The Dutch onion exporters are faced with a tense second half of the season. "We'll have to wait and see what happens," says purchaser William Nannes of J.P. Beemsterboer Food Traders. "Senegal is already closed in principle, although a meeting is held to determine whether a small quantity is allowed to be exported before the local harvest starts. We'll definitely feel that in our export volumes, because a huge amount went that way."
"The export to Mauritania and Gambia is also decreasing somewhat. There is still export to destinations like Brazil, Libya and Malaysia, so the market is still rather wide. I don't know how sales are within Europe, because we're not doing business here, but the European harvest is big. If some European sales are added, it's possible for the export to be continued," William goes on. "The difficulty for packagers is that large onions are going to a market like Brazil, but they also need to go somewhere with their mid-range."
"And the position of the growers is pretty secure. The question is whether they'll give some leeway, because the price is already very low, of course. The bale price is around 11 cents for medium, and 12 cents for the large range, but it is under pressure. Competition is fierce, and if the growers won't go down, that won't get any better. Our company's advantage is that we don't have a position, meaning we don't benefit from a low or high onion price. We need to be able to do business, and a certain margin has to be between that, preferably for everyone," William concludes.
For more information:
William Nannes
J.P. Beemsterboer Food Traders
+31 226396408
wnannes@beemsterboer.nl
www.beemsterboer.nl
For more information:
William Nannes
J.P. Beemsterboer Food Traders
+31 226396408
wnannes@beemsterboer.nl
www.beemsterboer.nl