Tridge summary
The article reports that the cultivation of potatoes in northwestern Europe has seen a minor increase compared to the previous year, with a total of 621,148 hectares, marking a 7.6% growth over five years. However, the Potato Growers' Association (NEPG) in the Netherlands, UK, Germany, Belgium, and France had anticipated a decrease in potato planting due to reduced consumption of fries during the coronavirus lockdown. This situation, coupled with already full cold stores, has led to an oversupply, causing concerns about maintaining the balance between supply and demand for the 2020 harvest. Furthermore, the future market prices for potatoes have dropped significantly from €12.50 to €7.50 per 100 kilos, introducing challenges for growers in terms of pricing and contractual clauses for unexpected circumstances favoring customers.
Disclaimer:The above summary was generated by Tridge's proprietary AI model for informational purposes.
Original content
The acreage of potatoes for consumption in northwestern Europe remained virtually unchanged from last year's. Compared to the 5-year average, the 2020 acreage of 621,148 hectares amounts to growth of 7.6%. The figures come from NEPG, the association of potato growers in the Netherlands, the United Kingdom, Germany, Belgium and France, which is a disappointment for potato growers. NEPG initially still hoped, when the corona lockdown left out-of-home fries consumption worldwide on its hole, for an area shrinkage of 30,000 hectares (-5%) in the EU-5. And that would not be enough shrinkage, given the overcrowded cold stores, for a good balance between supply and demand for the 2020 harvest. So that was in May, when the soil was dry. The potato forward market for May 2021 was then € 12.50 per 100 kilos. In the meantime, it is July and the combination of large stocks, stable acreage and the very good growth conditions do not bode well in terms of potato prices. Yesterday afternoon, the ...
Source: Boerderij
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