The fence is off the dam on the onion market. While the demand for good yellow onions increased at the beginning of the week, the need to buy onions seems to have reached the second half of the week. Packers compete for the last good onions of the 2019 harvest.
With the end of the season in sight, it is increasingly difficult for packers to find good onions. In recent weeks there was still sufficient supply available, which kept farm prices stable. This week, the packers in particular who supply to the retail sector have enthusiastically started purchasing the last good onions. During the week it became necessary for all packers to also buy onions before they run out. The result is a huge price increase on the onion market.
While the regional quotations in Goes and Middenmeer recorded only a small plus at the beginning of the week, it became clear that the price rally started later in the week. The listing of the Emmeloord stock exchange on Thursday rose by leaps and bounds. A plus of €30 has been noted for the 60-2,75% coarse sorting and even a plus of €60 for the 3% upward sorting.
Bale prices are lagging behind
While farm prices are growing by leaps and bounds, bale prices initially lagged behind. Since yesterday there has also been a (small) jump in bale prices. Processors will undoubtedly do everything they can to lift bale prices in the coming weeks. An overview of the bale prices can be found in the DCA listing Bale price Onions.
Demand has also increased on the export market. The demand is almost entirely Europe's fault. Both European retail and bulk destinations demand Dutch onions. Demand overseas is very quiet, and demand from Brazil is now also negligible.