The onion market in Rajkot and across key Indian production hubs continues to tread water, reflecting a broader malaise in agricultural commodities. Despite a regular inflow—daily arrivals averaging 5,000 sacks (including shipments from Nashik)—and robust domestic sales, price momentum remains lacking. Medium-grade onions fetch $1.44–2.04 per 20 kg ($0.07–0.10/kg), while premium bulbs attain $2.63–4.07 per 20 kg ($0.13–0.20/kg). The sector has been held back by the absence of export opportunities and a widespread ‘recession mindset’ among both traders and buyers.
Farmers continue to bring produce directly to market to avoid spoilage of stored onions, keeping supply healthy—but this consistency has become a double-edged sword for traders who hedged on higher prices. Expectations for a significant rebound are muted: most stakeholders believe even with marginal improvements, gains will barely stretch $0.02–0.03/kg unless export channels revive. Meanwhile, weather patterns have favored early monsoon plantation, suggesting that 2024’s crop will, at minimum, match last season’s output, adding further cushion to local supply. As the new southern Indian crop arrives (August–September), downside risk remains limited—but so does upside potential. In summary: despite steady domestic demand, the onion market lacks the spark for a near-term rally, and the prevailing trend remains one of cautious stability punctuated by surplus supply.
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Onion powder
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Onion
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FOB 2.65 €/kg
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📈 Current Prices & Market Sentiment
| Product | Type | Origin | Location | Price (EUR/kg) | Previous Price | Date | Market Sentiment |
|---|---|---|---|---|---|---|---|
| Onion powder | Grade – B | IN | New Delhi | 1.30 | 1.28 | 2025-07-11 | Stable/Weak |
| Onion powder | White | IN | New Delhi | 1.57 | 1.55 | 2025-07-11 | Stable/Weak |
| Onion | Powder (Organic) | IN | New Delhi | 2.65 | 2.63 | 2025-07-11 | Stable |
| Onion | Fresh | EG | Kairo | 0.79 | 0.78 | 2025-07-11 | Flat |
| Onion | Flakes (Organic) | IN | New Delhi | 5.12 | 5.10 | 2025-07-11 | Stable |
| Onions fried | Crispy fried | PL | Lodz | 3.42 | 3.42 | 2025-07-08 | Flat |
🌍 Supply & Demand Trends
- Rajkot market arrivals steady at ~5,000 sacks/day, mostly domestic, including Nashik.
- Farmers rapidly offloading stock as stored onions spoil; no acute supply crunch anticipated.
- Weak export demand remains a drag on prices. Ongoing trade restrictions and lack of active buying from overseas persist.
- Traders facing inventory losses due to stagnant prices—little speculative buying activity observed.
📊 Fundamental Data & Market Drivers
- New monsoon crop transplantation underway in Gujarat, Madhya Pradesh, Maharashtra, and southern India.
- Seasonal supply expected to strengthen further post-monsoon with southern Indian crop arrivals (Aug–Sept).
- Domestic demand holding up well, but weak consumer sentiment and limited trade optimism persists amid general commodity market slowdown.
- According to local traders, even if prices rebound, upside may be capped at $0.02–0.03/kg barring a revival of exports.
🌦️ Weather & Production Outlook
- Favorable and timely monsoon rains across major onion belts.
- Transplantation rates robust; no reports of weather-induced delays or crop damage.
- Good soil moisture and rainfall support expectations of crop yields matching or exceeding last year.
- Potential for some regional glut if rainfall remains ideal through July–August, adding short-term supply pressure.
🌎 Global Market & Stock Comparisons
- India remains the top global producer; exports below average due to policy controls and weak demand in Southeast Asia and the Middle East.
- Egyptian fresh onions available on international FOB basis at EUR 0.79/kg—competing with Indian supply for export tenders.
- Inventory levels in India reported at moderate-to-high, suppressing any upward momentum.
- Global onion powder and flakes prices stable to firm, with limited premium for organic supply.
📆 Trading Outlook & Recommendations
- Market likely to remain subdued in the near term unless export demand reemerges.
- Domestic buyers can secure forward contracts at current prices; limited upside risk over next two weeks.
- Traders are advised against aggressive long positions given ample arrivals and storage-driven selling pressure.
- Monitor southern crop progression and policy statements for cues on export reopening.
- Short-term spikes may occur on local disruptions, but sustained rallies are unlikely before October.
🔮 3-Day Price Forecast (Major Exchanges & Regions)
| Market | Product | Current Price (USD/kg) | Forecast Range (Next 3 Days) | Market Sentiment |
|---|---|---|---|---|
| Rajkot | Medium Onion | 0.07 – 0.10 | 0.07–0.10 | Stable/Weak |
| Rajkot | High Quality Onion | 0.13 – 0.20 | 0.13–0.20 | Flat |
| India FOB | Onion Powder (Grade B) | 1.30 EUR | 1.29–1.32 | Flat/Stable |
| India FOB | Onion Powder (White) | 1.57 EUR | 1.56–1.58 | Flat/Stable |
| India FOB | Organic Powder | 2.65 EUR | 2.63–2.69 | Steady |
| Egypt FOB | Fresh Onion | 0.79 EUR | 0.78–0.80 | Flat |
