South Texas onion shippers expect stronger prices

Mid-February freezing temperatures in South Texas reduced yields for the onion crop, and that is expected to translate to higher prices this season.

Harvest will be underway by mid- to late March; Texas 1015 sweet onions are available from the Rio Grande Valley from March through June, and from the Uvalde/Winter Garden area from May to July.

In recent years, 60% to 70% of Texas spring onions have been sweet and yellow onion varieties, with the remainder 30% to 40% white and red onion varieties.

Industry leaders said in late February it may take time to determine the precise extent of the damage from freezing temperatures.

Onions fared the cold much better than citrus and leafy greens, said Dante Galeazzi, president and CEO of the Texas International Produce Association.

While it may be mid-March before a more accurate estimate can be made, Galeazzi said early estimates point to damage of 20% to 30%.

Some fields were responding well after the freeze, while others have not responded as well, said Jeff Brechler, sales representative with J&D Produce Inc., Edinburg, Texas.

Texas onions are traditionally harvested the first of March, but this year Brechler said that timing could be delayed until mid-March.

“It is still too early to tell,” he said in late February, noting that field conditions were changing daily.

Don Ed Holmes, owner of The Onion House LLC, Weslaco, Texas, said he expected to start harvest by about March 25.

“We were very late, and the younger the onion, the better it takes a freeze,” Holmes said.

Onion crop damage from the mid-February freeze could range from 25% to 40%, he said. 

Holmes said his onion yields are expected to be about 800 bags per acre, with peak sizing on jumbos. He said onion acreage for The Onion House is off about 20%, with total south Texas onion acreage at less than 4,000 acres.

Onion harvest may be delayed by two to three weeks as a result of the freeze, with losses primarily to what would be early onions, said Tommy Wilkins, director of sales for Grow Farm Texas, Donna.

Wilkins said there are indications of a good market for this year’s Texas onion crop.

“It may still be a little early to discuss yield and sizing,” Wilkins said. “The biggest issue has been extra spraying of fungicide to protect from damage of cold weather.”

Wilkins said acreage for Grow Farms, primarily the sweet yellow and the sweet red onion, is off from 1% to 5% this year.

Last year, onion industry leaders estimated acreage at about 6,000 acres.

Reduced supply is expected to spur Texas onion prices this year, Holmes said.

2020  recap

Shipments of Texas onions in 2020 totaled 6.05 million packages, up from 4.99 million packages in 2019 and also higher than the 5.71 million packaged shipped in 2018.

Last year, the U.S. Department of Agriculture reported that the lower Rio Grande Valley shipped 225,640 40-pound cartons of onions, with heaviest shipments in March and April. Shipments of organic Texas onions in 40-pound cartons totaled 5,684 cartons, or about 2.5% of total volume of Texas onions marketed in 40-pound cartons.

For Texas onions sold in 50-pound sacks, the USDA reported lower Rio Grande Valley shipments in 2020 totaled 5.25 million sacks. Organic Texas onions sold in 50-pound sacks were reported by the USDA at 5,336 cartons, or about 1% of total shipments of Texas onions sold in 50-pound sacks.

Onion shipments from the San Antonio-Winter Garden-Laredo region were reported at 564,610 cartons, according to the USDA, with no organic onion shipments listed.

Average market prices for Texas yellow onions last year were in a fairly narrow range from $10.50-12.88 per carton/sack (sacks and cartons were combined for the average price). In 2019, the average shipping point price per carton for all Texas onions ranged from $12.75-16 per carton/sack, according to the USDA.

Texas yellow jumbo prices last year averaged $12.75-18 per carton/sack, compared with $14-24 per carton/sack in 2019.