Potato prices in Georgia have dropped dramatically. Despite rising production costs, many Georgian growers have planted large amounts of potatoes in anticipation of rising prices for basic products as a result of Russia’s invasion of Ukraine and, as a direct consequence, the risks to food security in the region.

Food security may be a concern in some parts of the world, but Georgian farmers report that there appears to be no export demand. As a result, prices have dropped, according to EastFruit analysts.

So far, new potato prices have remained relatively high in comparison to previous years. Previously, the overall volume of supply was quite low. This is due to heavy exports to Russia: potato stocks from the previous crop were depleted, and the new crop was still scarce. All of this, of course, results in higher prices.

The average wholesale price of potatoes in Georgia is currently one-third of what it was a month ago. According to a July 24 poll, the average potato price is USD0.34/kg, which is very close to the same week in 2019. In some cases, their prices are lower than they were the previous year.

The spud farmers say that, at the moment, there is little local demand. This week saw no activity from the Russian side. Last season, Russia imported a large number of potatoes, but growers say things are different this season. As a result, producers are in no rush to harvest their potatoes. The supply chain is virtually unchanged, and importers must visit the site to purchase potatoes.