A good demand for onions and more than enough work at sorting companies almost guarantees a good mood on the onion market. The only blemish this week was the export figure that was lower than many expected, but otherwise there is nothing wrong with the scythe.
Around the harvest, things were a bit hesitant on the onion market, but we now seem to have definitively shaken off those doubts. They are and will remain onions, so traders and processors are cautious in their predictions, but the general tenor is that things would have to go very strangely if we did not maintain this trend until Christmas. An extra cent or half a cent every week does not deter buyers. Up to an average of €25 per bale, there is not much going on, but whether we can take further steps upwards after that is still a bit exciting according to some exporters.
Confidence in the market towards the turn of the year is less. Both growers and sorters dare to do business for delivery before Christmas, but there is much less enthusiasm from both sides for something in January. The relatively large onion harvest in Europe plays an important role in this. A total harvest of 7,3 million in the EU plus the UK is rumored, mainly due to an increase in the area. This means that the harvest of 2024 is larger than in 2021. Whether all the onions are good is another matter. Various sources report that due to the extreme growing season in Poland, sorting losses are higher than average. That is good for the demand for Dutch and German onions.
Puzzling
The quality of Dutch onions can sometimes be questioned. Almost every sorter has a few loads or a cell with a problem. Normally this is not so bad and a processor can switch to another batch. Due to tight work stocks it is more difficult to bring forward another batch. If you are also bursting with work as a sorter, it is understandable that a nice box of onions nearby where you can load immediately is worth a plus.
The DCA Baalprijs onions is taking a step up across the board. The demand for middles in particular is good. Some sorters run a lot of 50-70 because they are paid better than the 45-65 and accept a higher share of triplets that also find their way relatively easily. Others focus more on coarse and super. What kind of batch is run and for which customer makes a big difference.
Read here is the explanation from DCA Market Intelligence on the new quotations.