That increases the harvested area in places with relatively low potato yields. It's an expense just to get rid of them. Peggy: We've put them into this pile and mixed straw, then we're gonna put plastic over the top of it and let it get totally broke down by next fall. Bill: It's costing us money just to bury these. Visit Business Insider's homepage for more stories, coronavirus business & economic impact analysis, When COVID-19 closed down restaurants and hotels, potatoes headed toward food service had, It had a chain effect down to processors and growers, trapping, While farmers across Idaho and Montana have. In recent years, North American fryers have been unable to commit to supplying several small and mid-sized customers with frozen potato products needed to enter or expand their menu offerings. Jul 31, 2019. Egypt’s police are stepping in to fight a potato shortage that has caused prices for the staple to double at a time when Egyptians are struggling with steadily rising food costs. For more articles, go to www.BusinessInsider.co.za. … since. The losses in eastern growing areas complicate that outlook. The combination of acreage cuts, crop losses in eastern growing areas and stronger than expected demand for finished product has left fryers and dehydrators with a raw product supply deficit. The last of the 2019 crop had been cleaned up by the end of August. Narrator: Potatoes for food service, like restaurants, hotels, and catering, make up an estimated 55% of all potato crops. The region’s 2020 potato crop could be down 25 percent from 2019 production. For the first time, the Interior Ministry, which runs the police, has begun selling potatoes at reduced prices, drawing long lines of customers. Zak: The other side of that is - we call it our process segment. Narrator: Peggy and Bill have been forced to bury 1.4 million pounds of potatoes in total. Others grow better. As we Approach the 2019-2020 storage potato season, we are now seeing the effects of the challenges we faced along the way. That's a fairly rigorous process that avoids disease, imperfections. Rainfall is critical for this crop. The Food Purchase and Distribution … Plenty of Irish chippers use British potatoes to make chips and this could be impacted by Brexit . Processing contract volume reductions anticipated a larger drop in French fry sales than the industry is experiencing. You don't actually see the potato; you see the byproduct or the end result of that. That's money out of our pocket, trying to find another use of the spuds. 2020’s latest (but least surprising) shortage: antacids. Instead, they're throwing away 700 tons. Link Copied! Since mid-June, potato prices have been on average 46% higher than in the same period last year. Though the pandemic continues to have a major impact on economies around the world, the downturn in demand for French fries has been much less than processors had anticipated at planting time. UPDATED: Tue., Dec. 3, 2019. In … Zak says a 100-pound sack of potatoes went from costing about $12 a sack to $3 a sack, and a farmer needs it to cost at least $5 to break even. And just to try to get somebody to benefit from them. The great french fry shortage of 2020 may be upon us. Sather and Byre are in agreement that the red potato varieties will see the largest shortage of seed in the spring of 2020 and that could have an impact on growers in the Red River Valley. It starts with a seed grower like Buyan, where farmers grow a variety of seed strains. Aug 20, 2020. The supply of those potatoes is limited primarily to Idaho and PEI. Prairie yields currently look average at best. Scattered showers created variable crop conditions, but in general crops received about 50 percent of normal rainfall from June through August. UK consumers may face a home-grown potatoes shortage next year as stocks run out due to new storage rules. This compares with 11% of the crop estimated to be unlifted as at 12 November 2019. Share. And more than half of the industry's potatoes were stranded on seed farms. So why did this all happen? Bill Buyan: The potatoes have been awful good to us for a lot of years, but this year it just really turned sour. We're in the small town of Sheridan, Montana, on a potato farm. Normally, potato production across the Northwest looks like this. Potato growers get the seed from Buyan and start planting in March, then they harvest in early fall. The biggest cuts took place in the Columbia Basin, which produces the largest potato yields in the world. In addition, they may be interested in purchasing open chip potatoes for use in products where length is not an issue. If you didn't, you'd have quit a long time ago. The impact of the processing potato shortfall is likely to spill over into other segments of the potato industry. Once the potatoes are out of the ground, they go into storage or are sent to a factory, where they're cleaned and turned into either fresh or processed potatoes. If we'd have anticipated COVID wrong and had a short crop, a very small crop, it would have been devastating to food hunger. The industry experienced major harvesttime crop losses in North Dakota and the Canadian Prairies in 2019. Unlike their North American counterparts, EU fryers have a surplus of raw potatoes to draw from and plenty of capacity to expand their output. It also might eat into supplies of storage potatoes for the potato chip industry. PEI growers