The onion market shows a wide price spread due to differences in quality and supply. As trade picks up, prices range from 5 to 18 cents per kilo. Read more about price formation in the onion market.
Last week and early this week, the trade purchased a significant amount of onions. The overview from the Holland Onion Association (HOA) reports around forty transactions over a period of a week and a half. That is a high number compared to previous weeks.
In the first half of last week, a remarkably large number of batches were reported with a price of around 10 cents per kilo. This week, the list also includes batches that were sold for 10 cents, but there are also onions that fetched 13 to 16 cents. As a result, the average price level on the HOA list recovers to 12 cents per kilo this week.
The VTA price overview and the DCA transaction app also report prices rising to 18 cents per kilo. Over the past week and a half, the Transaction App counts four transactions in which a price of 18 cents was recorded. In one case, this concerns delivery on May 6, in two cases on May 16, and in another case delivery before June 1. In all cases, however, these involve very coarse batches, ranging from 70 to 90% coarse.
The large price differences at the moment clearly show that quality is being paid for. This is also because processors are dealing with quite a few quality problems. In addition to fusarium and sprouts, sorters are seeing a lot of bald onions in particular. The depletion of the onion crop is exacerbated by the current dry weather.