It has been calm on the onion market for weeks. The last published export figures on week 9 indicate an export of less than 12,000 tonnes per week. "It isn't going. We are running on around 40% of our capacity," indicates Mike de Kosters of onion sorting and packaging station WDK Onions from Kwadendamme. And which way is it going? "Prices remain reasonably stable at the moment and there is little supply from the growers. When the supply comes it is more likely to drop than rise. At the moment there are just too few sales opportunities."
"There is too much product in Europe. There is some export to Africa, Malaysia and don't forget the United Kingdom, but we can easily fill that in with our processing capacity," continues Mike. "You would expect new markets to open at these prices, but it isn't happening and that's concerning. This market situation is bad for everyone. Growers, packagers and exporters are all disadvantaged and there will also be a lot of competition among recipients."
"For comparison those with experience are going back to 2005 when the onions were being brought for free and sold for one or two cents. The question is what will be left of the old harvest on the market when the new harvest start. For now the quality also looks good. We will have a lot of broken weeks over the next period. I estimate that a reasonable volume can remain, as a lot of onions will have to leave based on the stock predictions."
For more information:
Mike de Koster
WDK Onions
Langeweegje 39
4434 NC Kwadendamme
T: +31-(0)113-644270
F: +31-(0)113-644788
M: +31-(0)6-48380272
info@wdk-onions.nl
www.wdk-onions.nl