Ukrainian onion producers have initiated a significant reduction in prices this week, driven by a marked decline in the quality of stored onions in 2024, as reported by EastFruit project analysts. This price reduction is further compounded by a current decrease in demand for onions. Consequently, the market has seen onion prices adjust to 9-15 UAH/kg ($0.21-0.36/kg), reflecting an average decrease of 10% from the previous week's closing figures. The price variance is attributed to the quality and volume of the batches available.
Moreover, several producers, who had previously halted sales earlier in the season, have now reopened their storage facilities. This action has led to a significant influx of onions into the market, exerting additional downward pressure on prices. Despite the current downturn, it is highlighted that onion prices are, on average, 10% lower than in the same timeframe last year. Producers acknowledge the seasonal nature of this decline in demand and pricing, anticipating a revival in trade towards the end of February. By this time, it is expected that the majority of medium and low-quality onion stocks will have been depleted from the market.
Source: East Fruit