Emsland raises price retroactively

The group will pay an average price of €2016 per tonne for the contract volumes from the starch factory in Emlichheim from the 85 potato harvest, which stood out for its high starch content. For the contract volumes of Emsland Food GmbH, the price is even higher due to the additional quality requirements and longer storage periods.

Dividend in January
Following the decision of the shareholders' meeting in January, the group will also pay out a dividend from the company's results. With this, the company wants to contribute to compensation for the rising costs of potato growers.

All in all, the Emsland Group has succeeded in increasing contract volumes for the new growing year 2017 for the third year in a row, especially in the flakes and granules segment. This enables the starch producer to strengthen its raw material position.

New harvest varies greatly
The growth of the potatoes in the 2017 harvest year shows major differences. In contrast to the growing areas in central and eastern Germany, where the potatoes are in average to good condition, the west was plagued by a long, persistent drought that only came to a temporary end in the past 2 weeks due to the first rainfall.
 

The weather from July to September will be the deciding factor in whether the plants can still catch up on their growth lag. If the total harvest lags behind the average, the market situation will become acute due to the tight European stocks of potato starch and starch derivatives, as well as flakes and granules, and at the same time high demand, Emsland suspects.

Attractive crop for newcomers
The company continues to strive to fully meet customer demand for high-quality products in the future. That is why it remains committed to further expanding its raw material base in the future. According to the Germans, potatoes are a very interesting product compared to other crops and can therefore be an attractive option for newcomers.