Quick-frozen onions are popular in the international market because of their storage resistance, wide application and convenience. Many large food factories use them to make sauces.
At present, it is the season for onions on the market in China. At the same time, factories engaged in quick-frozen onions are also processing in a large amounts, preparing for the peak export season from May to October. Rizhao Green Extension Food Co.Ltd is mainly engaged in the export and domestic sales of quick-frozen vegetables.
Mr. Xu Chuangang, the sales manager of the company, spoke to FreshPlaza: "The demand for Chinese quick-frozen onions in the European market has increased significantly this year. Export volume is estimated to increase by 40 to 50 percent."
Quick-frozen diced onions
"Because of the drought last year in Europe and the decrease in crop production, Europe's import demand for quick-frozen vegetables has increased significantly. It is currently purchasing a large number of quick-frozen onions and carrots from China. There are also gaps in the European market in terms of ginger, garlic, and green asparagus. The prices of these vegetables in the international market are quite high and continue to rise, which makes related consumption weak and exports decline. On the other hand, Chinese onions are in their production season. Although the prices are higher than in previous years they are generally stable, and the prices of quick-frozen onions are also stable. Therefore, it is welcomed by the market, and orders from Europe have increased significantly.”
Despite the growth in export orders, Xu said the market does not look promising this year. "Inflationary pressures in foreign markets are gradually increasing, and the overall economic downturn poses challenges to exports. If foreign purchasing power declines, the market may reduce the use of quick-frozen onions or use other substitutes."
Xu added that although the demand for quick-frozen onions is strong at present, the price is still stable because many companies in the industry hold the attitude of "small profits but more sales" in response to the current economic situation. As long as the cost of onions does not rise, the price of quick-frozen onions should not fluctuate too much.
Left: Quick-frozen diced onions; Right: Quick-frozen edamame
In terms of changes in the export market, according to Xu, in previous years, more quick-frozen vegetables were exported to the U.S. market, but this year, orders for exports to the U.S. have dropped significantly. The European market has experienced a substantial increase in demand this year due to the dry weather and crop production reduction. Talking about the competitiveness of Chinese onions, Xu said: "Currently it is the production season of Chinese onions, which is staggered from the production seasons of competitors. Secondly, Chinese onions have advantages in terms of yield, quality, planting area, and planting experience, and the current price is lower.”
Left: Quick-frozen ginger cubes Right: Quick-frozen edamame
Rizhao Green Extension Food Co., Ltd. is mainly engaged in the export and domestic sales of frozen fruits and vegetables. Quick-frozen products include onions, diced onions, garlic, ginger, carrots, and edamame. The export markets include Europe, America, Russia, the Middle East, South America, Canada, Australia, and Southeast Asia. The company has its own factory and cold storage, with an annual production capacity of about 50,000 tons.