On the 6th December, World Potato Markets published a new figure
of the EU-5 ware potato production of 30,5 mio tons. This figure
includes the harvest from the 16,000-17,000 hectares of seed grown
both in the UK and Germany; which could amount to 900,000 tonnes or
more. When these 900,000 tons of seed are subtracted from 30,5 mio
tons, there will still be 29,6 mio tons available from this year's
harvest.
A new production record - caused by extreme high yields per ha. -
is seen in the very large tubers on our production lines. Some
tubers are even too big for processing and the largest water knives
in the processing lines.
This high production figure and the wet harvesting conditions -
that caused some quality problems in different regions - resulted
in an abundant supply in a market that is covered with contracted
potatoes.
During the last weeks, there has hardly been any trade in free buy
potatoes and it seems that the oversupply situation will last
during the first months of 2018. The low April futures quotation of
€4,8 per 100kg expresses the very moderate expectations for an
upward price development of the market.
On the other hand, low prices can stimulate fresh exports. The
demand from the expanded EU-5 processing industry has increased
tremendously over the last few years and many potatoes with minor
quality defects are rejected and sold into the starch or feed
market.
The average lower-dry matter content of this year's crop has
resulted in a lower yield in processing and an increased demand in
volume. This year once again proves that consecutive 'potato
seasons' can show totally different
dynamics.
Positive news comes from the new automated potato quality
inspection line in Dronten. This year, all farmers with contracts
have filled 200kg wooden boxes with good representative samples of
the potatoes that they harvested and have put these into their
storages. The quality that is determined from the samples turns out
to be reliable and corresponds with the results in processing. To
get a better idea of the new sample quality inspection line, watch
this video.
The fully automated sampling line enables Aviko to get a good
overview of the quality in the farmers' storages for the processing
season 2017-2018. This is a great step forward to make the optimal
match between the available qualities and the various
specifications of the broad portfolio of products that Aviko
produces.
Jan Willem Peters
Aviko Potato