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The study analyzed the economics of onion storage of farmers and traders in Kinh Mon district, Hai Duong province, Vietnam. Majority of the farmers stored onion for at least five months (long period) with an average profit of 331.31 thousand VND per quintal. The farmers who stored onion in short period (1-4 months) incurred losses because the storage price margin could not cover the storage cost. Among traders, 69% kept onion in short period (one or two months) and they had lower profit per quintal than those who stored for a longer time (three months). The farmers' decision to store onion in long period was influenced by the quantity of onion produced, the ratio of selling price after storage to price at harvest, storage cost, household income, experience in onion storage, education and age of household head. Factors that affected the storage decision of traders included the quantity of onion procured, ratio of selling price after storage to buying price, storage cost, education, family labor, specialization in onion trading and access to credit. It is recommended that poor quality onion should be sorted out before storage, alternative drying method should be explored.