Onion Supply Exceeds Demand

“There are many onion producing areas in China, and the onions can be harvested almost continuously throughout the year. The products currently on the market are mainly Shandong onions. The weather conditions in Shandong’s recent production areas have not been abnormal, and have not affected the onion harvest. “An onion seller from Jinan, Shandong, said in an interview with FRESH PLAZA. “In terms of prices, the China Garlic Price has been falling all the way, from the January market purchase price of about 2 yuan/jin to 0.4 yuan/jin in early May. At present, the price of onions in Shandong is only about 0.5 yuan/jin, “It’s much lower than the same period last year.” Manager Zhang said, “The lower onion prices in the past few months were mainly affected by the public crisis. A large number of products were blocked from export, resulting in oversupply in the market and prices plummeting. In addition, the mass market of Indian onions has also had a certain impact on international onion prices. The double impact of foreign markets has led to a large number of onions that should have been supplied to overseas markets in recent months only being sold domestically. ”
“In response to the lack of momentum in overseas markets, we have temporarily suspended our export plan this season and focused our sales on the domestic market. This year we plan to sell about 300 cabinets domestically. As far as the current situation is concerned, in addition to prices generally falling, the order quantity of the customer and the speed of the market are fairly normal. ”
When talking about expectations of market conditions in the coming weeks, Manager Zhang said, “Overall, the planting area of several onion producing areas nationwide this year was higher than last year. Onions in the Xuzhou area of Jiangsu began to market recently. In early June, Onions in Jinxiang, Shandong and other places will also be on sale, and market supply will increase further by that time. Therefore, I do not expect that onion prices will rebound significantly in the short term and will continue to be at a relatively low level.”