Potato market continues to be in splits

PCA lowered the quotation on Tuesday, January 9, to €1 to €2 for the Bintjes and €2 to €3 for varieties such as Fontane and Challenger. It remains a weak market for the chip potato varieties. France also reports a market in which there is virtually no demand.

There is some interest in potatoes suitable for peeling at higher prices. The quality for which a premium is paid also plays an important role here. This fact also explains why the Netherlands is increasingly becoming an island, especially when it comes to the listing methodology.

Free transactions have an impact
The number of bulk potato transactions is very limited. This is because the potato flows are fixed. The few free transactions therefore have a significant impact on the quotation. A few Agria loads destined for peeling and/or foreign processing to further destinations (such as Italy) can lift the (listing) market.

In Belgium, France and Germany, these types of transactions are not included. The danger is that growers are made happy with a dead sparrow. After all, the volume of Agria is limited compared to varieties such as Innovator and Fontane, for which an average of €4 per 100 kilos can be produced.

The question is whether there is a buyer for the portion of free potatoes due to the large supply of contract and co-delivery potatoes. Without existing agreements, there is currently hardly any sales.

Further in splits
It causes the market to go further into a split. The top end of the market for certain good quality varieties (e.g. Agria) will be traded in limited volumes, perhaps at double figures later this season. However, the vast majority of potatoes go to the chip factory and are paid for at (comparatively) much lower prices.The development of the potato futures market (April contract).

The quotation of chip potatoes in Goes and Emmeloord in 2014.

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