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Insights into onion market dynamics and transportation challenges before Thanksgiving

Marc Bybee of Eagle Eye Produce in Nyssa, OR, provided insights into the current market conditions as of November 5. Bybee noted that demand is stable, with efforts being made to enhance pricing, which has seen some increase for certain items. Despite this, prices have not reached expected levels considering storage inventories and production costs. With the harvest concluded, there is an anticipation that market participants will adopt a firmer stance on pricing, potentially leading to better returns. Supply tightness varies, with mediums of all colors occasionally hard to come by, and consumer packs gaining popularity ahead of Thanksgiving. The market awaits a clear signal for price adjustments, amidst transportation challenges exacerbated by weather conditions. The recent elections are also seen as a factor in business planning, highlighting the broader economic and social context.

Ken Stewart from Asumendi Produce in Wilder, ID, reported on November 6 that demand has been somewhat slow, attributed to Thanksgiving occurring later this month. However, there is optimism for increased orders as the holiday approaches. The market remains steady across all sizes and colors, with particular interest in red onions and inquiries from Mexico. Stewart also highlighted satisfactory quality for this season's produce. Transportation is transitioning from flatbeds to reefers due to winter weather, affecting shipping costs.

John Vlahandreas of Wada Farms in Salem, OR, commented on the demand and market conditions on November 6. The focus is on Thanksgiving orders, with quality produce being moved out of Idaho, Oregon, and Washington. The market for onions is stable, with a notable performance of red onions and a varied pricing situation for whites. Yellows are breaking even, impacted by increased production and labor costs. Weather challenges have also affected transportation, particularly through Wyoming and Colorado.

Rick Greener with Greener Produce in Ketchum, ID, observed a temporary slowdown in demand, possibly due to the elections. He anticipates a surge in Thanksgiving orders in the coming weeks, shipping from multiple states with good quality produce. The market shows a steady demand for whites and reds, with yellows not faring as well. Transportation issues are anticipated with the shift to reefers.

David DeBerry of Southwest Onion Growers in McAllen, TX, and Chuck Hill of The Onion House in Weslaco, TX, provided updates on the Colorado Western Slope and Corinne, UT, regions, noting steady operations and exceptional quality. The market is stable, with freight costs rising seasonally. Planting in Mexico and South Texas is on schedule for the next season, indicating a continuous supply chain.

Source: Onion Business

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