Onion prices higher at the start of winter as demand strengthens

This week, Absa AgriBusiness provides an overview of the current market trends, expected price movements, and the factors influencing key vegetable markets during winter.

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As the South African winter settles in, the vegetable market continues to show dynamic trends across crops, reflecting both seasonal factors and broader supply and demand shifts.

CABBAGES

The last week of May saw strong consumer demand, with monthly average prices down by 17,4% (see Graph 1), supported by a 9.9% increase in average monthly volumes supplied. Average monthly prices declined from R4 605/t to R3 801/t.

Year-on-year (y/y), average cabbage prices declined by 1% (see Graph 2), supported by a significant 183,7% increase in average annual volumes supplied.

Cabbage prices are expected to trend upward from June until August, as analysts anticipate stronger consumer demand while volumes supplied remain under pressure.

Prices are likely to remain within the R3 000/t to R4 000/t range before potentially peaking again during mid-winter in July.

CARROTS

Average monthly volumes were up by 22,9% (see Graph 1), supporting a 9.9% decline in average monthly prices.

Average prices declined from R9 292/t at the end of April to R8 372/t at the end of May. Annual average prices were up by 41% (see Graph 2), despite average annual volumes also increasing by 50%.