While the US market has tightened over the last few weeks as orders from foodservice outlets return and shoppers continue to buy more potatoes and potato products for home consumption, there has been a decidedly weaker tone to the EU market as it becomes apparent that growers have not cut back plantings this year and the weather becomes more favourable for the growing crop. This observation is made by Cedric Porter, Editor of World Potato Markets.
He goes on to say that US processors who cut back on demand in March as the coronavirus crisis bit, now find themselves short of potatoes after growers disposed of stocks they thought would go unsold. A cut in US plantings means the tighter market could remain going into the new season.
In the EU, French, Belgian and German growers increased their plantings a little this year, while those in the Netherlands cut back their area by 2.3%. UK estimates are not yet available, but are expected to be similar to last year, if not down a little.
Rain has fallen across Europe in the last two weeks, helping to dampen drought fears. In response, futures have fallen by more than