Potato starch company warns of ‘dramatic’ cost increases

The European potato harvest will be at a historically low level this year and present a massive challenge for growers, processors and their customers. Due to the crop failures in potato fields, some of which were total failures, the availability of potato products will be significantly reduced. According to the Raw Materials Procurement Department of the Emsland Group, potato fields of the contract farmers of the group are in dire conditions. Europe is experiencing what farmers are calling the “worst drought in recent history” – which could create food shortages and financial troubles for Europeans. The commodity exchanges for potatoes have been reacting massively to this drought for quite some time. At the same time, some growers of seed potatoes are already raising their prices for 2019. Patrick Geers, Marketing Associate for Emsland, says “the cost increase will be dramatic and for the next season we expect further prices on higher levels, maybe not as extreme as this year but significantly over last year’s level.” Read more