DCA Market Intelligence has launched the DCA EU-4 Potato Index. This weekly index represents the weighted average price of French fries potatoes in the Netherlands, Belgium, Germany and France, the EU-4. These countries form the most important cultivation area of French fries potatoes within the European Union. The DCA EU-4 Potato Index of week 2 comes out at €27,15 per 100 kilos.
"The DCA EU-4 Potato Index is therefore the most important indicator for the French fry potato prices in the EU," says Eric de Lijster, Head of PRA of DCA Market Intelligence. "The four countries form one area from which the potato processors obtain their raw materials. That makes the index a reliable and useful indicator for the dynamics in the European potato market."
The DCA EU-4 Potato Index is the weekly weighted average, based on area, of the average prices in Germany (Reka), France (RNM), Belgium (Viaverda/Fiwap and Belgapom) and the Netherlands (PotatoNL). "Germany and France are the largest European countries in French fry potatoes in terms of area. Their prices therefore weigh more heavily in the calculation of the index than those of the Netherlands and Belgium," De Lijster explains.
Looking ahead with Forward Index
In addition to the DCA EU-4 Potato Index, DCA Market Intelligence also calculates the DCA EU-4 Potato Forward Index. The Forward indices are weekly calculated prices, based on the EU-4 Potato Index, taking into account a storage fee per week until the moment of 'delivery' on the last Friday of the relevant forward month. "With the Forward indices, growers can look ahead to what the potato price will do later in the year, including the costs that come with it," De Lijster explains.
The EU-4 Potato Indices replace the spot price for French fry potatoes that DCA has used up until now. "With the DCA EU-4 Potato Index, we offer a more recognizable and internationally relevant name that meets the needs of growers, processors and traders in the potato sector," says De Lijster. "The name change supports our ambition to map the potato market even more transparently and professionally."
Committed to market transparency
DCA Market Intelligence, De Lijster indicates, remains committed to the further development of market insights and tools that contribute to a stronger foundation for decisions by the various links in the chain.
The specifications of DCA EU-4 Potato Index are here can be found on the DCA Market Intelligence website. The index is also part of a new and exclusive potato platform that DCA Market Intelligence is launching in the course of next month.
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