1. Put the baby onions in hot water for 2 minutes, then plunge them into cold water; trim only a thin slice off the root end so they stay whole, and slip off the skins.
2. Heat the olive oil in a wide frying pan, add the onions in a single layer and brown them lightly for 5 minutes, turning them.
3. Sprinkle with the brown sugar and keep turning until it melts and starts to caramelise.
4. Pour in the balsamic vinegar and water, add the bay leaf and salt, then cover and simmer over low heat for 25-30 minutes, shaking the pan now and then, until the onions are tender (easily pierced with the tip of a knife).
5. Remove the lid and boil the liquid over a higher heat to a thick, glossy glaze, turning the onions so they are coated all over.
6. Remove the bay leaf and serve warm or at room temperature, with roast meat or as an antipasto.
Tip: Scalding makes the skins almost slip off on their own; kept in a jar in a fridge at no more than 4 °C, use them within two days and get better every day.
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