The volume of green onions coming into California from Mexico has been tight due to low yields in the San Luis region of Mexico. With good demand, prices have been high, though they could soften through September before winter supplies arrive around the end of the month.“Two weeks ago, when the supply started to get short, Canadian buyers started to pull in product from here because they had some rain up there,” said Manuel Arellano with Altar Produce in Calexico, California. “They usually don't pull in what we have here, so that put a limit on what was available.”
Extra demand caused prices to climb as yields from Mexico were already short. Growers were already expecting lighter production because of hot weather during the growing season, but recent warm conditions further limited volumes. That made for a strong market.
On August 31, prices for a carton of medium bunched 48s from Mexico were between $20.45 and $23.55, and prices for a carton of small 48s were between $18.50 and $22.95. That range of prices is a bit lower than the market was offering a few days ago, and Arellano believes that trend could continue through September.
“People don't want to buy too much, and they'd prefer to clean up what they have,” he explained. “Everyone is trying to hold the price and complete the contracts they have. We're pretty close to winter production, so prices should come down as yields go up and demand dips.”
For more information:
Manuel Arellano
Altar Produce
+1 760 357 6762