After the boost in the first week of February, onion processors and traders expected a lower result the following week. The export figure for week 7 will surprise them.
After a dip in the last week of January, February started off with a positive result, as exports exceeded 20.000 tons. February is considered a difficult month, and export volumes of 20.000 tons and above are not so easy to achieve. Moreover, many exporters and sorters felt differently than the results.
Many companies are experiencing a very quiet month this year. This led to frequent reports that output in week 7 would be lower than in week 6. "That will be another setback," warned one sorter, describing the sentiment among a significant number of his colleagues.
According to preliminary figures from the KCB and the GroentenFruit Huis, week 7 yielded exports of 21.357 tons. This is even 1.000 tons more than week 6, which is currently recorded as a week with an export volume of 20.358 tons.
Why is it so crucial that weekly exports exceed 20.000 tons? Many sorters and exporters assume such an export is necessary to properly clear current stocks. Some companies use a much higher export volume of 25.000 to 30.000 tons per week as a starting point for successful sales this season, but most companies believe that with weekly exports of around 20.000 tons, the Netherlands is well on its way to reducing stocks.
One explanation for why feelings differ from the figures is that capacity in the Netherlands is so much greater than the current quantities being sold. If the sorters and packers put in a little effort, 45.000 tons could easily cross the border. But demand isn't that high at the moment. And that's perfectly normal for the second half of the season.
After a period of high exports just before New Year's, sorters and packers are finding it difficult to estimate the actual export volumes. Some companies even pause occasionally because they want to sell some of their fine onion stock before preparing new onions for export. Many companies feel the market is sluggish, and they're therefore hesitant to believe that the Netherlands exports more than 20.000 tons of onions per week.
More than normal
All in all, it's quite remarkable that exports managed to maintain a level of just above 20.000 tons in February. The multi-year average for the second half of the season is around 17.500 tons per week. If onion traders, sorters, packers, and exporters can achieve a weekly average of 20.000 tons during this period this season, that would already be an extraordinary achievement.
In week 7, exports to Ivory Coast rose to almost 5.500 tons, according to preliminary figures. This country is therefore making a significant contribution to the increased exports in the second week of February. Great Britain continues to perform well. According to the sorters, British buyers are trading very sharply, yet export volumes to Great Britain, at over 3.400 tons in week 7, are at a very good level.
The Netherlands is also doing good business with Guinea, Malaysia, Gambia, and Sierra Leone. Exports to Malaysia increased in week 7 to almost 1.300 tons, while exports to Guinea and Gambia held up well. Shipments to Sierra Leone were somewhat smaller in week 7, but over the longer term, the country is buying almost a third more than last year.
All in all, Dutch onion exports have reached another milestone. In the second week of February, the 1 million ton mark was already surpassed. This has never been achieved so early in the season. While the lead compared to other peak years is narrowing slightly, it remains quite substantial. Compared to the 2021 harvest, the lead is still over 40.000 tons. Compared to the 2024 harvest, the current season's exports are still 86.000 tons higher than a year ago, according to preliminary figures.