French fries on the EEX potato futures market in Leipzig, Germany, rose to 1 euros per 26,20 kg on August 100, according to nieuweoogst.nl. This is how the futures market reacts to the ongoing drought and its impact on potato yields.
Last week, the Belgian research institute PCA reported, based on test harvests, that plantings of mid-early french fries are now dying. Due to heat and drought, subsequent growth slows down even more. For now, the PCA assumes returns that are only slightly below the long-term average.
PotatoNL recorded on Monday a price increase from 15 to 21 euros for 100 kg of french fries for large-scale processing category I. In particular, for the production of fresh french fries, in exceptional cases, up to 28 euros per 100 kg are paid. This mainly applies to potatoes of the old crop. Export potatoes are already from the 2022 harvest, and before that the price will be from 20 to 22 euros per 100 kg.
According to stockbroker De Vries & Westermann, the potato industry is still processing leftover potatoes from the previous crop. The transition to young potatoes is inevitable. Based on growing conditions in the Netherlands and Belgium, acceptable yields are still expected. According to de Vries & Westermann, the weeks ahead are critical to actual production and quality.