Potato Prices & Commentary

Ex-Farm Potato Prices reported to IFA

Retail demand remains strong this week despite more restrictions being put in place last weekend, it also means more people are in their homes and consumption has increased. The food service sector took a further hit following the announcement.

Early plantings are well underway as ground conditions improve with dry weather. Some growers are also considering beginning main crop plantings, however, ground conditions are still quite wet in parts of the country.

In the U.K. there are reports that retail sales have slowed down this week since the country went into a ‘full lockdown’ last week and supermarkets have put quotas on products per customer. Planting continue in the U.K. with almost perfect conditions in some regions and very wet ground conditions in other parts. Plantings remain slightly behind schedule at present..

Across Europe the impact of the current situation is mirrored in the retail and food service sector.  In Sweden, retail prices have risen to take account of the fact that packers are having to work 24/7. Higher prices have yet to filter down through to growers. Export markets have been disrupted as member states have different arrangements in place at present.

Ex-Farm Potato Prices reported to IFA

With the current situation developing over the past week demand across all sectors has been mixed. Demand from retailers this week has soared and is reportedly as high as the Christmas period when trade normally peaks. The food service industry is experiencing a hit due to deceased footfall and closures. Should the situation escalate this will more than likely be exacerbated. Meanwhile plantings continue this week across the country as conditions have improved slightly. Once again growers are reminded to rethink their growing strategy and plant for their markets.

In Europe there are rumours which suggest that cold storage space for product is becoming tight and that containers are hard to obtain because there is no export of goods from China. The fresh potato market is holding “just about” although export demand remains disappointing with the only interest coming from Eastern Europe.

Plantings have continued this week in the U.K but at a slower rate than anticipated due to heavy showers, however the forecast for next week is encouraging. Retail sales have also increased due to the current situation and the food service sector is experiencing a hit.

Ex-Farm Potato Prices reported to IFA

Trade remains positive and reports from growers indicate that there is increased demand over the past week. Plantings have resumed in parts of the country, but ground conditions are still very difficult. At this point growers are advised to rethink their planting strategy and grow for their market. Although stocks remaining in store are similar to last year’s levels, early plantings and harvest were staggered last year, which complimented the season. Liftings of stock in the ground since last year have also continued, however, quality is a concern.

In contrary, in the U.K. trade appears to have slowed down recently, nevertheless, demand for top quality material remains firm. Plenty of recently lifted supplies are seen on the market. Some planting schedules in the U.K. are now reportedly two weeks behind schedule with sodden ground conditions.

The first early liftings have begun in Majorca recently, the yields of the earliest crops are disappointing due to extensive wind damage.