Higher forecast price HZPC, potato growers cautious

HPZC has set the forecast price for the 2021 harvest at €33,10 per 100 kilos, almost 7,5% higher than last year. This recovery has everything to do with the major influence that the corona pandemic had on the seed potato market last year, HZPC explains. In short, the forecast price is the expected price of the average of all varieties and qualities grown in a pool in pot size S to A, excluding VAT, payment of grower's licenses and fees for packaging and storage. In a statement, HZPC lists various other factors that influence the demand for seed potatoes on the market.

Potato growers are cautious about acreage
Although the European market has recovered well from the consequences of the corona crisis, HZPC has noticed that potato growers in various areas are reluctant to order seed potatoes. The increased cultivation costs of potato growers play a role in this, as well as the higher prices for alternative crops such as grains. This offers growers more choice in the construction plan. In Northwest Europe, HZPC sees that growers of potatoes intended for the processing industry in particular are reluctant to increase the acreage, as the trading house describes it. Fewer potatoes are also being planted in Southern Europe, due to lower prices of consumption potatoes, a mediocre harvest last year and drought.

Geopolitics also plays a role in the seed potato market, HZPC emphasizes. For example, hardly any basic seed potatoes go from the Netherlands to the United Kingdom due to post-Brexit import restrictions that came into effect in June 2021. Sales of seed potatoes to Russia have already declined in recent years, but deliveries to that country are becoming very uncertain due to the war with Ukraine. In North Africa, the market has recovered strongly after the major setback of the previous year, while demand from Asia has fallen sharply. According to HZPC, this is due to payment limitations. 

HZPC forecast and payment price