The grower's price for Spunta seed potatoes is falling this week at the regional trade fair in Middenmeer. Growers hope this level can be maintained once the bulk of these seed potatoes are sold.
The seed potato trade in Spunta began in September with prices of €70 per 100 kilos. In one case, prices even reached €80 per 100 kilos. By the end of September, this price level proved unattainable, and under pressure from low demand, prices dropped to €65 per 100 kilos.
Seed potato growers harvested very early this year and were eager to get their business done on time. However, there's not enough demand to fulfill this desire. After exporting to the earliest destinations, such as Bangladesh and Pakistan, they're now waiting for demand from larger markets like Egypt and Algeria.
That demand will come, likely after the variety shows the trading houses are holding early next month. However, the prices buyers are willing to pay are now much lower than at the start of the season. This is despite the fact that, according to the growers, the supply will ultimately not be very large.
Grade reductions and rejections during post-harvest inspections limit the available quantity for export. But without sufficient demand, price pressure persists. The poor market for free-range French fry potatoes is also partly to blame, as it undermines potato growers' confidence. They ultimately want to purchase seed potatoes, but they delay their purchases as long as possible, hoping to find the necessary starting material more cheaply.
Seed potato growers are already starting to feel the pinch with the current lower prices. They need to have a few tons of potatoes to meet the production cost at this price, especially because oversized potatoes also yield much less. Last year, the price for the 55-65 millimeter size was €40 per 100 kilos; now, the price for these potatoes is €15 per 100 kilos.
Seed potato growers fear that the decline in Spunta prices is indicative of developments in other varieties. They hope that trade will recover quickly and that the large volume of seed potatoes will eventually fetch reasonable prices. In France, Spuntas have been trading for €35 to €40 per 100 kilos, and Dutch growers are now hoping to maintain the €40 level.