Inside Potatoes
Reports about through washing drive up potato prices
The April and June quotations (2019) had a relatively quiet week last week. Due to the expected, and eventually fallen, precipitation there was a wait and see mood in the market.
Would you like to continue reading this article?
Become a subscriber and get instant access
Choose the subscription that suits youThe question, regarding the long absence of rain, was: what would it do to the crops in terms of growth and quality?
Little interest below €30
The April quotation (2018) seems to attract little sales interest below €30 per 100 kilos. The hedgers apparently currently want to sell further (at these not unattractive market prices), which is logical. This is because the current physical market price is not far below level of €30 lies.
Furthermore, growers actually have few free potatoes to sell. The contracts, in combination with a lower hectare yield, mean that less product can be sold freely.
(Text continues below the chart)
A comparison of the potato futures market (April contract).
through washing
However, the biggest concern is right now through. There are many reports of shoots on the tubers, and no variety seems to be spared. A significant induction of flushing can be seen, especially in the Fontane, Agria and Markies varieties. The growers are now faced with the challenge: am I going to spray with maleic hydrazide (MH), am I going to kill the crop prematurely or am I going to let it continue to grow 'normally'?
There are other growing years (such as the 1994 and 2006 harvest years) in which there were also many flushing problems. At that time there was a 'double' harvest, half of the potatoes of which had to be removed via the salt bath. In the 'glass years' the price rose especially after week 39. Before that, there was a large supply of potatoes from the field that turned out to be unsuitable for storage.
(Text continues below the chart)
The precipitation deficit in the Netherlands is again below the 1976 line.
Drought over?
However, the drought is still there not solved. Rain has fallen, but not nearly enough to reduce the precipitation or to solve it. In addition, the weather forecasts for the coming weeks also predict dry weather, which will increase rainfall shortages again.
This was what occurred (in terms of precipitation) in the Netherlands between August 1 and 17.