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Heavy competition in sweet onion category
“For the next two months, our onions will continue be sourced from Peru,” says Mark Breimeister with Oso Sweet. The company prides itself on supplying a flat type, sweet, mild yellow onion with a light papery skin. From April through August, this sweet onion variety is grown domestically, followed by a transition to Peru in August. The country’s supplies continue through late February, early March. “So far, it has been a good season,” shared Breimeister. Quality is nice and yields were above average for the first part of the season. Yields have been about average for the second part of the season. “We are pleased with the job our growers in Peru have done this year.”
Low prices
Sweet onion prices on the other hand are low. “With $16-$18 fob per 40 lb. carton, we are barely covering the cost.” We need at least $18.00 to earn a reasonable margin, but competition in the sweet onion category is heavy,” admitted Breimeister. With Mexico starting up next month, supplies will further increase. Many importers will switch to Mexico in February, but Oso Sweet will continue to import from Peru until the end of the Peruvian season because of the country’s high quality.