Dutch onion market accelerates as smaller crop sizes test export demand

Confidence returns after week 29

Activity and confidence have returned to the Dutch onion market after week 29, according to Lindert Moerdijk of MSP Onions. He said growers have welcomed the stronger mood after a late-June call for healthier margins for both producers and processors. Prices are again being shaped by speculation and expectations, but renewed confidence has made sellers more willing to participate in the market.

The recovery does not remove the season’s underlying supply risk. FreshPlaza reported that planted area remains very large. Yields appear slightly below average, but the absolute volume of medium and small onions requiring an export destination is expected to be exceptionally high. That creates a potential imbalance between stronger current sentiment and the quantity that still needs to move through the supply chain.

Moerdijk argued that the sector will eventually need to accept a sustainable price level that keeps exports flowing. A slowdown lasting several weeks could leave more onions available toward the end of the season, when sellers would have less time to find buyers. For growers, packers and exporters, maintaining shipment continuity may therefore be more important than pursuing every short-term price increase.

Share above 60 mm may halve

Size distribution is the main operational challenge. A typical Dutch onion crop has about 60% of its volume above 60 mm. Based on currently available information, MSP Onions believes that share could be only about 30% by the end of this season. In some fields in the south of the Netherlands, only 10% of onions exceed 60 mm.

The difference is commercially significant because many customers usually buy onions in the 60-80 mm range. Those buyers may need to switch to 50-70 mm onions to secure sufficient availability and consistent quality. The change would affect purchasing specifications, grading programs, packaging plans and sales discussions across the chain.

Medium-sized onions can serve these customers if quality remains suitable, Moerdijk said. He advised coordinating product quality closely with the timing of sales. Dutch growers will also need to harvest on time, store onions correctly and minimize the loss of outer skins. These measures will influence how much of the crop remains marketable during storage and whether smaller sizes can meet demanding buyer specifications.

Packers balance throughput and quality

For packers and processors, the crop profile increases the importance of sorting flexibility. Programs designed mainly around 60-80 mm onions may have to accommodate more 50-70 mm product, while exporters will need destinations capable of absorbing unusually large volumes of medium and small onions. Buyers that adjust specifications early may gain more reliable access to supply, while those holding to larger sizes could face tighter availability.

MSP Onions is also changing handling equipment for its MSP Platinum line. The company plans to move fully to KingCube plastic boxes, which are designed for onions, potatoes, carrots and other produce. Moerdijk described the box as light and robust, with the same dimensions as traditional onion boxes. MSP expects the system to reduce interruptions in automation and support its next steps in food safety. The technology change does not solve the size imbalance, but it could improve handling consistency as packers process a more varied crop.