Processors and exporters of onions have had a very quiet time in recent weeks. But this week, Brazilian exporters are hitting the big drum a bit more specifically. Will this demand bring the Dutch onion market back into balance?
On the Dutch market, the hoarding period at the beginning of March had no effect, as a result of which few onions left the warehouse. Overseas demand in particular was scarce. Buyers were active within Europe, but this provided insufficient work for the packers. For this it was clear that a large sales market had to be created.
Fortunately, at the end of last week, a welcome guest came to the Dutch onion market. Brazil has ordered a number of containers with Dutch onions. Brazil usually orders large (60-80mm) onions and sets strict quality requirements. Demand from Brazil is still limited. Demand must continue to bring the general demand on the Dutch onion market back into balance.
Mood-making among processors and traders
Brazil does, however, bring mood among processors and traders. After a few very quiet weeks, onions are now being bought from the farmer again. The onions that are packed for Brazil must be of good quality. however, the quality of the onions is a concern for a number of parties. Balding parties in particular cause problems.
Due to the lack of demand from processors in recent weeks, bale prices have fallen in previous weeks. Now that Brazil has reported, the bale prices for the coarse grades remain unchanged. However, because the medium sizes are less popular, the bale prices for the medium grades are falling. An overview of the DCA listing Bale price Onions.
Of all the quotations published by the three regional exchanges, only the 60% upward ranking in Emmeloord has increased by €0,50 compared to last week. All other odds came in this week with a small negative difference. When we put all quotations side by side, then for the 30-60% coarse grading €12 to €15 is paid and for the 60% upward grading €13 to €16.
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