Promotions Key to Selling Imported Onions

Imported sweet onions are worthy of some extra consideration.

Imported onions have become a more important consideration in recent years, not only to maintain availability for core products, but also to give retailers a better chance to sell them as a value-added item year-round.

A quality product and effective marketing have boosted recognition of and demand for sweet onions in the U.S. Companies importing sweet onions from Peru, and more recently Mexico, can keep the supply of sweets going after the U.S. domestic season is over. The importers include established Vidalia growers who bring in sweet onions year-round by tapping growing areas outside of Georgia in the U.S. and internationally in such countries as Peru and Mexico.

Many shoppers favor sweets because of their milder taste. Domestic sweet onions, such as Vidalias, Walla Wallas out of Washington, Texas 1015s and Nevada Sweetie Sweets, can give produce departments new means of promoting the onion category — and that can carry over into the imported season.

Wholesaler Dominic Russo, buying and sales director/logistics coordinator, at Rocky Produce, Detroit, MI, says most of the imported sweet onions currently moving through the operation are from Peru, and customers have responded favorably to the Peruvian sweet onion.

“It’s a flat sweet onion similar to a Vidalia onion,” he says. “It moves well for us.”

PROMOTE ELEVATED TASTE

Logistics Manager Peter Pelosi at A&J Produce Corp, Bronx, NY, says fall is the time of year when the U.S. transitions from Georgia and domestically grown sweet onion varieties to imported. “Sweet onions have their place in the produce aisle and are coveted by chefs for their mild, sweet flavor.”

“Sweet onions have their place in the produce aisle and are coveted by chefs for their mild, sweet flavor.”
— Peter Pelosi, A&J Produce Corp, Bronx, NY

Although they have advantages that can be merchandised and promoted as value-added, sweets, especially imports, don’t necessarily get elevated treatment in stores these days, he adds.

“Maybe a detriment to the item, the variety has become more of a staple and not something people generally get excited to see back on the produce shelf,” says Pelosi. “Is it time for a resurgence of interest in sweet onions?”

At least some retailers seem to think imported sweet onions are worthy of some extra consideration.
Earlier this fall, for example, at its Astor Place store in New York City, Wegmans recently merchandised its private label sweet onions out of Peru in a conspicuous endcap display. Available in a 48-ounce “family pack” bag that touted their mild flavor, sweet onions effectively kicked off the onion display. Online, Wegmans offered a 1.33-pound “family pack” of sweets online, with instructions on storage and suggestion on use, as well as nutritional information.

In another recent example of conspicuous merchandising, Stop and Shop recently promoted sweet onions online at half price, listing the country of origin as the U.S., Mexico and Peru, demonstrating its commitment to stocking and promoting the product category year-round.

Sweets can work well in merchandising, but they aren’t the only game in town when it comes to onion imports. According to the U.S. Department of Agriculture (USDA) Economic Research Service, in 2023, the U.S. imported 690,000 tons of fresh or chilled onions, with 463,000 tons coming from Mexico, 141,000 tons coming from Peru, and 71,000 tons coming from Canada. Those numbers are down somewhat from 2022, when overall fresh or chilled onion imports were 726,000 tons, with Mexico coming in at 426,000 tons, Peru coming in at 182,000 tons, and Canada coming in at 91,000 tons.

MEETING YEAR-ROUND DEMAND

Troy Bland, chief executive of Bland Farms, Glennville, GA, says the company manages the majority of its international growing itself. It has been operating in Peru for 28 years, today cultivating about 1,000 acres in Peru, as well as 800 acres in Mexico. “Our growers, crops and workers are all part of the Bland Farms team, and we oversee the entire process from start to finish.”

This season, he predicts volume will be consistent with last year, and expects to ship some 1,500 containers of onions by the end of January.

“Once the Vidalia sweet onion season wraps up, we seamlessly transition into our Peru program, which runs through February. After that, we move into our Mexico program,” Bland says. “In addition to these, we also source sweet onions domestically from Nevada and California, ensuring we meet demand year-round. Peru’s fresh season extends from August to February, followed by our Mexico and Texas onion programs, which cover March until Vidalia season opens in the spring.”

Bland says the Peruvian sweet onion tastes similar to the Vidalia. “You don’t actually have the same variety of seed that we grow in Peru, as we grow in the States. But, believe it or not, the taste of a Vidalia is almost identical. If you bite into a Peru onion and Vidalia onion, you can hardly tell the difference. They are the two sweetest onions that are produced in the world.”

Bland says in Mexico they raise a few Bodegas and Maxwell varieties, but not the same volume because they’re not a globe onion. “The flatter onions don’t yield as good per acre, so it’s hard to get the farmers to grow them in Mexico because they want the globe top onion to have a lot more yield per acre.”

