, because both processors and growers started earlier this year than in other years. The off-the-field period is now coming to an end, and the harvest in the south of the Netherlands is not going smoothly everywhere after the heavy rainfall.

Grower continues to have confidence
It doesn't seem to be due to the confidence of the growers this season. They have been decisive on the market recently and asked a sales price that the bale price simply could not match. The export destinations are currently unwilling or unable to pay this high price level. Bale prices have therefore been under pressure for some time. The grower seems to realize that transactions above €30 per 100 kilos are not realistic, yet he remains confident about the storage season. That is not surprising, given that the returns are more disappointing than previously expected, says an insider. This is certainly no different for Europe. Trade is therefore not negative, but those involved emphasize that the price level is already very high, while the costs are considerably higher compared to recent years. That's a risk.

As a result of these developments, bale prices are under some pressure. This is also reflected in the DCA listing bale price onions. The difference between the fine and coarse grading appears to be increasing. For example, the bale price for triplets is €30 to €32 per 100 kilos, slightly lower than last week. The same applies to the size range 45-65/50-70, which costs €31 to €34 per 100 kilos. An average of €60 is paid for size 80-35, while supers remain at an average of €36 per 100 kilos.