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Maarten van Damme, Dacomex:

"Farmer holds onions and reefer containers not available to ship them"

The prices of onions went up by 2 cents again last week. "For us it is somewhat inexplicable and nobody knows what exactly is going on, but the farmer is currently in charge of the market", says Maarten van Damme of Dacomex. "Some of the growers and traders think that there are not a lot of onions available anymore and that creates a mood in the market. The farmer is really sitting on his onions and you can't get them loose."

"We think there is still a fairly large stock available. It's already March and before you know it, you are in the new season. Everyone is enjoying themselves, but it is not the case that one destination is a full load. The demand is, however, fairly spread. A few destinations in West Africa, for example, are doing well and Eastern Europe is still buying onions, but it is not clear how many onions went to Eastern Europe, " Maarten commented.

That currently results in a bale price of 19 cents for the medium sorting. "But even at the farmer you currently pay 17 cents, so whether the farmer will have to drop or the bale price must be raised.
I don't see the latter happening, also in view of the Corona virus.
Very few reefer containers are available and it is a challenge to get rid of the product. We do not exclude the possibility that onions will leave conventionally again, because many containers are left behind in Asia and you really have to gather them together",  Maarten says.

"That can sometimes become a problem, especially with Ramadan starting on 23rd of April. I see it happening that there is a lot of demand and that there are no containers to send the onions in. All in all, there are sufficient challenges. Fortunately, the quality of the onions is good this season, although you will see more bald onions appear due to the difference in temperature. But there are enough good quality onions left to export."

 

For more information:

Dacomex 
Provincialeweg 46
4695 RK Sint-Maartensdijk
The Netherlands
T: +31 (0)166 662550
maarten@dacomex.nl  
www.dacomex.nl 


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