Potatoes have long been a staple crop in North Ossetia, playing a crucial role in both the regional economy and food security. However, recent data paints a troubling picture: potato production in the region has plummeted severalfold over the past few years. This was confirmed during a meeting of the North Ossetian parliament by Aslan Cherchesov, Chairman of the Committee on Legislation and Local Government.
According to Cherchesov, the sharp decline could be linked to insufficient state support for potato growers. In contrast, producers involved in planting vineyards and fruit and berry orchards receive 100% cost reimbursement. However, Minister of Agriculture Alan Kusraev offered a different perspective, stating that government support for potato production is fully available — the core issue lies elsewhere.
“The decline is not due to a lack of support. The reality is that farmers no longer want to grow potatoes,” said Kusraev. “Prices are too unstable, and the crop requires significant manual labor. Only one enterprise — Fat-Agro — continues to maintain its potato-growing areas.”
This trend is echoed across the region. From 2019 to 2023, the number of applicants for grants to cultivate potatoes, grains, legumes, oilseeds, and perennial crops fell significantly short of expectations, according to the regional audit chamber.
This situation in North Ossetia mirrors a broader trend in parts of Russia and beyond. Data from the Russian Federal State Statistics Service (Rosstat) indicates that in 2023, total potato production in the country decreased by 4.6% compared to the previous year, with smallholder and private farms showing the sharpest drops. The labor-intensive nature of potato farming, coupled with market volatility and competition from imported processed products, has made it increasingly unattractive.
At the same time, the global potato processing market is booming. According to a 2023 report by Grand View Research, the global processed potato market was valued at USD 37.85 billion and is projected to grow at a CAGR of 5.9% through 2030. This disconnect between declining raw production and growing demand for processed products suggests a potential opportunity — but it will require investment in technology, mechanization, and market access.
North Ossetia’s potato production crisis reflects deep-rooted structural challenges: labor shortages, price instability, and a lack of modernization. While state support may be in place, without economic incentives and technological upgrades, farmers are unlikely to return to potato cultivation. A shift toward mechanized farming and value-added processing could help revive interest in this critical crop and realign local production with global demand trends.