Potato price 2023/24 starts at record high

The European market is currently switching from imported potatoes from Egypt, Israel and Cyprus to local products from Spain, France and Germany, for example. Potatoes from the Mediterranean are still available, but they also have to be paid a lot for. A transition with obstacles between the old and new harvest ensures that a particularly stable market can be expected in the coming period.

Prices up to €110
The picture is similar everywhere in Europe. Every country and cultivation area has its own story, which means that yields are disappointing and demand exceeds supply. Early planting was possible in the northwest of Europe, which means that the early potatoes are not much later than average. It is mainly the connection later this summer that is causing concern. Prices therefore fluctuate between €90 and €110 per 100 kilos. The undertone is particularly firm. Seen in that light, the increase from €60 to €65 that PotatoNL presented on Monday 19 June is not shocking. There remains a demand for old harvest in the European potato market, especially because skin-resistant potatoes and the desired varieties are not available everywhere.

In Germany, prices for early potatoes vary between €98 and €128, according to the report Numbers from the Ministry of Agriculture. There is now little product available from our own country. At the beginning of June, potato growers in Rhineland-Palatinate started harvesting and are being paid ex-grower prices of €82 to €83, AMI writes. The Palatinate growers' organization has announced that it will not deviate from this in the next three weeks.

Table potato area is shrinking
The state of Lower Saxony has a comparable price level. What helps German potato growers is that the area of ​​table potatoes has been shrinking for years. 2023 is no exception. In five years, the area has decreased by 10%. Arable farmers have switched to starch and chip potatoes, the area of ​​which has actually grown by 15%. This also applies to North Rhine-Westphalia, where chip potato cultivation in particular has increased.

The French potato market is virtually empty, with hardly any old potatoes in storage. Early potatoes are entering the market in increasingly larger volumes. Due to the demand and good price, growers have cleared their plots earlier than planned and are ahead of schedule. Despite severe market shortages, French processors have processed a record quantity of 1,28 million tons this season, according to figures from processing organization GIPT. More than three quarters comes from contracted potatoes. With 8% free potatoes (103.000 tons), that share is particularly small. As a result, the French imported much more last season: 226.000 tons versus 169.000 tons in the previous season.

Market starts empty
The table potato market in France has had a good season. It is mainly Spain that has purchased a lot of product. A quarter more than in the previous season. Belgium, Germany and the Netherlands also bought more French potatoes. Consignments of table potatoes have also gone to the processing industry. It ensures that the market starts a new season empty. It is precisely the lack of stock that ensures that the new season starts with a steady undertone, even now that the volume supplied is increasing. In addition to the coastal areas, clearing is now also underway in the south of France.

Growers' organization UNPT fears the current growing conditions. They have been quite good for the early potatoes. It is mainly the main crop that is experiencing problems. A late planting time in Northern France, followed by extreme drought now, is leaving its mark. Scattered showers fell across the country last weekend, but not enough to improve the situation.

Dutch auction starts later
Potato auction Alvantho starts today, Tuesday June 20, with its first auction of the season. That is two to three weeks later than usual. Record prices for the first Premières, Doré, Frieslander, Eigenheimer and Bildtstar are probably in the offing. Planting started at Tholen at the end of February under nice conditions, but the crops subsequently suffered considerably from the growing conditions. Due to the bad weather, many early growers have chosen to use less or no plastic, resulting in later crops than usual.

Spanish harvest poor, but not disastrous
About Spanish potato season Much has already been said and written. Despite an extreme year, the early harvest will reach a similar yield level as last year, according to the Spanish Ministry of Agriculture. The hectare yields are even slightly higher. On the one hand that is surprising, but on the other hand it is not. Spain had its worst potato harvest ever last year. A result that is the same or slightly higher is therefore not something to write home about. The area also shrank by several percent.

Depending on the growing area, yields are sometimes between 15% and 20% lower than average. Valencia is the exception, with a considerably better yield. After a difficult start, insiders say revenues are now at a good level.

Despite an increasing potato volume, the Spanish price remains at a record level of €63,50 at the beginning of June. That is several euros higher than was recorded at the end of May. In Murcia, prices are slightly higher at €70 to €75. Neighboring country Portugal also sees a lively demand for its potatoes. Prices are slightly lower at €62 to €70. It is mainly the domestic market that does not want these levels, which is why growers and exporters choose to export more potatoes.

English buyers pay €100
The picture in other European countries shows many similarities. While the Polish potato market would normally come under pressure in the second half of June, this is not the case now. Prices have even gone up. The equivalent of €57 to €67 is paid for early potatoes on the wholesale markets. In England, where the market for old potatoes had already increased considerably, the level of the new harvest is also high. Packers on the open market pay up to almost €100 for Maris Peer and Jazzy, but there is little supply. Some parts of England received rain last week, but that does not end fears of drought damage.

The mood of the special potato season 2022/23 is spilling over into the new season, which has not started without problems. The picture in the various European countries is similar. When the early potatoes have been culled and the market has to switch to mid-early varieties, a gap may arise that will be felt in the market. This especially applies to the switch to the main harvest, where there is a major growth delay. It is clearly visible on the (plant) onion market that the high prices of the old season are reflected in the start of the new one. Such a situation is also very likely for chip potatoes.