Weekly Potato Report

From the Michigan Potato Industry Commission

 

September 1, 2010

 

Potato Market Update by Bruce Huffaker

Chip companies are pulling 2010 contract potatoes about one week ahead of schedule. Companies are running plants almost entirely on contract potatoes. Any open sales would be at, or near contract price, but very few open sales are occurring.

Growers across the eastern US are pleased with this year's crop. Most report that yields are down from last year, but that quality is much better. They believe that they will have more deliverable potatoes this year than they produced in 2009. In many eastern growing areas storage and quality losses claimed close to 25% of the 2009 crop. Growers believe that the lower solids on this year will make it easier to store potatoes without the serious bruising that marred the 2009 crop.

Wisconsin's chipstock production could be down significantly in 2010. Early yields have fallen 20% below year-earlier levels. Growers are hoping that yields will improve as the storage season gets under way. Nevertheless, it appears that average chipstock yields will be down at least 10% from those on the 2009 crop. In addition, this year's early wet weather allowed late blight to get established in the Wisconsin crop. The weather has dried out during the last 2-3 weeks, providing growers with hope that they will not have to deal with tuber blight in storage. Nevertheless, there is a great deal of concern about how well Wisconsin's potato crop will store. A wet harvest would exacerbate conditions.

Russet table potato growers are concerned about the size profile of the 2010 potato crop. Though there are exceptions, most growing areas are reporting that this year's crop has a heavy set, which is not allowing tubers to size up as much as they normally would. In some areas, the slow start to the growing season and erratic summer weather have added to the concerns. The result has been unusually heavy shipments of consumer bags, and limited volumes for large count cartons. In some years, a small Russet size profile during August and September has convinced growers to let storage crops grow longer, in order to get more size. That can result in a shift toward to large of a tuber size profile, resulting in a shift to strong consumer bag prices, and weak prices for large count cartons. However, most observers are convinced that the growing season is not long enough to create such a reversal this year.

Wisconsin packers are selling Russet non-Size A baled 10# bags for $7.50-$8.00 per bale, unchanged from last week. Wisconsin 50-70 count cartons are bringing $15.00 per 50# box, also unchanged for the week.  The weighted average price for Idaho Norkotahs slipped to to $18.73 per cwt, from $18.77 per cwt a week ago.

Onaway sales are in too few hands to establish an official price, but USDA reports that current sales are at $1.50-$1.60 per 10# bag, down from $1.60-$1.65 a week ago. Delaware shippers are selling  size A Round White potatoes in 50# bags for mostly $7.00 per bag, unchanged from last week. Delaware Chefs are selling for $12.00 per bag, also unchanged for the week. USDA has started to report Long Island prices for Round White potatoes. It reports that packers are receiving $7.00-$7.50 per 50# sack for Size A Round White potatoes.

Michigan shipped 14,400 cwt of potatoes during the week ending August 28. That is down from 24,200 cwt shipped during the same week in 2009. Last week's reported shipments were 57.2% Russets and 42.8% Round White potatoes.

 

This weekly newsletter has more complete potato market information. For subscription information call (208) 525-8397, fax (208) 525-8569, write PO Box 135, Shelley ID  83274, or e-mail napmn@napmn.com.

This Weekly Potato Report includes current Michigan grower issues, in depth market news, and other time sensitive information. This report contains market sensitive information and your candor in using this information is appreciated.  Your comments and suggestions are vital to improving this report and other services.

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