Harvest comes to a standstill due to drought and rain

Growers had to stop harvesting in anticipation of rain. Some people turned on the rain reel again so that they could continue with the potato harvest. This mainly takes place in the clay areas. Belgium and parts of Germany also suffered from excessively dry conditions. The rain came in the middle of this week, which also caused a number of growers to stop harvesting. Others were able to get started due to the large differences in precipitation.

No surplus
In the meantime, the physical market continues to cable quietly. In the Netherlands, the price remains around €2,50 and €3,50 with little trade in free potatoes. A number of processors take the acquired and free potatoes with them for these prices, but a number of them are also not buyers of the non-contracted potatoes. Yet there is no surplus on the market.

In the sandy areas, people know what to do with 'free' potatoes through alternative sales to the starch industry. Due to the 'normal' yield, there also seems to be sufficient storage space available, because the barns are not overflowing with potatoes. In Belgium the market seems to be feeling stronger. Supply is tight, partly due to harvest conditions that are too dry. Belgian processors appear to have recovered better from the lockdown and also appear to be approaching 100% processing sooner than the Dutch industry. The undertone is firmer in that market with a clearly questioning mood.

Flat line
The futures market has shown a flat line this week. Trading mainly took place at and around €7 with few turnovers. The market is apparently in place and there is little interest from hedgers to sell at this level. However, buyers are also taking it easy due to the high premium on the futures market versus the physical daily market. This means that the futures market appears to be waiting for new impulses or figures to help it choose a further direction.