By Mark Wocial, Certified Global Business Professional, Wocial & Associates LLC
According to the U.N. international trade statistics, imports of fresh onions and shallots by countries in South America were declining in recent years. They reached a peak of 445,000 metric tons (MT) in 2013, and were estimated at 220,000 MT in 2018, valued at $53 million.
Brazil is the largest importer of fresh onions in South America. In 2018, Brazil imported 118,000 MT, or 54 percent of all imports in the region. The second largest importer, Colombia, imported 34,000 MT. Both Brazil and Colombia showed declines compared to their imports earlier in the decade. Last year, Paraguay imported 27,000 MT, followed by Chile (21,000 MT) and Argentina (10,000 MT). These five countries accounted for 95 percent of all imports.
A majority of imports came from the main exporting countries in South America. The Netherlands was the only major supplier from outside the region. In the past five years, the Netherlands exported on average 64,000 MT annually. Over 80 percent of Dutch onions were destined for Brazil, with the remaining quantities mostly going to Suriname and Guyana.
Similar to imports, exports of fresh onions from countries in South America exhibited a declining trend in recent years. They reached a peak of 518,000 MT in 2011. Last year, exports were estimated at 344,000 MT, valued at $111 million. Exports to the U.S. amounted to 131,000 MT, or almost 40 percent of all exports.
Peru is the largest exporter of fresh onions in the region, followed by Argentina. In the past five years, Peru exported on average 193,000 MT of onions annually, and the United States accounted for 60 percent of those exports. Almost 30 percent of Peruvian exports were destined for Colombia and Chile. Argentina exported on average 84,000 MT annually, and almost all exports were destined for Brazil (90 percent) and Paraguay (9 percent). The volume of exports from Brazil and Chile was much smaller. Brazil’s exports increased from 1,000 MT in 2014 to 22,000 MT in 2018. Argentina was the primary destination (52 percent), followed by Paraguay (46 percent). Chile exported on average 25,000 MT. Brazil was the largest export market (31 percent), followed by Spain, the United Kingdom and the U.S.
In the past five years, the U.S. exported on average 225 MT annually to South America, primarily to Colombia (56 percent) and Brazil (40 percent). In the same period, U.S. imports of onions from South America averaged 121,000 MT annually. Almost all imports came from Peru (97 percent). Last year, imports from Peru reached 130,000 MT, valued at $52 million.
Author’s note: This information is based on the author’s analysis of the international trade data collected by the United Nations International Trade Statistics Database and the U.S. Census Bureau Foreign Trade Division.