It is difficult on the potato market, with sky-high prices and a shortage of good-quality produce. "Imported potatoes are very pricey, and the new crop is extremely problematic. It goes back to the summer of 2022," begins Jurgen Duthoo of Warnez Potatoes in Belgium.
"The entire season's been hard. Summer 2022 was very dry, so the potatoes evolved faster in storage. We thus had to switch to imports as early as May. Israel and Egypt were in the market then, but they, too, had quality issues. We were, therefore, paying a lot for good quality potatoes. It was the same later with Spain and Portugal, where the drought caused lower yields and lack of calibers."
That means, to make any profit, the packer had to pass on costs. "But, it's hard to pass everything on towards retail. The raw material is practically twice as expensive, but explaining that to your customers is tough. Consumers won't pay double for their potatoes either. Prices did rise slightly, but unfortunately, you can't pass everything on," says Jurgen.
Problematic Belgian cultivation season.
So the specialist hopes for some market relief in the coming week, though new crops in Belgium and, say, Germany do not look promising. "The next step would be Germany, but considering their situation, we can already see that those won't be cheaper either. Also, Belgium's growing year has begun, but everyone knows conditions here aren't ideal. Cold and wet spells in March and April meant growers couldn't work in their fields until May."
"The seed potatoes also have quite a few issues, partly due to the aforementioned 2022 summer conditions when they were grubbed. Plus, growers had the seed potatoes ready to plant but couldn't get into the field. Those were thus slowly sprouting, which had to be removed before they could go into the ground. That doesn't do the quality any good," Jurgen explains.
"They were then planted, after which it was dry for a long time, leading to very intensive irrigation to soften the soil. So now, despite some showers, field development is erratic. Some already have nice growth, but others have no tubers at all, or the plants are even partially rotting. It's hard to quantify, but there are undeniably concerns."
What's the specialist view of the coming period? "Rain in July could be very good for the potatoes, but for now, little is forecast," says Duthoo. "A few sporadic showers, but not enough to save the crop. We'll need water, so it seems the 2023 season will get off to a problematic start. We'll, thus, have to look at imports for a while."
"But as mentioned, that's very pricey. The question is when will there be a price relief. There's talk of a two percent potato acreage expansion in Belgium, but when yields are low, that doesn't translate into volumes. It's going to be an exciting few weeks," Jurgen concludes.
For more information:
Jurgen Duthoo
Warnez Potatoes
2L Marialoopsesteenweg
8700, Tielt, Belgium
Tel: +32 (0) 514 00 812
Email: [email protected]
Website: www.warnezpotatoes.be