1. Weekly News

Italy

Emilia-Romagna Allocates Aid for 2024 Agricultural Campaign Under De Minimis Regime

The Italian Emilia-Romagna Region has issued three resolutions for allocating aid under the de minimis regime to agricultural businesses growing potatoes, sugar beets, and rice for husking and seed during the 2024 campaign. Aid amounts include up to USD 1309.61 per hectare (ha) for Bologna Protected Designated Origin (PDO) potatoes. Moreover, the Board Resolution n. 1385 of 1 July allocates USD 763,941 for agricultural companies using certified seed tubers for potato cultivation. Of this, USD 491,105 is for Bologna DOP potatoes (Primura variety) and USD 272,836 for other potato varieties.

Netherlands

Netherlands to Introduce Hybrid Potato Varieties in Kenya

Hybrid potato varieties, developed in the Netherlands using non-genetically modified organism (non-GMO) hybrid breeding technology, will soon be introduced throughout Kenya. Sold as true seeds and seedlings, these varieties offer a solution to the challenge of limited access to clean propagation material for Kenyan potato farmers. The seeds are disease-free, easy to store, and more economical, with just 25 grams (g) of seeds needed to plant the same area that would otherwise require 2,500 kilograms (kg) of tubers. One variety includes multiple resistant genes against phytophthora, a significant potato disease. These hybrids were tested in Kenya and other African countries to ensure resilience and reliability. This aims to improve access to quality potato propagation material before the next growing season.

Ukraine

High Temperatures and Drought Impact Ukrainian Melon and Vegetable Harvests

High temperatures and a lack of precipitation adversely affect Ukrainian melons and vegetable harvests, with ongoing issues including turgor loss. Potato and tomato plantations suffer from late blight and Alternaria leaf blight, which affects 3 to 24% of plants.

United States

Wisconsin Crops Maintain Adequate Moisture Levels Despite Dry Week

It was a mostly dry week in Wisconsin, United States (US), but most crops had plenty of moisture. Statewide, topsoil moisture remains at 11% surplus and 80% adequate, while subsoil moisture is 17% surplus and 78% satisfactory. Potato harvesters have 11% of the crop out of the ground, with 90% in good to excellent condition.

2. Weekly Pricing

Weekly Potato Pricing Important Exporters (USD/kg)

Yearly Change in Potato Pricing Important Exporters (W31 2023 to W31 2024)

France

In W31, the wholesale price of French potatoes decreased by 11.22% week-on-week (WoW) to USD 0.87/kg, down from USD 0.98/kg in W30, reversing the previous week’s increase. This is due to a drop in export demand across Europe after recent price hikes, although domestic demand remains solid in France for high-quality potatoes. Early crop planting has been delayed due to very wet soil conditions, though progress has improved in South West France.

Germany

In W31, the wholesale price of German potatoes significantly decreased for the third consecutive week, dropping by 21.70% WoW from USD 1.06/kg in W30 to USD 0.83/kg. The price also fell by 34.13% MoM and 23.02% YoY. This decline is due to wet weather, which has interrupted harvesting in some regions, leading to rot and reduced supply. As a result, farmers receive less money for their potatoes than the previous week. Prices across Germany are developing differently by region. In East Lower Saxony, farm gate prices dropped from USD 71.52/100 kg to USD 63.33/100 kg, while in West Lower Saxony, they fell from USD 70.97/100 kg to USD 61.69/100 kg. Additionally, the North Rhine-Westphalia Chamber of Agriculture reports that prices have already been reduced in early harvest areas.

Pakistan

Pakistan's wholesale potato prices rose 3.70% WoW to USD 0.28/kg in W31, up from USD 0.27/kg in W30. It also rose by 28.68% YoY. This increase is due to rising inflation and the government's difficulties managing it. According to the Federal Bureau of Statistics, the first week of the new fiscal year 2024/25 saw a 1.28% WoW rise in the weekly inflation rate, with the overall annual inflation rate reaching 23.59%. Prices of 29 essential items increased over the past week, while five items remained stable and 17 items decreased in price.

Egypt

In W31, Egypt's wholesale potato prices increased by 5.71% WoW and 15.63% month-on-month (MoM) to USD 0.37/kg. This rise is due to reduced potato seed imports, which fell to around 110 thousand mt. The decline in seed availability, coupled with European monopolistic practices and production issues, has delayed planting, reduced cultivated area, and impacted overall production. Additionally, restricting potato exports could worsen the situation by affecting hard currency revenue, disrupting international trade agreements, and leading to market losses. The cost of cultivating an acre of potatoes is expected to rise to USD 2,465.53 in 2024 due to higher rents and increased costs for irrigation, plowing, and fertilization, potentially leading to further price increases.

3. Actionable Recommendations

Optimize Potato Harvesting Conditions in Wisconsin

The US should continue supporting Wisconsin’s potato harvesters by providing necessary resources for efficient harvesting. This includes monitoring soil moisture levels and addressing any potential issues promptly. By optimizing harvesting conditions, Wisconsin can maximize the quality and quantity of its potato harvest, benefiting local farmers and ensuring a stable supply for domestic markets. The US market will benefit from consistent potato availability and potentially enhanced export opportunities.

Enhance Export Opportunities for French Potatoes

France should develop strategies to improve export opportunities for its potatoes, including exploring new markets and enhancing export logistics. Addressing the drop in export demand and improving market access will help stabilize prices and support the French potato industry. This approach will benefit French farmers by expanding their market reach and ensuring consistent product demand. The EU and key international markets such as the US, Canada, and Middle Eastern countries will benefit from a reliable supply of high-quality French potatoes.

Implement Weather-Resilient Farming Practices in Ukraine

To support sustainable potato production in Ukraine amid ongoing conflict, greenhouse and polytunnel farming should be focused on less-affected regions, where crops can be protected from adverse weather and conflict-related disruptions. Additionally, introducing early-maturing and drought-resistant potato varieties and providing farmers with financial and technical support can help stabilize yields. Rebuilding critical infrastructure in secure areas and promoting local market integration will ensure consistent supply and mitigate the impact of the war on the agricultural sector.

Sources: Brownfield Ag, Eastfruit, Terraevita, Nieuwe Oogst, Potato Business