Potato growers in the Netherlands, Belgium, Germany, France and the United Kingdom are due to reduce their acreage next year. That is the urgent call of the umbrella growers’ organisation NEPG.
Potato sales have been hit by corona with global lockdowns, which means much less demand for potato products from the foodservice market. The freezers are full of potatoes from harvest 2019, so there will be little demand for harvest 2020. The demand from the retail market for potato products did increase, but this is not enough to compensate for the lost demand from the hospitality industry and events. And that while there seems to be a good harvest of the country this year: The NEPG foresees a yield of 27.9 million tons of consumer potatoes for this year, which is in line with the five-year average.
The NEPG therefore calls on growers in the five countries to take control and take control of their own future. To grow fewer potatoes seems to be the only solution. “We need to get the market back in balance as soon as possible. And this can only be done by growing fewer potatoes,” says Bert Timmersmans on behalf of the NEPG. “We are in a surplus situation because demand has dropped. We have no influence on that question, but we have no influence on production.”
Rather grow grain than potatoes
The growers’ organisation advises to make clear choices next year, for example by no longer grow potatoes on worse plots, or to grow less intensively. “We should no longer try to grow as many potatoes as possible at all costs. You’d better put a block of grain. Growers might say ‘I don’t deserve anything’. But with potatoes you can also go into the ship. In addition, with an extra year of additional grain cultivation, you also invest in the soil.”
Despite the special growing season, many potatoes are coming from the country this year. After the heat wave in July and August, the crops are more outdated than usual and less productive. Recent trials show an average growth of only 200 to 300 kilos per day, which is extremely low. The NEPG also reports large differences in revenue, not only across but also within the five countries.
Low prices persist
Demand from the processing plants has increased again, but it is not yet at the same level as before the corona crisis. Factories seem to have enough frozen product in stock, and in doing so they also have sufficient contracted potatoes. They hardly need any extra free resources. The NEPG expects that the low prices for free potatoes could continue at least until the end of the year or even longer. The market for fresh table potatoes does a little better.
The NEPG meeting also briefly discussed the de-market ing of the 2020 harvest of potatoes for consumption. This plan was recently launched by the Zeeland arable farmer Kees Hanse. However, the five countries concluded that this is difficult to implement. Moreover, says Timmermans, many potatoes have already been sold on contract. “Then it is only the free growers who have to surrender.”