In W26 in the onion landscape, it was reported that prices have increased in most main supply markets due to the unprecedented global onion shortage, particularly in all of Europe and Central Asia. In Peru, onion prices have significantly increased due to a surge in demand, particularly from Europe. In Indonesia, prices for red onions have started to increase again as they did at the beginning of the year.
Traders at the Agriculture Produce Market Committee (APMC) in Vashi, India, have faced significant losses as heavy rains soaked tons of onions, rendering them unsellable. The continuous rainfall has affected the produce brought to the Indian market. The price for the highest quality of onions ranged from USD 0.15-0.17/kg (INR 12-14/kg), medium-grade and regular onions stood at USD 0.061-0.097 (INR 5-8/kg), and severely damaged onions sold at USD 0.012-0.036/kg (INR 1-3/kg). Furthermore, onion prices in India have risen after a prolonged decline, with concerns of further spikes in the upcoming months. Delayed monsoon onset and a potential decrease in Kharif crop cultivation have already impacted onion supplies, and the situation may worsen by December. Farmers and traders in Maharashtra note that current stocks are sufficient to meet demand for the next three months. However, lower kharif crop cultivation could lead to supply shortages and price increases. Slow kharif sowing and declining onion prices over the past year have prompted farmers to consider shifting to other crops. While benchmark prices in Maharashtra have remained steady, average retail onion prices rose in June. The government holds a stock of 140 thousand tonnes of onion purchased from farmers, and no export bans have been imposed on onions in recent years.With Maharashtra, Madhya Pradesh, Karnataka, and Gujarat as key producers, India is the largest onion producer globally. Rabi onion harvests account for approximately 65% of the country's production and meet consumer demand until the Kharif crop harvest.
Turkey and Uzbekistan have canceled customs duties on certain goods, such as onions and plums, as part of their Preferential Trade Agreement, effective July 1, 2023. Lastly, the price of local winter onions in the Moldovan market had significantly decreased over the past three weeks. The average price has dropped by almost 50%, from around USD 3.95-4.17/kg (RON 18-19/kg) to USD 2.41/kg (RON 11/kg).
