Inside: Potato Market

German potatoes to starch industry

18 April 2018 - Niels van der Boom

On January 1, a significant volume of chips potatoes was still in storage in Germany. This is apparent from the complete data for all federal states. Difficult sales did not ensure that this picture changed in the first 4 months of 2018. The German starch industry therefore takes care of the potato surplus.

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On January 1, 2018, the volume of fries potatoes in stock was 4,2 million tons. Market agency AMI calculated this. That level is the same as the peak year of 2014. The stock was mainly large in Lower Saxony, at 2,4 million tons. Three years earlier, this state was good for 2,1 million tons. The difference with the 2016 harvest is 600.000 tons.

600

thousand tons

more potatoes in storage compared to 2016

Equal stock
The level in the other states is virtually the same as in previous years. Bavaria accounts for 600.000 tons and North Rhine-Westphalia for 500.000 tons. All other states amount to 700.000 tons. That is 100.000 tons less than in 2016. In 4 of the remaining areas the stock was larger. The potato supply is smaller in 3 states.

Low sales
The enormous stocks in Lower Saxony have had a price-pressing effect on other growing areas, as a result of which the potato price has remained low throughout Germany. This is not expected to change during the final phase of the storage season. There were no sales opportunities for free potatoes, on the home market or for export.

Starch industry
The only alternative that potato growers in Lower Saxony have is to sell the potatoes to the starch industry. Avebe KPW, a subsidiary of the Avebe cooperative, already processes French fries potatoes at their factory in Lüchow. That happens in the Netherlands too. However, it is not noticeable that this is used much in the German market.

Emsland-Stärke will soon reopen its production location Wietzendorf, to also be able to process fries potatoes. Normally, potato processing stops there in January. It is not the first time that the company has opened for consumption potatoes. This also happened in 2014 to eliminate the surplus.

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