Fall new crop potatoes are getting underway as the industry is coming off a record-high 2023-2024 supply season. "Many of our grower communities are finishing their final lots of storages which line up nicely with the start of the new crop on Russets, Reds, and Yellow potatoes," says Drew Callaghan, executive vice-president of RPE, LLC. "The prior season we saw a "supply exceeds demand" situation on Russets and the outlook for this season is again positive on supplies for the industry with the arrival of new crop potatoes."
A look at the PEI potato crop.
Going into the new crop, the growing regions have seen optimal planting and growing conditions that are on time–or even early to harvest this year. "Wisconsin and Minnesota are shipping now and plan to have strong supplies through September on Reds and Yellows with Russet supplies available well into the Spring of 2025. Colorado and the Red River Valley will be shipping in October and anticipate strong supplies through the end of the storage season," says Callaghan. Meanwhile, Idaho will start shipping its new crop potatoes by the end of August and it too has had a strong growing season for the second year in a row. "We anticipate a minimal reduction in acres, indicating a strong volume of Russet supplies for the industry."
With that strong supply of high-quality new crop potatoes in the next few weeks for both retail and foodservice channels, Callaghan anticipates promotional volume and opportunities to be prevalent as all regions begin shipping in the next few weeks. "With retail pricing reflecting the promotional opportunities available, and consumption subsequently increasing, we are excited as an industry to see potatoes of all varieties featured every week on promotion with supporting in-store displays and recipe features to help the consumer with cooking at home," says Callaghan.
Right: RPE's Drew Callaghan
Increased potato consumption
In the meantime, consumers have been responsive to the volume offered in the 2023-2024 crop year–potato volume consumption is up +4 percent Year to Date in retail over the same time last year. "Inflationary pressures have eased as we are seeing the average retail price per lb. decreasing nearly 8 percent driven by this strong supply of Russet potatoes," says Callaghan.
Yellow varieties in particular continue to show strength in the market with over 5 percent growth in lbs. vs the same time last year, while both Red and White varieties of potatoes continue to see consumption trends challenged in the fresh market.
Harvesting potatoes in Wisconsin.
Where consumers are increasingly interested in potatoes is in the value-added category (which includes microwavable potatoes or smaller varieties, etc.), particularly given shoppers today are time-pressed and looking for both convenience and versatility in their home cooking. "There is also a growing interest in sustainability and traceability, prompting consumers to favor brands that emphasize these aspects in their offerings," says Callaghan. "For growers, the most profitable trends involve these same value-added products as well as potatoes that are suitable for multiple culinary uses, such as baby potatoes that can be roasted, mashed, or used in salads. The focus on quality and sustainable farming practices has also become more pronounced, as these attributes align with consumer demand."
For more information:
Drew Callaghan
RPE, LLC
Tel: +1 (843) 628-1050
[email protected]
https://www.rpespud.com/