Onions and shallots market in MENA

Earlier Report Observations

The market for fresh or chilled onions and shallots in the MENA region experienced consistent growth from 2018 to 2021, with consumption increasing from 9.2 million metric tons to over 11 million metric tons. This expansion was underpinned by rising domestic production and was further facilitated by improved distribution channels, highlighted by the September 2021 strategic agreement between KissanPro and Barakat Vegetables & Fruit Co that enhanced access for agricultural products from India to the Middle East.

Following a peak in 2021, market volume contracted by approximately 5% in 2022, before stabilizing at around 10.3 million metric tons in 2023. The market in 2023 saw a significant increase in onion supplies to the UAE, leading to relative price declines for some varieties, which helped maintain consumption levels and contributed to the market's stabilization after the previous year's downturn.

Recent developments in the region point to continued market dynamism. Egypt has strengthened its role as a major global exporter of dried onions, while Morocco recorded a surge in fresh onion exports after lifting a ban to West African countries. Concurrently, rising onion prices in the UAE have spurred national calls for increased support for local agricultural production and marketing.

Production onions and shallots in MENA

In kind, 2017-2020, K t

Top producers of onions and shallots, 2017-2020

World map of production of onions and shallots, 2017-2020

MENA's onion and shallot production has grown for the third year in a row. In 2020, the region produced 9 814 K t, showing a modest 7.1% increase from 2019. From 2017 to 2020, production rose by 17.4%, which translates to an average annual growth rate of 5.5%.

Annual dynamics of production in MENA in kind, 2017-2020, K t

Exports onions and shallots from MENA

Exports in kind, K t

After two years of decline, MENA's onion and shallot exports rebounded. In 2020, export volume reached 781 K t, surging 38.3% compared to the previous year. Between 2017 and 2020, exports grew by 14.4%, with an annualized rate of 4.6%. The lowest point was in 2019 at 565 K t, following the largest drop of 14.4% in 2018.

Annual dynamics of product's exports from MENA in kind, 2017-2020, K t

From 2017 to 2020, Russia, the Netherlands, and the United Kingdom were the top buyers of onions and shallots from MENA, but none dominated the market. Russia accounted for 5.5% of export volume, the Netherlands for 4.8%, and the United Kingdom for 4.0%. Together, they made up 14.3% of total exports, with many smaller partners comprising the rest.

Structure of product's exports in kind by countries, 2017-2020

World map of product's exports from MENA in kind, 2017-2020

Exports in value, M $ US

MENA's onion and shallot export value has increased for three consecutive years. In 2020, exports totaled 411.3 M $ US, up 5.0% from 2019. Over the 2017-2020 period, export value rose by 48.7%, with a compound annual growth rate of 14.1%.

Annual dynamics of product's exports from MENA in value, 2017-2020, M $ US

Between 2017 and 2020, the distribution of export value remained diverse. The Netherlands held 7.2% of the value, Russia 6.7%, and the United Kingdom 5.3%. Combined, these three accounted for just 19.1% of total flows, with no single partner emerging as clearly dominant.

Structure of product's exports in value by countries, 2017-2020

World map of product's exports from MENA in value, 2017-2020

Imports onions and shallots to MENA

Imports in kind, K t

Following two years of decline, MENA's onion and shallot imports increased. In 2020, imports amounted to 1 198 K t, a 27.1% rise from 2019. From 2017 to 2020, imports fell by 7.8%, with an annualized decrease of 2.7%. The lowest volume was in 2019 at 943 K t, when imports dropped by 22.5%.

Annual dynamics of product's imports to MENA in kind, 2017-2020, K t

During 2017-2020, onions and shallots were imported into MENA from a wide range of sources. India supplied 34.3% of the volume, Turkey 7.7%, and Pakistan 4.9%. Together, these three countries accounted for 46.9% of total imports, while numerous smaller suppliers made up the remaining 53.1%.

Structure of product's imports in kind by countries, 2017-2020

World map of product's imports to MENA in kind, 2017-2020

Imports in value, M $ US

In 2020, MENA's onion and shallot import value reached 475.5 M $ US, a strong 13.4% increase from 2019. Over the 2017-2020 period, import value grew by 13%, with a compound annual growth rate of 4.2%. The lowest value was in 2019 at 419.5 M $ US, when imports declined by 9.6%.

Annual dynamics of product's imports to MENA in value, 2017-2020, M $ US

The partner structure for import value from 2017 to 2020 was fragmented. India contributed 30.7% of the value, Turkey 4.7%, and Pakistan 4.4%. Combined, these three accounted for only 39.9% of total flows, with no single country holding a dominant share.

Structure of product's imports in value by countries, 2017-2020

World map of product's imports to MENA in value, 2017-2020