Which way does the penny fall in the onion market? Growers and sorters have very opposite ideas about this. As a result, the tension in the market continues to increase. At some point it will bend or crack.
You hear quite a bit of grumbling among sorters and traders that growers have a hard time letting go of the onions. Growers in turn complain that buyers are very careful with the money they offer. The result is a market where little trade takes place on the farm. And yet with prices of around €35 you are still talking about serious money. "The gap between €9 or €10 is easier to bridge in seasons when there is no real flow than it is now between €34 or €35," sighs a trader.
The demand for onions remains a point of attention for sorters. The majority of the onions only go to a few destinations and often there are still some things that can be corrected from last season. And just as growers need a higher price to cover the increased cultivation costs, sorters want to maintain a slightly higher margin in order to, among other things, overcome the greater payment risks.
Grain of salt
Statistics Netherlands released area figures this week and they showed a clear increase in the area of yellow onions, while fewer red onions were sown. However, yield per hectare is at least as important for the total onion harvest. And if you're honest, there isn't much sensible to say about that. Some things are being trumpeted, but the importance of the source is often more important than whether it is a substantiated prognosis.
De DCA quotation Bale price of Onions took a big step back this week. On average, all sizes together, the price is around €49. The range is wide. Top quality large onions can cost up to €54 for customers with specific wishes. Then it doesn't even matter whether they are sowing or onion sets.