Featured image: Rio Grande Valley, TX, courtesy of Don Ed Holmes with The Onion House, LLC in Weslaco, TX
MARKET
Washington:
Matt Murphy with L&M Cos. in Raleigh, NC, told us on Dec. 9 that everyone is in the traditional “Thanksgiving Hangover” mode this week. “We’ve seen a small drop in demand this week, which is pretty normal for this time of year,” he said. “Buyers are trying to figure out what they are going to need, and they are trying to figure out the freight deal as well. This is putting some pressure on the market, too. Not a lot, but there is some pressure there. We are in pretty good shape though.” He continued, “We are done with Kansas, and Rocky Ford, CO, is wrapped up for the most part. We are just using that facility as a forwarding distribution center to take advantage of some freight costs.” And, Matt said, “Right now, we are ahead of schedule in Washington. We were able to get an early start, so that’s helped. The quality coming out of Washington has been some of the best we’ve seen in years. We have a high percentage rate on the pack-outs, so we are very encouraged moving forward. Looking into 2021, we are optimistic that things will be opening back up once the COVID vaccine gets out there in good numbers, and we should start seeing a good turnaround from what we’ve all experienced this year.”
Idaho-E. Oregon and Washington:
Jason Pearson with Eagle Eye Produce reported from his Nyssa, OR, sales office on Dec. 9 to say, “Demand has been decent this week. Whites are in tight supply, and we are moving reds, but the yellow onion demand exceeds the others right now.” He continued, “Quality continues to be excellent for both areas, Eastern Oregon and Washington.” Jason said the market has slipped this week. “The market has dropped a little over the last couple of days, and we need to get it back up there. It’s important that everyone not panic and start dropping prices. We need to put whatever is happening in the world and politics aside and keep motoring on.” On transportation, Jason said, “You know, there is really no point in going on and on about freight. We just load the trucks as we get them. And we should see trucks loosen up once the Christmas tree hauls are done.”
Idaho-E. Oregon:
Chris Woo with Owyhee Produce in Nyssa, OR, and Parma, ID, told us on Dec. 9, “Retail pull is pretty decent. Weather is cold, clear and dry, ensuring that the onions in storage are resting nicely.” He added that truck freight rates “are borderline extortion.” And, Chris said, “Foodservice demand is hit and miss with the restaurant, bars and sports restrictions.”
Herb Haun with Haun Packing in Weiser, ID, said on Dec. 8, “Demand is steady although down a little on foodservice. It seems to be up for retail, though.” Herb said transportation is “tight,” but he said it seems to be adequate and loads continue to run well ahead of YTD 2019. About 2021, he said he anticipates a March planting, but “this far out, who knows?”
Dan Phillips with Central Produce in Payette, ID, told us on Dec. 9 that demand has slipped a bit this week. “You know, we were pretty busy prior to Thanksgiving, and this week we are moving product but not nearly as much before the holiday,” he said. “This has affected the market, too. It’s just a culmination of factors. We have the highest freight rates we’ve ever had, and we have uncertainty on the part of consumers and buyers. And that’s not just onions. It’s potatoes and apples and a multitude of produce categories. Businesses are hesitant to buy because they don’t know if they are going to get shut down again. So, everyone is watching their inventories closely while they try to get this all figured out.” Dan added that Central is selling yellows and reds. “We’re moving mostly yellows and some reds,” he said. “We are sold out of whites for the season, which accounts for why we are not selling whites,” he laughed. “Quality remains constantly good, so that’s a bright spot.”
Colorado Western Slope/Utah:
Don Ed Holmes with The Onion House in Weslaco, TX, told us on Dec. 9 the market is steady this week. He said, “Movement good with tight trucks, and quality in both places is great.”
David DeBerry with Southwest Onion Growers in Mission, TX, said on Dec. 9 that onions continue to ship from his Colorado growers, although “transportation is hit or miss.” He said, “We have enough onions to pack until the end of the month, and we’re limited only by transportation. Weather is moderate enough three or four days a week that we can use any kind of transportation, but the other days we deal with cold weather. But we seem to have a better handle on transportation that other areas.” Quality, he said, remains very good.
CROP
New Mexico/California
Matt Murphy with L&M Cos. in Raleigh, NC, reported Dec. 9 on the L&M summer onion deal. “Everything is going well to get the onions in the ground in California and New Mexico,” he said. “We already have a good amount going in the ground in New Mexico. The way we’re going with Washington, we expect a smooth transition to our summer onion deals.”
Texas Rio Grande Valley/Mexico:
Don Ed Holmes with The Onion House in Weslaco, TX, reported on crops Dec. 9. “Weather in South Texas and Mexico is following December norms,” he said. “Beautiful crops both places, and Mexico looks like we’ll have a few sweets last week in January.”
David DeBerry with Southwest Onion Growers in Mission, TX, said on Dec. 9 that the Tampico region of Mexico and the Rio Grande Valley of Texas have experienced similar weather patterns, each seeing a cooling period recently. “Things are starting to slow down,” he said. “The way it is now, we could start in Tampico the end of January or first part of February, and in Texas at this rate we could have production in mid-March.”
New Zealand:
From David Kana with New Zealand Onion Co. comes an update from Dec. 7. He said, “After a long dry spell dry spell we have had three really good rains which has set the early long keepers crop up very well, with some crops well into 60-80mm range. At this stage crops look very healthy and racing to the finish line. We will be ready to ship in week eight of 2021– that’s the plan.”
