"A huge amount of Dutch onions are being exported," begins MSP Onions' Lindert Moerdijk. "It's a superb product of high quality and color, suitable for the whole world. Exporters worldwide are asking similar prices, as if there are no risks, so all destinations are buying slightly more."
© MSP Onions
For packers, financial pressure plays a role too. There were losses at the start of the onion planting season. They, thus, now want to export as much as possible to make up for lost revenue. Ivory Coast and Senegal, in particular, are behind the export drive. Those markets did well last year.
This year, though, more has been delivered than they can consume, leading to losses. Lindert points out that demand from West Africa is structural because that region's climate and daylight hours make for insufficient local cultivation. You must, however, spread exports to avoid peaks and troughs.
© MSP Onions
This year, between weeks 30 and 34, the Netherlands exported 28,324 tons of onions to that area; in 2024, during the same period, it was 15,241 tons. However, congestion and, above all, payment problems pose risks. About half of Dutch onions go to Africa, but the availability of euros and dollars is limited.
In the Asian market, China is an emerging competitor, though it is still focusing on other destinations. In Europe, the Dutch harvest stands out with high volumes and good quality. And while southern Europe struggles due to weather conditions, they have larger sizes. Last season, 1,24 million tons were exported; this season, Lindert expects 1,5 million tons.
© MSP Onions
MSP Onions processes 1,00+ tons of produce - including third-party onions and potatoes - per day. There are noticeable cultivation shifts: in the province of Zeeland, the volume has halved, but provinces with available fresh water, like Brabant, Limburg, and Drenthe, compensate for that. Ninety percent of the company's onions come from within a 2.5-hour drive.
MSP Onions has invested in a new factory for red and pink onions, which are of excellent quality this year. The onion market is free and is almost all day trading, making quality and price decisive factors. With the new facility, the company wants to deliver a stable 8,000–10,000 tons per week and explore new markets. It can sort 24 different types, while most competitors are limited to good/bad or five sizes. Weight, color, and quality are checked with 99.9% accuracy.
Technology and AI are key. MSP Onions has been collecting data on variety performance for three seasons and is continuously refining its software. The new factory's grader will be more efficient and reliable, with less downtime and higher quality.
© MSP Onions
Dutch onions go to around 130 countries, with MSP Onions delivering to 86. It sees further growth opportunities, currently untapped due to capacity shortages. The Dutch market has dramatic highs and lows. MSP Onions mainly capitalizes on the demand for extremely high quality from February to June, when many other players are inactive. Since peaks are unpredictable, the company focuses its automation investments on the low season.
The new facility and technological innovations should ensure MSP Onions can guarantee quality, expand capacity, and tap into new markets, while strengthening Dutch onions' global position.
Lindert Moerdijk
MSP Onions
Hertenweg 38
4455 TL Nieuwdorp
[email protected]
www.msp-onions.com
