The green onion supply in Mexico is generally good and consistent during this time of year, but there have been some labor challenges due to Holy Week in Mexico. Carmen Placensia of Coastline Family Farms says this period before Easter typically sees a decrease in available labor as many employees take time off for Holy Week. Consequently, this shortage of labor has affected the capacity and volume of green onions produced during this time. Additionally, recent rains have further impacted harvest hours and the availability of labor.
Placensia also says that this shortage of labor is not unique to their farm but is an industry-wide issue, as other farms experienced similar challenges during this period. Despite having sufficient onions available, the labor shortage affects the processing and movement of green onions in the market.
Along with production in Mexico, there are some green onions in Canada and the U.S. East Coast as well.
Strong green onion demand
This means of course that demand looks stronger because of the lack of product availability and in turn, pricing is also stronger than this time last year. Once labor is back online, pricing is anticipated to stabilize within the $15-$20 range.
In addition to the labor shortages caused by Holy Week and recent weather conditions, another factor impacting the movement of green onions is the strength of the Mexican Peso relative to the U.S. dollar. Placensia says that the value of the U.S. dollar compared to the Mexican peso has decreased, which means that the buying power on the U.S. side of the border is not as strong as before.
This poses a challenge for farmers like Coastline Family Farms when setting up growing costs, she adds. Fluctuations in currency exchange rates between the U.S. dollar and the Mexican peso can significantly affect the final growing costs. As a result, the difference in currency values between years can have a notable impact on the financial aspects of green onion production.
Photo: Dreamstime
For more information:
Carmen Placensia
Coastline Family Farms
Tel: +1 (831) 755-1430
[email protected]
www.coastlinefamilyfarms.com