EastFruit analysts are frequently asked concerns from the public regarding how to price onions. Many people ask selling the onions right now, or holding them for the winter months or perhaps until in the spring?
We’ll try to address the question since our staff members have studied the market for vegetables and fruits for over 20 years, and have come across similar problems numerous times. This question will be broken in parts, but first, we’ll look at the findings of a survey on the motives of market participants. The results were posted on the Telegram channel. We asked “What are your onions selling strategy for this season?” and received the below responses.
If you believe these results, then most of the onions are kept in storage – specifically 57% to 57 % of participants intend to store onions till spring with hopes of obtaining the best cost. So, a lesser portion will be sold in the near future.
The fact that you should know immediately that the current situation can be quite different in various areas and in the individual countries of the region. This survey was conducted with the viewers on our website, the majority of them are origins from ex- USSR countries that are located in Eastern Europe and Central Asia. Importantly, We will focus on yellow onions in this article. The reason this is so important is to check out the section on the market for onions in the world.
Information about the market for the onions
“Fresh onions” are a food item which has an extremely inelastic amount of consumption. That is, when the prices of onions rise, their consumption doesn’t decrease significantly as there’s no substitute for onions in cooking recipes. In the same way, if prices of onions decrease to nothing, nobody will eat additional onions since this would not be a problem for consumers. Actually, there are not many such items as onions, that’s what makes onion products unique.” Explains Andriy Yarmak who is an economist in the Investment Centre of the Food and Agriculture Organization of the United Nations (FAO).