Argentina recently hosted the Mercosur onion seminar, a global gathering of industry leaders aimed at‍ fostering trade⁢ and sharing the latest technical ‍innovations. The 26th annual event, organized by INTA, centered on addressing concerns arising from⁤ a challenging habitat marked by increased imports and rising production costs.

The ⁢seminar, held March 21-22, took place in conjunction with the Provincial Onion Festival of Hilario ascasubi, in the Villarino region. The municipality, along with Viedma, served as one of the two locations for ‍the event, which drew ⁢producers, businesses, ⁤and institutions from countries including Brazil, Peru, Mexico, chile, Germany,⁢ and Denmark.

Daniel Iurman, director of INTA Hilario Ascasubi, stated the objective is to assess how the productive and commercial situation⁤ is ‍and see the opportunities and⁣ threats facing the⁢ sector.

International experts ‍presented advancements in fertilization, storage,⁣ and irrigation technologies. Argentina exports approximately 30% of its onion production, primarily to⁢ Brazil, Paraguay, and Uruguay. However, the sector ‍faces challenges ⁢due to ‍overproduction.

an agronomist stated,today the onion sector is ‍in a complex situation by the ⁣oversupply. The producers were packed with⁤ the good prices⁤ and sowed more than they⁤ should. This oversupply is contributing to low international prices for onions.

The 22,000 hectares cultivated annually in Buenos Aires, Río Negro, Santiago ⁣del Estero, Salta, and Córdoba are generally sufficient to meet⁢ the domestic demand ⁣of approximately 480,000 tons.⁢ Because onion demand is inelastic, meaning consumption remains relatively stable irrespective of price, production levels largely determine the price.

Iurman believes the recent price⁤ drops were predictable, ⁤ as ⁤increased production for export, driven by favorable international prices, coincided with a strong season⁤ in Brazil. He suggested a potential oversight in the sector, noting that export onion planting occurs between ⁤July and September, by which time climatic conditions in other regions are generally known.

In 2024, Argentina imported onions from Brazil and Paraguay, traditionally buyers of Argentine onions. This was partly‍ attributed to⁢ policies aimed at curbing inflation through food imports. Exchange⁤ rate dynamics also played a role, making imported⁣ onions competitive.

It was exported ⁤when there was more and⁢ imported when it was missing. It was a seasonal issue, ⁤Iurman said, emphasizing the importance of improved storage practices, a key topic at the seminar, to mitigate stock ⁤imbalances.

⁣ The local market⁣ is covered by onion imported from Brazil, a‍ country that is⁣ historically ‍supplied from Argentina.

The onion ‍sector is ‍largely composed of ⁣small producers, many of whom ⁤are‍ tenants, making⁢ them particularly vulnerable to market fluctuations. The current⁢ crisis ⁢underscores⁣ the ⁤need for swift solutions.

While the 30,000 tons of onions imported in 2024 were relatively small compared‍ to ArgentinaS ⁢230,000 tons of exports, the imports had a noticeable impact⁣ on the local ⁤market. the arrival of cheaper ⁣onions ‍before the domestic harvest puts downward pressure on prices, affecting producers.

An INTA official stated, The departure to this situation is to give importance to⁣ the ‍forecasts and look for new markets. He emphasized the⁣ need to reduce production costs ⁣and adapt to make money with low prices in the current environment.

INTA is responsible for the genetic betterment of 70% of⁢ the onion varieties used in local⁢ production. Its open pollination approach allows seedbeds to be multiplied each season. This is a key⁤ reason for ⁤the organization of the seminar, in collaboration with the governments of Río Negro and ⁢Buenos Aires provinces.

The opening day featured ‍addresses from Alberto Weretilneck, governor of Río Negro; Marcelo Martín,⁤ Minister⁢ of agriculture of Río Negro; Marcos ‍Manuel⁤ Castro, ‍mayor of Viedma; Javier Rodríguez, Minister of Agrarian Development of Buenos Aires⁣ Province; and INTA authorities.