In June, major retail chains approached Russian potato producers with requests for additional supply volumes, as last year’s stock is either completely sold out or exists only as substandard leftovers that fail to meet retail quality requirements. The issue was discussed at a meeting convened by the Ministry of Agriculture, where participants expressed mutual interest in building long-term relationships and increasing the share of domestic products in organized retail during the new season. However, according to Sergei Lupekhin, Chairman of the Potato Union, by early June almost no additional volumes were available anywhere. “All volumes have been allocated to retail chains, processors, and exports. No one stored potatoes for unexpected supplementary deliveries. By July, new early potatoes will appear, and that should resolve the problem,” Lupekhin explained. This comes despite a record harvest of 8.5 million tons last year, with self-sufficiency reaching 97.9%—above the 95% threshold set by the Food Security Doctrine—though early 2026 saw a surge in imports.
The situation highlights persistent structural friction between producers and retailers. While the Association of Omnichannel Retail Trade (AKORT) claims that retail purchases of domestic potatoes have actually grown this year and that the share of imports in assortments has nearly halved (with foreign supplies now coming mainly from Egypt, Belarus, and Azerbaijan), farmers’ associations have painted a different picture. The Association of Peasant Farms (AKKOR) reported that retailers sharply reduced purchases of domestic potatoes and other vegetables in March–April 2026, shifting instead to new harvests from Egypt, Azerbaijan, and China—even though domestic storage facilities held ample and cheaper produce. Potato growers have repeatedly proposed transitioning to annual contracts with clearly defined delivery schedules, prices, and volumes, but currently sales occur either through online tenders or via agro-contracts that lack binding guarantees on quantity and price. “These key parameters must be fixed in agro-contracts with guarantees and obligations for both sides regarding offtake. Without such guarantees, it is economically unjustifiable to store products while incurring rising costs and waiting for someone to need potatoes,” Lupekhin concluded. Last year, the union proposed fixing the selling price for 80% of contracts, but this model was never implemented, and in 2026 the union suggested the Federal Antimonopoly Service introduce minimum purchase prices for potatoes.
