There will be many challenges for the 2020-21 campaign
Belgium
Thursday 27 February 2020
For the NEPG (North-Western European Potato Growers) the 2020-21 campaign will be a campaign full of challenges (Photo: agri44.fr).
Over the last few years, the area devoted to consumer potatoes has increased by 6.5% in the 5 main potato-producing countries (EU-04 + Great Britain). If such an increase occurs again this year, combined with an average yield, the balance between supply and demand could put pressure on prices for producers.
Brexit could affect the flow (between mainland and Britain) of potatoes and potato products in the coming season, which is one of the challenges ahead for the supply chain of potatoes. For the moment, the market is in balance, despite a slightly larger harvest. Overall, the quality in storage is good. The NEPG wonders what the quantity and quality of stocks will be in late spring. In some countries, quality in conservation is a challenge.
The next campaign will be a year full of challenges. For next season, contracts have been signed by producers with the processing industry. In these contracts, ex-field prices on the continent have remained the same or are slightly lower than last season. For long-term storage, prices increase almost everywhere. The question is how the new restrictions on plant protection products will affect the cost price for producers with higher storage costs. Other new restrictions such as banning the use of diquat (herbicide) will also affect costs. As the CIPC (anti-germination) is no longer authorized for the next season, the year will be very difficult, technically and financially, for the producers who store their potatoes longer.
The risk of quantity and / or quality loss of potatoes is particularly high. Although the demand, mainly coming from the processing industry on the continent is increasing, the NEPG indicates that the crop has developed more and that, under conditions of average growth and harvest, there could be an oversupply of raw material, especially for field potatoes and the short storage period.
source : nepg info