NEPG Warns Potato Growers of Looming Losses – News Potatoes
The Northwest European Potato Growers Association (NEPG) is urging potato farmers to critically evaluate their production levels in the face of drastically low prices and a weakening market. The association warns that current conditions suggest continued financial hardship for growers.
Free market purchasing prices are currently ranging from €0.50 to €4 per 100 kilos, according to the NEPG. Adding to the concern, processors have already signaled intentions to reduce both contract prices and contracted volumes for the 2026/27 season. The NEPG states, “Market forces are ruthless and only the strongest will survive.”
This bleak outlook prompts the NEPG to question growers: “Can you afford to lose a lot of money while producing potatoes on the same scale?” The organization stresses the need for careful consideration of the economic viability of maintaining current production levels, particularly given high annual lease costs.
Despite these market challenges, the 2025 consumption potato harvest across the Netherlands, Belgium, France, and Germany is projected to reach 27.2 million tons – a 10% increase over 2024. This rise is attributed to an early planting season, a 7% expansion in planted area, and a 5% increase in yields. rainfall was generally adequate, though distribution varied between northern and southern regions.
however, this larger harvest coincides with a important downturn in demand. The NEPG reports a collapse in demand for European frozen fries, driven by a combination of factors including US import tariffs, a strong Euro, and increased exports from China, India, and egypt.