The Dutch potato price on the physical market remains relatively stable. On the PAT list, the transactions for €13, €13,50 and €14 continue to dominate. These transactions are 100% co-delivery kilos.
There is actually no demand on the open market for potatoes for growers who have no connection with a processor. Offering potatoes ex-field for €12 or less creates no demand and therefore no sales.
The Belgian market, where more free potatoes are purchased, there is also a large supply at the moment and the price is therefore lower than in the Netherlands. It appears that Dutch processors currently have no interest in lower market prices. There are a number of reasons for this. Firstly, the chip price for which many agreements are currently being made for next season and secondly, the fear that the potato area will shrink again due to the lack of a cost-covering price. The high grain price acts as a good incentive.
Quality creates a challenge
Much of the development in the market depends on the total harvest in the EU-4. Belgium and France appear to be getting above-average harvests. Processors are currently busy 'technically' solving the quality issue that part of the harvest will have, including due to hollow potatoes. There seems to be a partial solution to this by adjusting cutting lines differently.
The futures market is floating along with the support on the physical market and does not appear to fall below €17,50 for the time being due to the expected demand and export opportunities from Eastern Europe.