DCA-Markets introduces DCA spot and forward prices onions
LELYSTAD - DCA Markets, part of the DCA Group, will start from November 13,
2019 with the DCA listing Spot price Onions © (DCA-SU). This is a weighted
average value of yellow onions, based on the market quotes of Goes, Middenmeer
and Emmeloord.
The DCA Spot price onions is set every Thursday during the season in which
the underlying quotations are announced. It concerns a from-to (high-low)
price.
On the basis of the calculated spot prices, the forward prices for the
onions (DCA-SUF) are also calculated from 13 November on. For all remaining
months in the season, a price is calculated for the delivery of those onions on
the last Thursday of that month. That means that in addition to the spot price,
a custody fee of 0.175 euros is applied for every week that remains until
delivery in that forward month in question.
"DCA-Markets has been working for years to make markets for
agricultural products transparent," said René van 't Riet of DCA-Markets.
We are now doing this again by calculating a DCA-Spot price for yellow onions,
which is representative of the whole of the Netherlands and therefore
determines Europe.
On the basis of this spot price, the forward prices are determined which in
one overview shows the market for delivery later in the season, the forward
market of onions, say. Parties have a hold on this and can decide to settle
themselves at this independent price. "
Are you curious how we as DCA approach and guide the above? Or would you like to ‘spar’ with us to solve similar challenges within your company or sector? Then call 0320 269 523 or mail to contact@dca-markets.com.