At the beginning of this week, price for the onions from the 2020 harvest in Ukraine started to increase gradually. Today, they arrived at $ 0.16-0.25/kg, while the range of sales remained quite wide. At the same time, the project experts were informed that the demand has increased in the segment of high-quality onions and the stocks are rapidly decreasing.
Throughout the second half of the marketing year, season 2020/21, onion prices in Ukraine froze and did not change despite many internal and external factors. Local farmers, selling their products at an average of $ 0.16/kg, stated that they plunged into high losses this season. Many of them just kept the product stored until recently, hoping to sell it at a better price.
Analysts of the APK-Inform: Vegetables and Fruits project also believe that despite onion overproduction in Ukraine in 2020, average prices for onions could have stepped over the $ 0.20/kg mark by April 1. “Indeed, it is very difficult to count the real volume of the harvest, and especially of high-quality products in storages, but at the same time, the forecasts of the project experts about the lack of high-quality onions in Ukraine at the end of the outgoing season were true,” Olexandr Khorev, head of the APK-Inform: Vegetables and Fruits project, told east-fruit.com.
The developments on the market of last year’s onions in the Russian Federation are completely different. Current onion prices are dramatically lower than in the previous two seasons, and there is no way they can increase in the near future.
At the moment, Russian farmers are reporting the depletion of stocks of high-quality onions and are trying to sell off the remaining products at prices of $ 0.11-0.19/kg. They can barely do so, since new shipments of the 2020 harvest onions keep coming from Kazakhstan, and despite the high prices of $ 0.17-0.22/kg, their higher quality attracts more buyers.