Tough growing season drives eye watering onion prices
If you’ve strolled through the produce aisle or visited your local market lately, you might have noticed a spike in onion prices. The usually humble brown onion is currently commanding a higher price tag—some retailers report up to a 200 percent increase—and red onions are following suit with even heftier costs. What’s behind these soaring prices, and how does the broader onion landscape in New Zealand figure into all this? Let’s break it down.
A Difficult Season and Rising Costs
Weather Woes
According to Onions New Zealand chief executive James Kuperus, dry weather during December and January led to a drop in onion yields. Onions thrive best when they get a balance of sun and moisture; too little rain can interfere with bulb development and reduce overall crop size. As a result, there simply aren’t as many onions to go around right now. That tight supply—and the fact that we’re near the end of last season’s harvest—has contributed to the higher prices on store shelves.
Growing Expenses
But weather isn’t the only factor. Other costs such as fertiliser, diesel, and agri-chemicals have all soared. Kuperus points out that fertiliser prices jumped from around NZD $900 per tonne to nearly NZD $2000 per tonne, effectively doubling. Meanwhile, diesel prices climbed from about 80 cents per litre to about $2 per litre over the past three years. Those added costs eventually trickle down through the supply chain.
Stats NZ on Fruit and Vegetable Prices
Recent figures from Stats NZ underscore the bigger picture: fruit and vegetable prices have risen by about 17 percent compared to this time last year. It’s the highest jump in well over a decade, reflecting how wider economic pressures—such as global supply chain disruptions and increased fuel costs—are hitting Kiwi wallets at the checkout counter.
Why Onions in Particular?
Storage & Seasonality
Unlike some other produce items, onions can be stored for quite a long time in the right conditions. New Zealand is generally self-sufficient in onions, thanks to the famous Pukekohe Long Keeper variety that was developed in the early 1900s. Harvested in autumn, these onions can last through much of the year, feeding both the domestic market and export demands. But when the growing season has been less than ideal, that stored supply tightens up more quickly.
As we approach the new season’s harvest, the supply of brown onions is at its most limited point. That’s why the price per kilo—reported to be up by around 72 cents from last year—reflects the current squeeze between dwindling old-season stock and the not-quite-ready new harvest.
Brown vs. Red Onions
Brown onions might be more common, but red onions have their own challenges. Red onions tend not to store as well, meaning Kiwi growers and supermarkets sometimes have to import them if local supply runs short. The growing process is also more finicky—red onions are sensitive to changes in weather and soil conditions. All of that increases the cost. Since red onions can’t ride out the storage window as long as their brown counterparts, they become more expensive whenever local yields drop.
NZGrowers: Meeting the Challenge
At NZGrowers, we know firsthand how tough conditions and rising input costs can impact onion production. Our network of North and South Island farmers uses sustainable techniques like careful crop rotation and soil health management to buffer against extreme weather. Despite challenges like the recent dry spells and higher fertiliser costs, we work tirelessly to keep onions flowing from our paddocks to your plates—both here in New Zealand and around the world.
Balancing Supply and Quality
We rely on eco-friendly methods to help manage variables like yield and storage life. While none of us can control the weather or global market forces, our commitment to high-quality, responsibly grown onions remains a top priority. Thanks to the Pukekohe Long Keeper variety, plus our broader selection of red, brown, and specialty onions, we strive to maintain consistent supplies to meet demand—even when conditions aren’t perfect.
Export Expertise
Although New Zealand was once a net importer of onions, those days are long behind us. We’re proud to export Kiwi-grown onions to various markets worldwide. For instance, if you’re based in Indonesia or another international location, we can help you navigate regulations, shipping logistics, and even offer custom packaging to keep your onions fresh and ready for sale.
Looking Ahead: Will Prices Drop?
The Next Harvest
The good news is that a fresh crop of onions is close to harvest. Early-season onions, which are slightly softer, require hand-picking, but the bulk of the crop can be gathered mechanically once it’s fully mature. As these onions start making their way into stores, many in the industry expect the tightened supply to ease—potentially bringing some relief on prices.
Balancing Supply and Demand
Still, fluctuating fertiliser and diesel prices, along with unpredictable weather, mean some pricing volatility could continue. We do our best to adapt through strategic scheduling, irrigation improvements, and modern storage technology. But like any agricultural commodity, onions are at the mercy of Mother Nature and global economic trends.
Keeping an Eye on Red Onions
Red onions remain a wild card. They’re harder to grow, store, and transport. That means they often command higher prices, especially if imports are needed to cover any gaps in local supply. We do export red onions as well, but in challenging seasons, their cost can reflect the extra care and resources required for quality production.
Tips for Consumers and Buyers
Buy in Season: Look out for fresh, local onions when the new crop arrives. Fresher onions may offer better flavor and greater availability.
Store Them Properly: Keep onions in a cool, dry, and well-ventilated spot—away from potatoes, which can release moisture and speed up spoilage.
Experiment with Varieties: If red onions are too pricey or hard to find, consider using yellow or white onions. You might discover a new favorite flavor profile.
Stretch Your Supply: Caramelizing onions takes time but yields a rich, sweet product that can be used in multiple dishes—from soups to sandwich spreads.
Stay Updated: Keep tabs on local market news or our updates at NZGrowers. We’ll share valuable insights about upcoming harvests and pricing trends.
Final Thoughts
Here at NZGrowers, we’re doing our best to navigate this tough season and the rising costs associated with onion farming. It’s certainly been an eye-opening year, with higher-than-usual prices for both brown and red onions. But with the new harvest just around the corner, there’s reason to be optimistic.
Once those fresh onions start rolling in, we anticipate prices may settle—though, as always, much depends on global factors. In the meantime, if you’re part of a business needing bulk onions or simply a shopper curious about the story behind these teary-eyed staples, know that we’re fully committed to getting quality onions from our fields to your table. Even when the journey is steep, it’s a journey we’re proud to make.