According to the daily monitoring of the project east fruit, onion prices in Russia this week began to gradually decline.
The demand for onions has dropped significantly, while the supply on the market continues to increase. This is due to the desire of farmers to get rid of substandard onions that have suffered from rains in the first half of autumn. But the demand for such products remains relatively low. It is purchased by chains and resellers for current sales; it is practically unsuitable for long-term storage.
To date, farmers are ready to ship onions at 10-18 rubles / kg ($ 0,13-0,24 / kg), which is on average 13% cheaper than at the end of the last working week.
Most of the producers, in connection with the decrease in the activity of buyers, suspended the sale of high-quality onions, thereby trying to provoke an increase in prices.
Russian wholesale companies and retail chains see no reason to increase the price of these products, since many Russian farmers have large stocks of onions that are unsuitable for long-term storage, which they will sell at the present time.
On the market, there is also a sufficient amount of onions produced in the Republic of Kazakhstan.
Nevertheless, even after the price decline, onions in Russia are still on average 12% more expensive than in the same period last year.
But the majority of market players do not exclude a further decline in prices, since the market is currently oversaturated with low-quality onions and producers who do not have their own storage facilities will continue to reduce the price in order to sell the bulk of products before the onset of frost.