News Annual figures
Agrico achieves turnover growth of 4 percent
Potato trading company Agrico has again realized a turnover growth of 2019% for the 2020/4 season. This brings the turnover to €332 million. "Despite an extreme situation, we were able to get all potatoes delivered and we were able to pay a fair price for all crops," Agrico reports as an explanation for the growth.
Turnover of €332 million is €12 million higher than in fiscal year 2018/2019† Agrico has thus achieved record turnover for the second season in a row. According to the potato trading company, this is mainly because it has made progress on both 'good growth' and 'quality'. "Both our domestic and foreign subsidiaries have had a good year. We have also introduced 3 new varieties," the company writes.
'Too many seed potatoes'
In addition, the company states that there was more volume at lower prices. The volume of seed potatoes increased by no less than 11%, but the average pool price was €9,36 lower than in 2018: €30,21 (up 28 millimeters). The average kilo yield was also much higher, at an average of 43 tons (+20%). "As a result, the financial yield per hectare is still reasonably close to the previous financial year: €12.803 in 2019 against €13.081 in 2018."
Dutch seed potato exports amounted to 2019 tons in 758.000, compared to 2018 tons in 711.000. Agrico saw its market share in export increase by two percentage points. Nevertheless, Wieger van der Werff, commercial manager at Agrico, reports that there was actually too much seed. "If it hadn't been for the corona virus, we could have sold some of the seed potatoes in reorders. Now, for example, Belgium purchased 2 tons less."
Another difference with 2018 is that about 30% of the oversized potatoes had to be sold on an overcrowded ware potato market. "This while in the 2018 season many of those oversized potatoes could still be sold as seed due to shortages, and as a result yielded a four- or five-fold increase."
Hoarding table potatoes
Agrico had 1.375 hectares of table potatoes and the average price paid for the varieties was €19,23 per 100 kilos. That is lower than in 2018, when the price was €34,21 per 100 kilos. According to the trading company, there are 2 reasons for the weaker price. "Firstly, in Europe there were higher yields (+18%). A second problem was that many potatoes with a bad appearance came out of storage, as a result of prolonged rainfall in the autumn. It made supermarkets want to buy as soon as possible. switching to potatoes from Israel, Cyprus and Malta," said van der Werff. For Agrico, this meant that there was less time to get all table potatoes sold properly.
Yet the coronavirus brought a 'bright spot' in this. The hamster rage in the supermarkets has supported the company in this. "Corona has saved our sales of ware potatoes. The quality of the table potatoes harvested after the rain was so bad that we could never have given them such a good place if there had not been so massive hoarding during corona time," says Van der wharf.
Kimberly Baker
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