A strong supply of onions has been keeping onion prices depressed. "Though we're hitting a blip, which is good and that has helped pricing," says Jessica Peri of Peri & Sons Farms. "There were rain delays in harvesting in New Mexico, plus in California, we're transitioning into the intermediate varieties."
The oversupply in onions follows recent years of good markets on the item. "Then, a lot of people plant them or plant more," says Peri.
This is all quite a different picture from last year at this time. Then, the market was much higher because there were some interruptions in supply in the spring of 2024. Export demand was also greater last year, helping the overall onion market to be better in 2024 than it has been in 2025.
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Consumers, the economy, and demand
Demand is also on the slower side. "I don't think our economy is in the best shape and consumers aren't spending as much," says Peri, adding that retailers are reporting that sales are flat or deflated. "After the first of the year, there wasn't great demand, and it's been that way through the spring and into summer. It's just been kind of flat."
This is also why the grower-shipper has been pushing for its California-grown Sweetie Sweet onions as a sweet onion alternative on the West Coast particularly. "They are a great opportunity to bring value to the consumer, especially in these economic times. Instead of bringing them from Vidalia, Georgia, you'll see the biggest value buying closer to home," says Peri.
At the same time, retail prices for onions are still on the higher side and they've been that way for several consecutive markets. "I think retails need to come back down to help the consumer out," says Peri.
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New regions starting
Looking ahead, concerns over onion markets remain. Production has started in the Pacific Northwest with overwinter supply, and then it will begin with direct-seed onions next month. "That could turn with one area–something could happen to a production area in Mexico or across the globe because onion prices and availability are a global market," says Peri. "We would, unfortunately, need to see some kind of weather event happen to help the supply situation and get those prices up."
After all, yellow pricing is softer and could get even softer once regions such as Washington begin harvest. "Typically in August, pricing on white onions goes up because there's a gap with Mexico, and they start buying, and that carries over into September," says Peri. "There's definitely hope for white onions but not yellows, also because every area produces yellow onions. I think that price will stay." Meanwhile, red onion pricing could stay stable following a recent increase.
For more information:
Jessica Peri
Peri & Sons Farms
Tel: +1 (775) 463-4444
http://www.periandsons.com/