As usual, the price of potato residual flows rises during this period. This is mainly because the previous harvest has been processed and the new harvest has to start. Earlier this summer, the drought, especially in Belgium, pushed the price up. However, the favorable weather of recent weeks is normalizing the market forecast for potato by-products.
In the day trade, more than €20 per ton is paid for potato steam peels. Partly due to the improved growing conditions, no communication has yet been made about the contract prices for the new season. It is now clear that there will be a relatively large supply. As a result, the season starts with a relatively low price for consumption potatoes.
The Belgian listing of Belgapom fell last week to a price of €80 per ton of table potatoes with a height of 35 millimeters. Moreover, there is more acreage in the Netherlands than last year, according to figures from Statistics Netherlands. It is a law that when the price of potatoes is low, the supply of steam peels increases.
Feed potatoes are not showing much yet
It is still too early to get a good picture of the market for feed potatoes. In recent years, the flow of feed potatoes has dried up, partly due to the relatively high prices and the good sales of factory potatoes. Traditionally, potato steam peels form the largest part of the volume of potato waste flows, which amounts to almost 1,5 million tons annually.
In 2015, more than 700.000 tons of potato steam peels were traded in the Netherlands. By far the largest part of this goes to pig farming. The Wet Livestock Consultation Platform will publish the 2016 annual figures at the beginning of September.
Avebe focuses on potato proteins
Potato starch manufacturer Avebe, the most important producer of potato press fibers in the Netherlands intended for dairy farming, is increasingly focusing on potato proteins as a replacement for high-quality soy protein. Potato protein is guaranteed free of genetic modifications, unlike soy.
However, until now the price has not been competitive compared to conventional soy. It is possible that the growing market for GM-free milk and meat will change this picture. For the time being, Avebe continues to focus on sales to producers of piglet feed and young cattle feed.