National Production Decline and Reduced French Imports Drive Historic Price Increases
In Spain, potato prices have soared significantly above the historical average in recent years. This surge is attributed to a sharp decline in national production and a lower influx of potatoes from France. The Spanish Ministry of Agriculture, Fisheries, and Food (MAPA) reported that during the week of August 5-11, potato prices at origin rose by 1.2% compared to the previous week, and by a remarkable 111.6% compared to the average of the last five years.
During the 32nd week of 2023, the price reached €0.58 per kilogram, a favorable figure for the sector. This increase is welcomed by producers, who are facing rising production costs this season. Official statistics reveal that during the same period last year, potato prices were on a downward trend, with an origin price of approximately €0.32 per kilogram. This contrasts with the current upward trajectory of prices since mid-June.
In July, the Agrarian Organization COAG highlighted the price disparity between origin and destination, estimating a 267% difference during this period. While the origin price stood at €0.48 per kilogram, the retail price reached €1.76 per kilogram, a significant gap that reflects the pressures on both producers and consumers.
Short Harvest and High Prices
According to Alberto Duque, head of COAG’s potato sector, “Despite 25% of the production still left to harvest, this has been a particularly short season.” He attributes this to extreme weather conditions and poor seed quality. As a result, Duque expects a reduction of 20-30% in production across most plots compared to a typical season. However, he notes that if prices remain at their current levels, the impact may not be as catastrophic as initially feared.
Duque also pointed out that while prices have decreased in regions like Murcia and Andalusia, consumers have not yet benefited from these reductions. He emphasized that the quality of French potatoes is not comparable to the Spanish product, and expressed hope that the current price thresholds will be maintained for the benefit of local farmers.
