Argentina: Onion producers in crisis due to dependence on Brazil and lack of public policies
The price of onions fluctuates wildly from year to year, harming both producers and consumers. Growing families are paid only 47 pesos per kilo, which isn’t even enough to cover planting costs.

The same situation occurs time and again. A year of good onion exports to Brazil generates good prices for producers, but also high prices on the shelves of Argentine supermarkets. However, when exports decline, producers go bankrupt or disappear, and onions become worth very little. This fluctuation highlights the need for state intervention, which, together with peasant organizations, can improve the quality of production, diversify export destinations, maintain domestic supply and prices, and protect producers.
In 2024, onions were sold at 1,500 pesos per kilo. Today, they’re selling for 600 pesos in grocery stores. The sector’s problems are not new. In 2021, producers also experienced a critical period of falling vegetable prices due to oversupply.
Exactly the same thing is happening now. The difference is that, over the years, the social, productive, and labor situation has worsened. Many producers went bankrupt, and many others lost the little they had earned. And the work linked to the production of this food remains precarious.
Without government intervention, supply and demand prevail. Price fluctuations are part of an unplanned chain. High prices for people or the loss of producers are an externality of the free market.
A market that depends on exports to Brazil
Twenty percent of national onion production comes from central and northern Argentina: Córdoba, Santiago del Estero, and Salta. Around 15 percent comes from Cuyo (Mendoza and San Juan), and the majority comes from southern Buenos Aires (Villarino district) and the middle and lower Rio Negro Valley, where 65 percent is grown. Data from the former Ministry of Agriculture.
Argentina stands out among Latin American exporters of fresh onions, with the Mercosur countries as its main destination and, to a lesser extent, the European Union. According to official data, Argentina’s exports of fresh or chilled onions during the 2010-2020 period were mainly to Brazil (84%), followed by Paraguay (14%). Of the total onion exports, approximately 85% are produced in southern Buenos Aires and Río Negro. These regions also supply 50% of the domestic market.
Year after year, Brazilians arrive south of Buenos Aires and in the middle and lower valleys of the Rio Negro. They buy onions in the fields, rent or own sorting and packing sheds, where they condition the onions and then transport and sell them in Brazil. The lower-quality onions are destined for the Argentine market. The arrival of these producers is a reality every year, but the volume they purchase to take to Brazil directly responds to the harvest recorded in their country and their supply needs.
Daniel Lurman, director of the INTA Experimental Station in Hilario Ascasubi (Villarino district, southern Buenos Aires), explains: “There is a relationship between spring and the climatic phenomena known as ’Niño/Niña’ and how they impact onion production in southern Brazil. If spring is expected to be a Niña, Brazil will most likely not experience significant rainfall, and its supply will be complicated. If there is a Niño, there may be losses, which generates demand for Argentine onions.”
There are seasons of good production in the various onion-producing regions of Brazil, mainly in the south. This is currently the case, which is why the purchase of Argentine onions has declined. In 2024, however, their harvest volumes were too low, so purchases from that country in Argentina were in large quantities.
Food exports have positive impacts on the local economy: they increase sales volumes, improve the price paid to producers, mobilize the hard work of harvesting and de-tapping (the removal of the leaves and roots of the plant once it’s dry), and boost employment in rural towns. However, they also have negative effects. An example of this is the price of onions on the domestic market, where they reached 2,200 pesos per kilo on the shelf due to the pressure on demand exerted by exports.
This year, the situation is reversed. Brazilians are buying much lower quantities than in previous years. Therefore, there is a lot of supply, which means that onions are paid very poorly in the fields, and are not even harvested. Luis Mamani is a producer from the town of Hilario Ascasubi and a delegate for the Union of Land Workers (UTT). He states: “Onions are worthless today; many don’t even harvest them. We are paid between 35 and 47 pesos per kilo. At that price, we don’t even cover half of our costs.”
After last year’s successful season, many producers added more hectares of onions to their crops. Many seasonal onion workers even decided to plant a few hectares, significantly expanding their production area. Mamani explains: "There are a lot of onions in the fields, many new producers, not only in Villarino, but also in the lower and middle Rio Negro valley. In areas where they used to grow tomatoes, they are now growing onions." The investment is high, especially for small producers who work practically without support, putting in everything they have.
Currently, producers are facing a critical situation, especially small ones. Hundreds are losing, some are losing, others are returning to their home countries, and many are going bankrupt, having to start the next season all over again as seasonal workers, working in harvesting, de-tasseling, and sorting sheds.
During the off-season, winter, the option is to endure or, with luck, work in the fields to carry out the cultural practices required for onion cultivation: soil preparation, irrigation, planting, fertilization, and weed control. José Romay, a producer from Pedro Luro (Villarino district) and a UTT delegate, describes his situation: "Onions are worthless today. We’re crucified. Selling onions today doesn’t even cover 60 percent of our costs. Onions aren’t selling; they don’t want them."
Internal migration: less and less onion
In southern Buenos Aires, based on data obtained by the Colorado River Valley Production Development Corporation (Corfo), there is a marked downward trend in the number of hectares planted with onions. In ten years, the planted area was halved, then remained stable to this day.
From the 2007/2008 to the 2011/2012 seasons, there was a certain stability, hovering between 16,000 and 14,000 hectares planted. Then, there was a progressive decline, with fluctuations. Currently, the figure remains stable: around 8,500 hectares.
Part of the reduction in hectares under production can be explained by the massive migration of producers to the middle and lower valleys of the Río Negro. This shift occurred primarily due to the irrigation water shortage that southern Buenos Aires province had been experiencing, due to the decrease in snowfall in the Andes Mountains, which contributes to the flow of the Colorado River, which flows through the southern region of that province. This process was particularly pronounced between 2018 and 2021.
On the other hand, in Río Negro, the number of hectares typically planted increased from 2,400 to 4,000 hectares in the 2020/2021 season to 8,400. This is also a consequence of migration from southern Buenos Aires. After this peak, the number of hectares decreased again, reaching almost 8,000 in 2024.
The number of hectares under cultivation in recent years has shown a marked decline. In terms of numbers, this is about 2,500 hectares less. The explanations are the lack of water but also marketing problems. Fewer hectares under cultivation mean fewer producers. These farmworkers are returning to precarious jobs, which generate income but no labor rights.
Smaller producers, who rent the land they farm, can cultivate between two and four hectares. The largest, with their own land, do not exceed 50 hectares. Large producers with more than this area are rare.
Planning and participation of State agencies
Better planning of production areas, export volumes, and the diversity of export countries by the State—in conjunction with peasant organizations—would improve the situation without negatively impacting the loss of producers or the domestic market price. Joaquín Parra, a worker in the southern region of Buenos Aires for the Ministry of Agrarian Development, explains: “This area is highly dependent on exports to Brazil. What we can do is establish medium-term contracts with exporters and begin working in other markets, as was done 20 years ago, where the market diversity was much greater.”
This is also a demand from producers and organizations. Mamani summarizes: “We need to know how much we’re going to sell so we can plan our planting and have a minimum level of security. That’s why we always try to sign contracts with exporters. We believe that if the State helps with this, we can move forward.”
While onions represent 50 percent of the region’s gross agricultural product, they are not the only important crop. Parra adds: "We need to generate similar production alternatives for producers, thinking about vegetables that share the same rationale. Several decades ago, potatoes, squash, sweet potatoes, and garlic were cultivated in this area on a significant scale. Then, for various reasons, they declined. But today, work is underway again."
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