A late spring and very dry summer leave deep marks on the Austrian potato harvest. It hasn't been this small since 2015. Quality is also a problem. The country therefore needs to import more potatoes to meet the need. What does that mean for prices?
As elsewhere in Europe, seed potatoes were planted late in Austria this spring. What followed was an extremely dry summer. The yield was particularly poor in the largest cultivation area, in the state of Lower Austria. The area has fallen to 20.529 hectares this year. A decline of 15% in three years. The inability or inability to irrigate is an important reason why yields are so disappointing.
16% less harvested
According to new figures from Statistics Austria, the total potato harvest for this year amounts to 577.000 tons. That is 109.000 tons less than was harvested in 2022, or 16% fewer potatoes. The volume of French fries and starch potatoes amounts to more than 290.000 tons compared to 344.000 tons last year (16% less). For table potatoes this is 285.000 tons. 17% less than last year.
The new market season started completely empty, which meant that the first potatoes had to be imported this summer from neighboring Germany, which is the largest supplier of potatoes.
Lack of crop protection
Growers' organization IGE knows another reason why the potato harvest turned out so poorly: diseases and pests. This spring, the damage caused by wireworms was particularly extensive, because crop protection products are no longer permitted. Colorado potato beetles and phytophthora have also wreaked havoc and weed control is challenging due to a lack of resources. According to IGE chairman Anita Kamptner, that is also the reason why more and more growers are giving up.
Agriculture Minister Norbert Totschnig has a completely different opinion. He has the ambition to make at least 30% of all agricultural land in the country organic by 2027. Three years later that should be 35%. This year that area is more than a quarter. This means it has fallen 2% compared to 2022, mainly because 1.450 organic farms have stopped. The press is talking about a 'biomarket crisis'. The sales prices for dairy, vegetables and more are at too low a level and, according to producers, are therefore no longer cost-covering.
Price enviable
A consequence of tightness on the market is visible in the prices. A bit envious perhaps for Dutch potato growers. The price level for table potatoes remains very stable at around €45 per 100 kilos. Landwirtschaftskammer Niederösterreich reports that potato tare up to 20% is no exception. The non-irrigated plots experience a lot of loss, which puts the price in a different perspective.
The harvesting of the potatoes has been completed in almost all growing areas. Now that a lot of product is in the box or in storage, growers can take stock. The yields are disappointing and the quality is worse than previously thought. This makes the net proceeds even lower. It is therefore expected that prices will remain at least stable in the coming months.
In Germany, table potato prices quickly fell below €40 when the harvest started. This offers good export opportunities, especially in Bavaria. The country needs to replenish more than 100.000 tons of potatoes. Both in the table and processing segments. The German state expects to harvest 8% more potatoes than last year, despite the late planting there. A yield of 1,5 million tons is expected by the Bavarian Ministry of Agriculture.
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Export Opportunities
Can the Netherlands benefit from a tight harvest in Austria? If we look at recent history, the chance is not that great. The volume of potatoes exported to the country is minimal. Usually about 50 tons go there per month. The graph only shows a peak in January of this year, when more than 500 tons were suddenly exported. The last time a significant volume was involved was July 2008. At that time, almost 13.000 tons of potatoes were imported from our country.
The export of fries to Austria from Europe is stable. The monthly volume is usually between 3.000 and 4.000 tons, the majority of which comes from Germany. Given the potato production in that country this year, which is average to slightly above average, our eastern neighbors have sufficient product to supply Austria.