Onions are getting cheaper again in Ukraine: what’s the reason?
8 November 10:12
This week, Ukrainian farmers are forced to reduce selling prices for onions, according to analysts of the EastFruit project, "Komersant Ukrainian" reports.
According to sellers, the negative price trend is due to several factors. First of all, the demand for onions has dropped significantly. At the same time, the supply of vegetables on the market has increased significantly. Small farms have begun to actively sell produce from unequipped storage facilities and are willing to make concessions, hoping to sell the available volumes before the onset of cold weather.
As of today, Ukrainian producers are ready to ship onions at 5-10 UAH/kg ($0.12-0.24/kg), which is 25% cheaper on average than at the end of last week.
Marketers report a noticeable weakening in demand for these vegetables, while the supply of these products on the market continues to increase. The increase in supply is driven by farmers’ desire to get rid of medium and low quality vegetables as soon as possible. At the same time, the demand for such products remains relatively low, mainly purchased by chains and resellers for current sales, as they are practically unsuitable for long-term storage.
It is worth noting that today onions in Ukraine are already on sale on average 41% cheaper than in the same period last year. According to market participants, purchasing quality vegetables is currently quite difficult, as many producers have put such products in storage and plan to sell them only in winter.
