Lack of demand keeps onion market under pressure

Lack of demand and uncertainty about inventories keep the onion market firmly in their grip. There is little buying, while there is supply. These circumstances lead to a more subdued mood. The market in Emmeloord remains unchanged this week. Quality lots remain at 12 to 13 cents per kilo. The price level for coarse lots is 1 to 2 cents higher at 13 to 15 cents per kilo. The market reflects a bit of the average in the market. Onions are also being bought for less, but also for more. Holland Onion Association counts only three traded lots this week: two that yielded 10 cents and one for which 11 cents per kilo was paid. This underscores that it is a weak trading week. On the other hand, more is being paid for very nice coarse lots. For delivery in April or May, 18 to 20 cents has been paid, with or without participation. The situation remains that higher prices can still be achieved for nice onions in the long term, but in the short term, there is a struggle due to lack of demand. This is intensified by the fact that there are lots for which an urgent buyer is being sought due to quality deterioration. Marketing of red onions even more difficultThe market situation for red onions has significantly deteriorated in the past week. For a long time, the price development remained reasonably stable, awaiting better marketing opportunities later in the season. Meanwhile, the end of the season is approaching and it appears that a lot of product remains in the storage, while demand does not improve. Therefore, the mood in this market is turning to weak. The biggest problem is that there are no buyers for quality red onions. Nice coarse onions are in demand, especially the super ones. However, there are very few of those, and that is also the direct reason why this marketing is going well. Egypt is expected to hit the market in a little over a month with red onions from the new harvest. Moreover, there are still red onions from the old harvest in mechanical cooling there. The sale of those onions means extra competition for Dutch onions. Dutch growers are not looking forward to that. Therefore, many are trying to sell some onions anyway. Also, because many lots of red onions show decreasing quality due to defects such as bare, sprouted, soft, and bacteria. One grower even goes so far as to give the onions to the buyer, who then sets a price based on the bale price minus sorting and transport costs.