Global Potato Market Faces Supply Gluts, Weather Shocks and Falling Prices

Global Potato Market Faces Supply Gluts, Weather Shocks and Falling Prices

Key Highlights:

  • Europe sees record harvests but sharp price drops.
  • French and Belgian markets hit hardest by oversupply.
  • Weather extremes disrupt yields in Australia and South Africa.
  • Pakistan, Egypt show growth with better seeds and exports.
  • North American yields strong, but prices remain soft.

The global potato market in 2025 paints a mixed picture. Europe is struggling with record harvests and plunging prices, while several Southern Hemisphere countries are dealing with weather related supply shortages. Despite strong yields in many regions, imbalances in trade, storage and demand are reshaping the global potato economy.

Italy:

Prices in Italy have eased to €0.25–€0.30 per kilogram following an influx of French potatoes. Though demand from large retailers remains constant, oversupply from neighboring countries continues to pressure prices. Premium regional varieties with Protected Designation of Origin (PDO) labels are performing relatively better.

Netherlands:

The Dutch market remains sluggish, with processing factories operating at reduced capacity. Weak demand for French fries across Europe, combined with high energy and contract costs, has slowed trade despite abundant supply.

Also read: Potato Peelings Could Replace Coal: Scientists Develop Eco-Friendly Biofuel

Belgium:

Belgium’s harvest is nearly complete, with around 90% of fields cleared. Strong yields are offset by low prices, wash ready potatoes fetch around €0.20 per kilo, while unwashed batches drop to €0.10. Export competition from Poland and Southern Europe is intensifying.

France:

France has produced a record 8.5 million tons of potatoes after a 10% increase in acreage. However, this bumper harvest has caused a major price collapse, with open market rates as low as €5–€15 per ton, far below production costs. Residual 2024 stocks are worsening the imbalance.

Poland:

Production has jumped to 6.8 million tons, up 15% from last year. Yields are strong, but prices remain low due to abundant supply. While domestic demand has improved slightly in autumn, farmer profitability is still under pressure.

Switzerland and Austria:

Both countries report above average yields, Switzerland up by 20%, Austria seeing abundant but stable supplies. However, logistics challenges such as crate shortages and strict grading rules are creating short term strain.

Germany:

Quality issues including worm damage and black spots are reducing shelf life. Ongoing oversupply from other EU countries keeps prices subdued. Export opportunities are limited by intense price competition.

Spain:

Northern regions, especially Castilla y León, report a delayed harvest and a 12% rise in planted area. Despite decent yields, prices are lower due to slow European demand and oversupply from France and Poland.

New Zealand and Australia:

In New Zealand, wet and cold spring weather delayed planting, but crop establishment looks promising. Australia, meanwhile, faces a shortage of fresh potatoes due to hot, dry weather across major producing states. Imports of frozen fries are helping fill the gap.

North America:

The U.S. and Canada have solid harvests, but prices are soft. Idaho, Minnesota and Alberta report strong yields. Yellow potato demand remains firm, though continuous supply from overlapping harvests keeps prices constant rather than rising.

Also read: U.S. Potato Industry Disappointed Over Japan’s Ongoing Market Block

South Africa:

Farmers in Limpopo and Sandveld are facing severe losses as prices plunge to €2.40–€2.70 per 10 kg, below cost. Oversupply from expanded planting and ideal growing weather has created a deflationary phase in the market.

Egypt:

Improved seed quality and favorable weather have boosted planting for the 2025 season. Exporters expect a rebound in shipments to key markets, driven by firm global prices and stable demand.

Pakistan:

Pakistan’s potato output reached 9–9.5 million tons, 20% jump from last year. Exports to Afghanistan, Sri Lanka, the UAE and Central Asia are growing. Fresh potato exports dominate, though processed products are slowly gaining traction.

From record breaking harvests in Europe to weather driven shortages in Australia, the global potato market is going through a volatile phase. Farmers worldwide are grappling with uneven prices, shifting demand and rising production costs. As supply chains stabilize, the coming months will test how global trade adjusts to this year’s surplus and scarcity cycles.


Source: global-agriculture
Image credit: Pexels by Mateusz Feliksik


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Potato Insights Desk

Potato Insights Desk

PotatoInsights.com brings verified updates, industry news and expert viewpoints from across the global potato sector. Our editorial team focuses on clear, factual and practical information that helps professionals stay informed about business, processing and market trends.

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