
In the past two years, the price of bulb onions has steadily increased from an average of Ksh. 30 per kilo in 2022 to almost Ksh 300 at the end of 2024 due to low market supply.
Initially, the shortage was caused by the 2022/2023 drought. Subsequently, floods resulting from the 2023/2024 rains destroyed onion farmlands in Kenya and Tanzania, exacerbating the market scarcity.
The impact of the high prices was felt in Tanzania, where farmers raised onion farmgate prices to Ksh 150 per kilo. The number of onion farmers in Kenya increased as everyone sought to benefit from the high prices. Consequently, they all harvested simultaneously, leading to a surplus in the Kenyan market.
Read: The best months to plant onions in Kenya and why
This oversupply has resulted in a sharp decline in onion prices, with a kilo now retailing between Ksh 70 and Ksh 100. This has been welcomed by consumers. Farmgate prices have fallen and are now half of the retail price. Consumers should expect further price falls as farmers rush to sell off their high-quality harvest.
Tanzanian farmers are also harvesting onions, and this time the quality and quantity are high. Unlike previous years when Tanzanian onions were only available until November, this year they may last until 2025.
Advice to Onion Farmers:
“Sell off your onions early before prices drop below the break-even point. Also, avoid selling on credit, especially given the low prices. You deserve to receive cash for your produce.”
Brokers are known to often not pay farmers the full amount owed, providing no valid reasons. Therefore, it is advisable to avoid falling into this trap.