1. Weekly News

Europe

Potato Market Sees Seasonal Demand Increase Amid Rising Costs

The Irish potato market is experiencing a gradual increase in demand, a seasonal trend observed at this time of year. According to the Irish Farmers Association (IFA), restaurant sector demand for peeled-quality potatoes rose following a slow Jan-25. Prices remain stable, with supply expected to remain balanced for the rest of the season. However, rising production costs continued concerning Irish growers as they prepared for the upcoming planting season. Meanwhile, in continental Europe, the processing potato sector remains strong, with prices continuing their upward trajectory. This trend follows last year’s steady increase, and growers expect market stability to persist.

In the United Kingdom (UK), wet weather disrupted early planting efforts. The usual seasonal slowdown for chipping varieties has been compounded by concerns over quality and fry color deterioration. Despite these challenges, market values remain unchanged. Overall, the European potato industry experienced seasonal fluctuations, with growers closely monitoring supply levels, price trends, and production costs heading into the new season.

Belgium

Belgian Potato Prices Surge Amid Lower-Than-Expected Harvests

The Belgian potato market is experiencing an unusual situation despite a quieter period in late Jan-25. Sales were strong in the earlier part of the month, but the market typically slows in the second half of Jan-25 before picking up again in Feb-25. However, a key trend is the sharp price increase, particularly for industrial and French fry potatoes. One major factor driving this price surge is the overestimation of harvests in key European potato-producing countries like Belgium, the Netherlands, and Germany. Initially, the industry processed problematic batches quickly, but as these stocks dwindled, it became clear that actual yields were lower than anticipated. As a result, prices have risen significantly. On January 31, price quotations neared USD 311.49 per metric ton (mt), and some buyers are reportedly paying above the Belgian Potato Trade & Processing Industry Association (BELGAPOM) quotations for high-quality free potatoes. Unlike past years, when price increases were gradual, the market is now experiencing sharp jumps of five cents at a time, indicating strong demand and limited supply. This trend is expected to continue in the near term.

Uzbekistan

Uzbekistan’s Potato Prices Soared Due to Supply Shortages and Rising Costs

Potato prices in Uzbekistan surged due to reduced yields from the autumn harvest. According to the Ministry of Agriculture, prices ranged from USD 0.38 per kilogram (kg) at discount fairs to USD 0.77/kg in regular markets, with some reports indicating prices as high as USD 0.92/kg. The supply shortage stems from the 2024 late-season harvest, which produced only 1 million metric tons (mmt), covering just 44% of the estimated 1.7 mmt demand. Rising costs for seed potatoes, fertilizers, fuel, and agrochemicals have aggravated the price increase, with input costs soaring between 175% and 202% since 2020. The value-added tax (VAT) removal and water tax exemptions also added pressure on prices. To stabilize the market, the government has released 9,900 mt from reserves (totaling 245,600 mt) and has imported over 94 thousand mt from Afghanistan, Pakistan, Iran, and Kyrgyzstan.

2. Weekly Pricing

Weekly Potato Pricing Important Exporters (USD/kg)

Yearly Change in Potato Pricing Important Exporters (W5 2024 to W5 2025)

France

France’s potato prices increased by 5.56% week-on-week (WoW) and month-on-month (MoM) to USD 0.38/kg in W5, driven by limited seed supply and adverse weather conditions, including heavy rainfall that caused delays in planting and harvesting. Despite these challenges, 2024/25 supply levels remain slightly higher than last season, helping to mitigate upward price pressure. As a result, prices are still 9.52% lower year-on-year (YoY) compared to the same period in 2023/24.

Netherlands

In the Netherlands, potato prices remained unchanged WoW but surged by 19.23% MoM to USD 0.31/kg in W5, driven by high exports and strong demand for Dutch potatoes. Currently, supply is limited, as many producers are holding potatoes in storage, anticipating higher prices in the coming weeks. Despite the price increase, YoY prices are down by 6.06%, reflecting a substantial rise in supply due to the 2024 harvest, which reached 7.6 mmt, a 16% increase compared to the average of the previous five years. However, demand continues to exceed the available supply on the market, as producers are holding back a portion of their stock.

Germany

Germany’s potato prices remained unchanged WoW but rose 1.61% MoM to USD 0.63/kg in W5, reflecting supply constraints following the near-completion of the 2024 harvest. By late 2024, 95% of the crop had been harvested, aided by favorable dry and cool weather conditions. As supply tightens, Feb-25 has seen a price uptick.

Pakistan

Pakistan’s potato prices fell 5% WoW and 13.64% MoM to USD 0.19/kg in W5, driven by an abundant supply following a record 2024 production of over 8 mmt. The surge in output resulted from expanded cultivation areas and improved farming practices. However, prices may rise in the coming weeks as supply starts diminishing. Production in Punjab, a key potato-producing region, is projected to decline by 20% YoY in 2025, potentially tightening supply and influencing future price trends.

Egypt

Egypt’s potato prices dropped 16.67% WoW, 11.76% MoM, and 50% YoY to USD 0.15/kg in W5, continuing the downward trend observed in recent weeks. The price decline is primarily due to increased supply from the ongoing Nile season harvest, with key producing governorates including Minya, Dakahlia, Beheira, and Menoufia. While seasonal fluctuations impacted prices, demand adjustments could stabilize the market in the coming weeks as supply levels shift.

3. Actionable Recommendations

Improve Storage and Distribution Infrastructure

Given the sharp price increases and supply shortages observed in regions like Belgium and Uzbekistan, improving storage and distribution infrastructure becomes essential to stabilize the potato market. For instance, sharp price increases in Belgium were driven by the overestimation of harvests, leading to the rapid depletion of stocks. Investing in advanced storage systems, such as climate-controlled warehouses, could help preserve potatoes longer, preventing rapid price hikes during lean periods. Moreover, enhancing transportation networks would ensure that potatoes are efficiently moved from surplus areas to regions with higher demand, thus reducing transportation delays that contribute to price volatility.

Adopt Climate-Resilient Farming Practices

The adverse weather conditions experienced in countries like Ireland, the UK, and France, which disrupted planting and harvesting cycles, highlight the need for climate-resilient farming practices. Farmers could invest in weather-resistant potato varieties tolerant to extreme temperatures, heavy rainfall, and droughts. For example, Desiree and Maris Piper's varieties are known for their robustness and higher yields under variable climatic conditions. In addition, improving irrigation systems such as drip irrigation or rainwater harvesting can ensure that crops receive consistent moisture, even during dry spells. Climate-smart farming practices, like mulching and cover cropping, can also help retain soil moisture, prevent erosion, and improve soil health. By providing farmers with access to resources and training on these climate-resilient practices, governments, and agricultural organizations can empower them to better cope with unpredictable weather patterns, ultimately improving yield consistency and reducing the financial strain caused by weather-related crop failures.

Diversify Sourcing and Export Opportunities

Due to record supply, Pakistan should export to countries with higher demand or diversify into processing markets that can absorb the excess supply to ensure stable domestic prices and create new revenue streams for producers. For example, targeting emerging markets in Africa or Southeast Asia, where potato consumption is rising, could offset the domestic surplus and reduce price volatility. Moreover, countries with abundant production should consider developing value-added potato products, such as frozen fries or potato chips, which have strong demand in global markets. By building partnerships with international buyers and exploring new export agreements, the potato industry can create more market stability and ensure long-term profitability while minimizing the impact of production fluctuations on domestic markets.

Sources: Tridge, Fresh Plaza, Potato News Today