After a year of sky-high chicory prices in 2024, the situation is very different this year. "From the beginning of the year, we have been dealing with low price levels, and this is continuing," observes Jurgen Ratelband, key account manager at Tolpoort Vegetables.
© DC Tolpoort bv
"Last year, we faced exceptional circumstances, but even though supply at the Belgian auctions, for example, is not even that much higher than last year, prices are significantly lower. The auction price in Belgium now averages around 50 cents. That was as much as a euro higher last year," Jurgen says. "So the reason for the low prices must mainly lie on the demand side. In addition, French chicory has a bit more competition this year. That will likely continue until 1 May, so we can expect some upward movement in prices after that, but until then, I don't foresee any signs of a structural price recovery. At Tolpoort Vegetables, a large portion of our volume is under contract, which helps compensate for the payout price to our growers."
© Izak Heijboer | FP.com
Red-leaf chicory sales have also been significantly more difficult than last year since the start of the year. "Back then, we had record prices, but that is not the case this year. The tricky part about red-leaf chicory remains that there are still fairly large exports of this product to Israel and the United States. The situation in Israel is well known, and for exports to the US, there is uncertainty around what will happen with import duties. Fortunately, in this case too, we have been able to secure part of the volume in annual contracts, which ensures our growers still receive a reasonable payout price—necessary due to the relatively high cost price of red chicory compared to regular chicory."
© DC Tolpoort bv
Sales for cauliflower, another product in which Tolpoort Vegetables is a market leader in the Dutch market, are also facing challenges. "In Spain, there has been a lot of rain in recent weeks, and many plots are under water, making harvesting very difficult. Our growers in southern Spain are also suffering from these harsh conditions, resulting in lower yields at the moment. Given the volatile supply of French cauliflower, I would have expected prices to be higher, but those, too, are disappointing, hovering around 10 euros per bin. Dutch winter cauliflower is in excellent shape, but it will be a few weeks before it's ready to harvest."
Tolpoort Vegetables is one of the initiators of the VollegrondsGroente Organisatie (VGO), and Jurgen has high hopes for it. "VGO brings together a sector that, until recently, was quite fragmented. Together, we are committed to ensuring that Dutch fresh field vegetables remain sustainable and locally available in the future. Within the VGO, we will focus on important themes such as plant health, soil resilience, water, technology & labour, and the image of Dutch outdoor vegetables. By sharing knowledge and working together, we are stronger and can effectively tackle the challenges in our sector."
For more information:
Jurgen Ratelband
Tolpoort Vegetables
Tolweg 7
1616 AT Hoogkarspel
T. +31 (0)228 565781
verkoop@tolpoort.com
www.tolpoortvegetables.com