Russia is the 3rd largest potato producer in the world, with a production volume of around 31 million tons in 2018. Despite the large production volume, the price of fresh potatoes is very volatile in the country, especially for the Gala potato variety, states FitoVita, a Russian steamed potato exporter. During the months of April, May, and June, the domestic supply of fresh potatoes is very low. As a result, the price of fresh potatoes is between 20 RUB and 40 RUB per kg (0.31 USD and 0.62 USD per kg) during these months. However, at the start of September, a new supply of potatoes is harvested and enters the market. During September and October, the price of fresh potatoes is between 5 RUB and 6.5 RUB per kg (0.08 USD and 0.10 USD per kg), which is significantly lower than the price range during the spring months.
Due to severe price swings, FitoVita mainly purchases its fresh potato supply during the autumn months. The company’s sales are growing rapidly in HORECA channels due to the company’s high product quality. The company uses Levati steam blanchers to steam its potatoes. The potatoes are steamed at 400 degrees celsius, using steam created by a hydrological generator, which makes the steam free of chemical substances. Furthermore, the company removes any excessive fluids in the steamed potatoes. As a result, compared to steamed potatoes in Kazakhstan and Uzbekistan, the company’s steamed potatoes have around 15% less moisture content, according to FitoVita.
The company mainly sells its steamed potatoes to Kazahkstan, Uzbekistan, and the domestic market. The price of steamed potatoes is around 25% higher in the export markets, and as a result, the company is planning to expand its export networks to other countries such as China, Malaysia, and Egypt.
