Farming News - Worries over potato contract prices

Worries over potato contract prices

UK potato growers will face an uncertain future unless contract prices increase following a 25 per cent drop in production and an increase in costs of 30 percent, industry insiders have said. Potato production was hit especially hard this year, with yields down by 15 percent, thousands of acres lost to waterlogged fields and quality impacted by inclement weather.

 

On Friday, the NFU said that, with around 75 per cent of all potatoes in the UK grown on fixed priced contracts, growers have borne the brunt of the large financial penalty dealt by the unprecedented cold and wet summer conditions.

 

Tim Papworth, a union spokesperson said, "I can't remember a year quite like this. [Growers] have been working exceptionally hard to try and meet their customers' requirements, but the reality is that we have exceptional producers in this country suffering significant financial losses that were completely out of their control."

 

He warned that growers may switch to cereal production due to their higher current value and comparatively simple supply chain. Mr Papworth said, growers "cannot sustain losses of this magnitude again." He added, "If we are to stop highly skilled growers leaving this industry in favour of more lucrative crops, buyers must increase their contract prices."