John Shuman, president and chief executive of Shuman Farms, Reidsville, GA, says the company started shipping its premium sweet onions from Peru to ensure a consistent supply of high-quality product as it transitions from the mid-April to late August Vidalia season.

“We enjoyed a robust Vidalia season this year, setting a strong foundation for a smooth transition to our Peruvian program, maintaining quality and supply chain efficiency,” says Shuman. “Our commitment to quality and consistency carries over from the Vidalia to the Peruvian season, guaranteeing that our customers continue to receive premium sweet onions throughout the year.”

Peru offers unique soils and climate conducive to producing a world-class sweet onion, Shuman says. The company is one of the largest growers and shippers of sweet onions in the product sector, he adds, with all products non-GMO and grown using conventional or organic farming practices.

Shuman Farms began Peru farming operations in 1998, says Shuman. The company developed a vertically integrated program that allows it to ship sweet onions to retailers from September to March. The company’s Peru operation has a full-time staff and infrastructure to support the program there, and recently, the company debuted a state-of-the-art packing house and updated facilities.

At Little Bear Produce, Edinburg, TX, imports come from Peru from September through January, and from Mexico during February and into the beginning of March.

Jeff Brechler, company sales representative, says the company grows its Honey Sweet brand across the year, shifting growing areas as is required. Little Bear has long-term relationships with grower partners that work exclusively with the company in Peru and Mexico. Sweet, reds and whites are the main import varieties Little Bear handles.

INSPIRE PURCHASES

Bland encourages retailers to embrace high-profile displays in the winter, particularly if stores want to make the most out of imported sweets.

“At Bland Farms, we’ve seen success with dynamic, seasonal merchandising programs that go beyond the standard display bins,” says Bland. “These programs allow retailers to engage in cross-promotions that help drive incremental sales. Our premium sweet onion packaging and display bins are designed to catch shoppers’ attention, providing both visual appeal and inspiration to purchase.”

Bland says strategic secondary displays — such as placing premium sweet onions in areas like the meat department or deli — have also proven effective at boosting sales. “We offer a wide variety of merchandising options to meet the needs of different departments, including 40-pound shippers, and consumer packs in sizes ranging from 2-pound to 10-pound bags. As the season continues, our organic premium sweet onions will also be available, giving retailers even more flexibility to meet consumer demand.”

Packaging is a key element in today’s onion business, and, particularly with higher value products, it’s a greater opportunity, Bland says.

“Branding has always been crucial, but it’s becoming even more essential in today’s retail landscape, especially with the growth of delivery and drive-through orders,” he says. “Consumers are shopping more quickly and often with limited in-store engagement, so clear, recognizable packaging helps ensure that Bland Farms stands out, even in virtual carts.

“Maintaining strong brand recognition is something we prioritize,” he adds. “Packaging plays a key role in achieving this, offering consumers the confidence that they are buying a trusted, high-quality product.”

The company offers a range of packaging options, including 40-pound shippers, and consumer packs in 2-, 3-, 5-, 6- and 10-pound bags. “Our organic premium sweet onions are also available, giving retailers additional flexibility to meet consumer preferences,” says Bland.

As shopper demand for premium sweet onions grows, many retailers are doing private label branding, as is the case with Wegmans, to make the product both proprietary and higher profile.

“We’ve seen an increased interest in customized packaging that features a retailer’s own brand, allowing them to strengthen their store identity while still leveraging the quality and trust associated with Bland Farms,” Bland says.

WHEN SHOULD YOU PROMOTE?

When it comes to consumer outreach, Little Bear’s Brechler says, the promotional opportunity tends to follow the holidays.

“With respect to the import season, we’re lucky to have Thanksgiving, Christmas, New Year’s, then you turn the page, and you run into Super Bowl,” he says. “Then, you start to transition into a domestic supply where you start hitting into those typical outdoor cooking holidays, for Father’s Day or Fourth of July or Labor Day. So, we do have holidays dotted throughout the year. Then, in between, there is communication with our customers on additional opportunities to promote.”

Brechler says industry recognition of consumer readiness to try new things has become greater, and even has transmitted down to seed companies, who are working on improving varieties and taking a broader view of what they might research to make fruits and vegetables more enticing. As such, retailers can use promotions to give consumer reasons to use onions more often.

“An onion has not been, nor do I think it will ever be, center plate,” says Brechler. “It will always play a supporting role, but is in a ton of recipes, so now you start going more appearance-wise. Red onions have gone on burgers and in salads for color. Now, the yellows or sweets are starting to push into that. So, you have to kind of elbow your way into the table.”

Shuman says promotions are an important part of any program to sell imported onions, and the company encourages both bulk and bag promotions with its retailer partners.