W15 Potato Update: India's Potato Price Surge Linked to Erratic Rainfall, Egyptian Potatoes Enter Moroccan Market, Russia Forecasts 2024 Potato Planting Area Decline

Ukraine's Potato Prices Dropped by 13% WoW in W15

Wholesale prices for potatoes in Ukraine have dropped to USD 0.36 per kilogram (kg) to 0.46/kg (UAH 14/kg to 18/kg), a 13% week-over-week (WoW) decrease. Market operators report a high supply of potatoes but decreasing demand. Several buyers are dissatisfied with the quality of the available potatoes. Prices are still three times higher than in the first half of Apr-23, and with the large volumes available, farmers expect prices to decrease further.

Moroccan Market Opens to Egyptian Potatoes

Egyptian potatoes are set to enter the Moroccan market, showcasing the government's efforts to diversify commercial partnerships and bolster the local agricultural sector. This move follows directives from Egyptian political leaders to expand export markets for economic support. The supervisor of the Egyptian Agricultural Quarantine confirmed successful negotiations for the market opening. Moroccan agricultural authorities have approved the import of Egyptian potatoes after stringent procedures, offering Egyptian farmers access to a promising market and validating the quality of Egyptian agricultural products.

Russian Ministry of Agriculture's Potato Planting Projection for 2024

The Ministry of Agriculture in Russia forecasts a slight decrease in the commercial potato planting area in 2024 compared to 2023. A survey of potato growers indicates that while some plan to reduce their planting area, the overall impact is expected to be insignificant across regions. Planting has begun in Crimea and Dagestan, though these areas are minor potato producers. The potential for a hot summer poses a risk to the harvest. Potato imports from Egypt are expected to decrease due to poor European harvests and a substantial domestic reserve from the previous year. Wholesale potato prices have fallen compared to the previous year, with contract holders benefiting from better pricing.

India's Potato Price Surged by Erratic Rainfall

Due to erratic rainfall patterns, including untimely rains in Nov-23 and recent showers in Apr-24, potato prices in India have surged. Retail prices have risen to USD 0.31/kg (INR 26/kg), a 10.18% increase month-on-month (MoM) and a 32% year-over-year (YoY). There has been a notable decrease in production in primary potato-producing states such as Uttar Pradesh and West Bengal, with a 10 to 12% reduction in cold storage loading. Farmers are withholding stocks, expecting more price increases, amid forecasts of a lower overall yield for 2024. The agriculture ministry's initial forecast for 2023/24 indicates a fall in potato production to approximately 58.99 million metric tons (mmt) from 60.14 mmt the previous year, highlighting the impact of adverse weather conditions on crop output.

Kyrgyzstan's Plans to Boost Potato Exports to Uzbekistan

According to the Ministry of Water Resources, Agriculture, and Processing Industry, Kyrgyzstan successfully exported 42.2 thousand tons of potatoes to neighboring countries over the past year, including Russia, Kazakhstan, Uzbekistan, and Turkmenistan. The report also examines price fluctuations in potatoes throughout 2023 compared to the previous year and discusses efforts to increase exports to Uzbekistan and China. Additionally, it addresses and dismisses concerns raised by the Deputy regarding unsold potatoes potentially rotting in storage, reassuring that the situation is under control.