A Three-digit Year-on-year Potato Percentage Price Increase in June 2023
Potato processors continue to confront issues with supplies, and the minimal quantity they can acquire comes at a premium cost. On the 27th of June 2023, the Mintec Benchmark Prices for Processing Potatoes EXW Netherlands were assessed at EUR575/mt, showing a 202% year-on-year rise.
“Processing plants are reportedly operating with contracted materials they bought a few weeks ago. Market sources have said that the Dutch processing summer shutdowns are expected to be elongated due to the longer-than-usual gap between the old and new crops, as the bulk of the harvest is anticipated to be delayed,” a recent Mintec press release reveals.
According to VAVI (Dutch Association of Processors) data from May, potato processing utilization amounted to 332,000 metric tonnes, a 6.4% decrease from the same period in 2022.
“The EU Commission’s June Mars Report has readjusted potato crop yields -2% since the May forecast, but there is still a projection of a 4% increase compared to the five-year average. However, market sources view this estimate as overly optimistic and anticipate lower yields due to delayed plantings and the dry weather conditions experienced in various potato-growing regions across the EU,” the report concluded.