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Poland will support potato cultivation financially

28 March 2023 - Niels van der Boom - 10 comments

If it is up to the Polish Ministry of Agriculture, arable farmers in the country are embracing potato cultivation. This has not happened in the past fifteen years, with the result that the area has decreased by 67%. Hectare support and a financial boost for the purchase of certified seed potatoes should convince growers.

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Deputy Minister of Agriculture Lech Kołakowski spoke at a growers' meeting of starch potato processor Pepees in Łomża, near Białystok. The company processes 200.000 tons of starch potatoes annually, but can handle much more. That is why it now buys more potatoes on the open market. Pepees director Wojciech Faszczewski did not want to say how many tons this concerns. Given the potato shortage in the country this year, it is assumed that it was not easy to purchase enough potatoes.

Doubling of area
According to Kołakowski, this must change quickly. "The potato area must increase again from 200.000 hectares to 400.000 or even 500.000 hectares," Polish journalists said. "It provides the much-needed diversification on Polish farms. There are enough Polish potato processors who want to process these potatoes."

There are major doubts about how feasible these plans are. Arable farmers are sceptical. It is a strong example of wishful thinking. In 2005, the total area amounted to more than half a million hectares, before halving in the following ten years. The area grew again until 2020, and then plunged to a low of more than 196.000 hectares. This year, potato cultivation will most likely shrink again due to disappointing results.

Professionalization
During the same period, potato cultivation was highly professionalized. Much of the private cultivation has disappeared. At the same time, French fries and potato chips in particular have grown. This is precisely where we have seen a decline in the last two years. Especially with large growers. This also applies to a greater or lesser extent to table and starch potatoes. The former due to declining consumption and stricter retail requirements. With starch potatoes – just like with other industry segments – the return on cultivation plays a role. Dry years have cut into earnings while costs have risen sharply.

Many potato growers do not use certified seed potatoes in Poland. This is especially a problem in consumer potato cultivation. The reason for this is the high costs compared to farm-saved seed (FSS). According to Kołakowski, a subsidy will be available this season to help growers purchase good seed potatoes.

Linked support
Starch potato growers now receive a linked hectare support of €400 for cultivation. According to the Pepees growers, that amount must clearly increase to keep the cultivation attractive. Although the company is paying out its highest payout price ever this year, it cannot give any guarantees for the future. The affiliated growers are dissatisfied and think the result is too low.

Grain, maize and rapeseed have yielded high balances over the past two years with lower risks. Sugar beet cultivation also did well in 2022. That is precisely what Kołakowski would rather not see. The grain market is volatile and the price has fallen considerably compared to a year ago. "Potatoes ensure good rotation and better yields for subsequent crops. Moreover, we need Polish potatoes because we are not self-sufficient now," he concludes.

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