Seasonal Harvest and Improved Productivity Drive Price Reductions
As reported by Potatopro, potato prices in Brazil have seen a continued decline, with the trend expected to persist as harvest yields increase. The special Ágata type potato, in particular, has experienced notable price drops across several key markets.
Price Trends Across Major Markets
In São Paulo (SP), the wholesale price for a 25 kg sack of Ágata potatoes averaged BRL 146.75 (USD 29.26) last week, marking a 12.42% decrease compared to the previous week. Similarly, in Rio de Janeiro (RJ), prices fell by 18.14% to BRL 133.61 (USD 27.26). The most significant decrease was observed in Belo Horizonte (MG), where prices dropped by 29%, reaching BRL 144.09 (USD 29.39).
Factors Influencing the Price Drop
The consistent reduction in prices throughout the week can be attributed to the intensification of the winter harvest and improved productivity in various harvesting areas. This trend was anticipated as regions ramp up their harvests, benefiting from favorable conditions that enhance yield.
Future Outlook
Looking ahead, the downward trend in potato prices is expected to continue, at least until August or September, as regions persist in intensifying their harvests. Productivity is projected to keep improving, further contributing to the price reductions. However, it is noteworthy that the current price decline remains moderate and lower than anticipated, as overall productivity is still below historical averages.
Additionally, markets that could potentially offer additional products have accelerated their schedules due to lower productivity, good prices, and the need to maintain quality standards. This proactive approach has also influenced the current price trends.
