The price drop for Spunta seed potatoes isn't over yet. This week, the price on the Middenmeer stock exchange will drop another €5,50 per 100 kilos.
At the beginning of the season, prices ranged from €70 to €80 per 100 kilos. However, these prices could not be maintained due to a lack of demand.
The seed potato trade remains quiet. That's why Middenmeer is seeing no trading activity at all this week for Bintje and Agria seed potatoes. But trade to early destinations like Egypt also leaves much to be desired. This is pushing the grower's price for Spunta down to €35 to €37 per 100 kilos.
After an initial series of price cuts, growers hoped the price would hold at €50 per 100 kilos. However, this didn't generate the desired additional demand at that level, forcing growers to lower their prices further. The second resistance level at €40 has now also been broken, which doesn't diminish the question marks over sales.
Cost in dispute
These kinds of prices also jeopardize the cost price for seed potato growers. Consequently, the problems of open-field potato production are also extending to seed potatoes. This was already the case for oversized seed potatoes, which have to compete with the lower prices for export potatoes. Seed potato growers are therefore more reliant on income from seed potato sizes.
However, seed potato prices for French fry varieties are under pressure because orders from French fry companies are not being placed outside of multi-year contracts. Export varieties are also apparently facing significant price drops, as buyers are waiting to see what happens. In a declining market, buyers are afraid of paying too much and therefore wait as long as possible.