New year starts with a volatile veg market

This analysis by Absa AgriBusiness outlines market trends, highlighting the factors shaping each vegetable category's performance.

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December 2024 and early January 2025 showcased varied dynamics across vegetable categories, driven by fluctuations in supply, demand, and external factors like weather conditions.

Cabbage prices experienced significant increases due to reduced volumes, while carrot prices faced pressure from crop damage as a result of heavy rains.

Onion prices showed a steady upward trend, supported by lower supply levels, whereas potato prices remained elevated.

Tomato prices were volatile, with quality concerns and lower supplies influencing market dynamics.

CABBAGES

The average price of cabbages in December was R2 807/t, slightly higher than it was in the same month last year. This was due to lower volumes being supplied at the end of December 2024 compared with 2023.

As the new year commenced, monthly trends showed a 29,1% increase in average prices (see Graph 1) due to a 19,4% decline in average volumes provided. Annual trends for the week ending 10 January showed a 30% and 9,3% increase for average annual prices and volumes supplied, respectively.

Historical price trends show that cabbage volumes are slightly lower in the first two months of the year and will likely recover towards the end of February. This could see average prices increase for the rest of January and into mid-February.