A substantial volume of field crop lots was traded last week. This is somewhat surprising, given the export slowdown and the approaching holidays.
The export figure for the last week of November is downright disappointing, at less than 25.000 tons. For this time of year, this is a small amount. Exporters, packers, and sorters had also estimated exports for that week to be somewhat higher based on their own activities. Some expected exports to be just under 30.000 tons, while others expected slightly more.
Based on this, it was assumed that processors would have ample inventory until the holidays. Nevertheless, business was still conducted. A considerable number of transactions were also concluded at the regional trade fair in Emmeloord, more than expected.
Quotes remain stable
Price fixing was agreed upon fairly quickly. Stable at €14 to €15 per 100 kilos, was the verdict. These prices apply to both fine and coarse lots. However, market sentiment is subdued as supply continues to exceed demand.
The fact that more business was done than expected despite this may be related to the possible deferral of more expensively purchased consignments to next year. In their place, cheaper consignments are now being quickly purchased, more affordable and more suitable for the current sales market.
There are indications that this is the case. Consignments that were previously booked are currently being collected and are now being stored by processors instead of being processed. These processors hope that prices will rise again in a while and that they can then bring the more expensively purchased onions to the market.
Although Emmeloord currently uses a narrow price range, in practice, there are actually larger variations. Some batches are being sold for €13 per 100 kilos. According to a buyer, these are indeed smaller batches, but of good quality, making them particularly suitable for sale in Africa.
Higher prices
On the other hand, onions are also regularly reported at €16 per 100 kilos. A few even manage to get €17 for their onions. This is evident from the weekly overview from the Holland Onion Association (HOA). It does mention that these onions are suitable for retail sale. This week, too, a relatively high number of onions were sold. The list compiled for the first half of this week shows a price of €15 per 100 kilos in almost all cases.