Price development packed onions

One of the quotations that DCA markets makes is the DCA quotation package price onions. You can read how we do that here: New-set-up-of-dca-listing-package-price-onions

Package prices are the prices at which packers sell their onions to exporters and retail destinations. These have gone through an eventful six months, especially the corona virus has had its impact.

When the corona virus broke out in Europe, many people were uncertain of what was going to happen. The images of consumers buying packages of toilet paper and canned food in the supermarket are now engraved in the collective memory. Apparently onions are also a product that people like to stock during a pandemic. Throughout Europe, there was a large demand for Dutch onions Retail. Because Dutch exporters and packers could not keep up with this demand, onion prices rose by 50% in a short time.

The increase was clearly visible in the DCA listing. In week 11, the average package price of the most common sorting for supermarkets was 18 per 100 kg. Two weeks later the average price was 27.50 per 100 kg.

Consumers' hoarding behavior'was a short-lived response. After the worst panic most European Retailers had good stock of Dutch onions. Because this decreased demand,  prices quickly fell back to a comparable level for that or the pre-corona period. At the end of the season, prices rose again to 32.50. This time the cause was the shortage of onions on the market. Farmers raised their asking prices, forcing processors to also raise their prices. In week 25, the last package prices of the 2019 growing season were published by DCA at  29 per 100 kg. 

Because the 2020 cultivation season started a new season clean, the first published bale prices (week 27) were immediately at a high level of 32.50 . As more supply entered the market and demand still lagged behind, the bale prices fell stabilizing at 20.00 in week 36.

Do you have questions about our quotations, would you like to make use of them? Or would you also like to have a listing in your market? For price reference or to conclude and settle contracts?  just call 06 46 26 58 74 or mail to R.vantRiet@DCA.nl.