Dar sees 52 pc drop in onion prices over two months

DAR ES SALAAM: THE average wholesale price of onions in Dar es Salaam has plummeted by 48% over the past two months.

This dramatic drop in prices at the Temeke Stereo and Ilala Boma markets signals a significant shift in market conditions, likely driven by changes in supply factors.

Daudi Mkude, a wholesale trader at Ilala Boma, attributed the price drop to a bumper harvest in Morogoro and Dodoma regions.

“We are receiving over ten light trucks [Fuso] a day here, which exceeds consumer demand,” Mr Mkude said.

“Two months ago, we received around three trucks a day, with mid-to-high demand as many onions were sold to neighbouring countries.” Mr Mkude observed that the decrease in exports to neighbouring countries has impacted domestic demand and supply.

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A Daily News survey found that the wholesale price of onions has fallen to between 90,000 TZS and 130,000 TZS, down from 110,000 TZS to 420,000 TZS depending on the sack size.

The sacks range from 90 kilogrammes to 150 kilogrammes. Dar es Salaam is also receiving onions from Iringa, Mbeya, Singida and Lindi.

Mr Elkana Mwamakula, a trader at Temeke Stereo, noted that onion supply at his market has surged to ten light trucks a day from five just three months ago, amidst low demand.

The average price for a 90kg sack dropped by 25% to 90,000 TZS from 120,000 TZS two months ago, while a 100kg sack decreased by 63% to 110,000 TZS from 300,000 TZS and a 150kg sack fell by nearly 70% to 130,000 TZS from 420,000 TZS.

Adelina Maro, another trader at Temeke Stereo, expressed frustration over the price fluctuations.

“To survive this season, we are selling at heavy discounts in the evening compared to the morning. We are struggling,” she said.