An employee from Henan Wanbang Fresh Logistics states that the price for red onions has been dropping for over half a month. Currently, the distribution price is around 0.24 yuan/500g, and the purchase price 0.10 yuan/500g. Compared to the price of 0.80 yuan/500g in May, when the onions had just entered the market, this is a drop of 0.70 yuan. For both prices, this is lowest its been in recent years.
The employee explains that the reason for this dropping price is that there are large quantities of onions from Kaifeng on the market right now. Because the production area for onions is big this year, the production volume is also big. The prospects are also not very optimistic, so the number of buyers from other areas has dropped dramatically. Moreover, the continuing high temperatures make costs for refrigerated storage too high. Because the expiry date for onions is short, farmers are anxiously trying to sell their produce, which also causes the prices to drop.
Source: Da He Net (Zhengzhou)