Difficulties expected with the sale of the new harvest

The coronavirus keeps us busy worldwide. People work from home, keep their distance and are more concerned with their own hygiene than ever. Some sectors are experiencing difficulties as a result of the measures. Fewer fries will be eaten after the catering industry has closed. As a result, the chip market has collapsed and the current stock is not used up. Is this stock causing difficulties or do growers have another solution?

It is important to know what happens to the stock that is currently available. Growers of the Boerenbusiness Crop tours usually have agreements with buyers through contracts. These buyers are obliged to purchase the potatoes from the grower and pay. Due to the corona virus, they cannot get rid of the chips potatoes. After a survey among the Gewastour growers, we looked for the answer to the question: What can we do with the potatoes? 

Confidence in customer
Most growers have confidence in the contracts and expect to find a solution in collaboration with the buyer. It is currently being examined whether French fries potatoes can serve as animal feed. However, too many potatoes in the ration can cause diseases. In addition, the potatoes will first have to be washed to free them from the ground. As a result, they have a limited shelf life.

Another solution could be the digester. The advantage of potatoes is that they have a higher energy yield than manure. In order to be able to enter the fermenter, the potatoes have to be washed and cut. This leads to extra costs, whereby it is not clear who has to pay them. Many participants of the Crop Tour do not like this plan. Most growers think that the farmer is the victim and has to pay for the costs.

No chips - but table potatoes
The participating growers are also looking at what they can do themselves. Many of them think that the remaining stock will have a major impact on the price of chips potatoes for the 2020 harvest. One grower of De Gewastour has understood that buyers and industries are asking growers to plant less. This mainly concerns growers who sell their potatoes on the land. This is currently done on a voluntary basis.

The growers expect that buyers will eventually oblige to plant less this spring. That is why some choose alternatives themselves. For example, renting less land or opting to switch to table potatoes, for example. For example, a grower from De Gewastour switched from the Innovator variety to the Annabel table potato. This grower expects this to be a more reliable market compared to chips potatoes.

Land sales run into difficulties
Industries therefore want to ensure that the potato chip area shrinks. Growers who have no storage options and who sell the potatoes immediately after harvest are expected to face the biggest problems. Because the old harvest can be stored for a long time, these parties are given priority in the obligations in the contracts between grower and buyer. This causes problems for growers who sell off-land. This excess supply can have a negative impact on the price.

All growers of the Crop Tour have storage options. The participants expect to be able to avoid the negative consequences as much as possible. Most respondents expect bad prices until the turn of the year and believe that the market will return to normal equilibrium in 2021. 

Social media
Social media tries to sell surpluses to consumers or other parties. You can quickly get in touch with people in your area via social media in order to sell products. LTO Noord, LLTB and ZLTO try to bring supply and demand together via Facebook. They link farmers to consumers and promote initiatives such as Support Your Locals, EtenOver, Boerschappen, De Streekboer, Rechtstreex and the Korte Keten Coalitie.

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