have not been able to dig new irrigation wells since 2001. Narrator: The surplus potatoes also couldn't just be sent to grocery stores. A shortage of french fries could be coming, Bloomberg reported Monday. This is due to an unusually cold winter in Limpopo, which has hurt the early part of the harvest. But that point, if everything is OK and the rations, then we'll start feeding the calves with them. I mean, between our time and labor and renting a large excavator to dig the hole and cover them, I mean, it's not free just to throw them away to us. The EU’s exports of frozen potato products to the U.S. have tripled during the last two years. Bill: I mean, it was just unprecedented. For a small operation, for us. The focus of the 2020 crop potato shortage is the frozen processing sector. Further expansion is likely this year. Extremely cold weather and storm systems have and will continue to put a strain on the Idaho potato industry as a whole for the upcoming year. Peggy and Bill are facing $140,000 in losses. Growers need about two weeks of favourable weather for harvest, otherwise thousands of acres will remain in the ground this winter. email. In bad years, you just start over the next year and hope for a better, you know, better season. Precision farming: Yield and field-to-storage load monitoring on a Canadian potato farm December 9, 2020 Have you seen the headline claiming there is a french fry shortage across the nation? Fryers offset some of the contract reductions with extended usage of storage potatoes from the 2019 crop. Growers in some areas may have reduced their table potato acreage, but any cuts in that category were limited in scope. Potato growers and shippers are working overtime to keep American grocery stores stocked with enough spuds to meet skyrocketing consumer demand during the coronavirus pandemic. In Western Canada, the crop is running behind schedule as processors push to get new crop harvest underway. We're always looking for next year. Each potato variety goes to a specific grower in either the fresh or processed segment. At a glance. Brexit food shortages: What to stockpile as no-deal Brexit looms NO-DEAL BREXIT is now looking like a distinct possibility for the UK at the end of this year. This year, the capacity issue has been replaced by the raw product supply shortfall. Growers in some areas may have reduced their table potato acreage, but any cuts in that category were limited in scope. The U.S. potato industry has been in a fight in recent decades, a fight against negative public perception. A leading-edge research firm focused on digital transformation. The 2020 lifting window has come with its own challenges for the British potato industry, but relative to 2019 it’s certainly been more straightforward for most. CHENNAI: You are paying twice the wholesale rate for potatoes as retailers claim a shortage and have pushed up rates by Rs 10 in the last two days. Which cookies and scripts are used and how they impact your visit is specified on the left. Zak says a 100-pound sack of potatoes went from costing about $12 a sack to $3 a sack, and a farmer needs it to cost at least $5 to break even. 2 October 2020 Domestic market update - 02 October 2020 Overall free-buy potato trade during September remained minimal. Now they're facing a 20-year low. Or a tip on how your town or community is handling the pandemic? Recent capacity expansion efforts were supposed to arrest that trend. About 15 percent of Maine’s crop is irrigated, but this year’s severe drought will take a toll on the remaining fields. If you're a process grower, you'll grow a different product line. Just, some fry better, they have a better color to them. Temperatures in Caribou, Maine, are representative of the situation throughout the region. It's pretty devastating, you know? The harvested area in the Columbia Basin is down 13 percent to 15 percent or more. Peggy: We thought, you know, let's plant what we do, take the risk. Out of options, the growers cut their orders with seed farmers. Bill: We had high hopes that maybe something would turn up, you know? Experts fear a 12-week gap could open up in the UK supply in 2020 as a result of the loss of the main chemical used on stored spuds. However, the limited decline is misleading. twitter. Narrator: To save some of the potatoes from going to waste, Buyan Ranch got creative. The raw product shortfall opens a window for further expansion of French fry imports from Europe. You may change your settings at any time. Bill: She's organized two or three giveaway days, and we've had pickups from 100 miles away, people come and got potatoes. New Brunswick has no irrigation for its potato crop. Their actions are likely to impact other industry sectors. Updated October 15, 2020 9:30 am Britain is facing a sweet potato shortage after extreme weather hurt US crops and import costs rose thanks to a falling pound. This year, crops have been harvested in record time with few problems during the harvest. Zak Miller: More than half of our market shut down by government mandate. Normally this time of year, Bill and Peggy would be sending their potatoes to be planted. Narrator: Before the pandemic, Zak estimates Idaho farmers were looking at a 15-year high in potato prices. In Peggy's case, her customers in Washington were cut back more than 50%, and she and Bill were stuck with tons of seed they'd normally sell. Zak: When COVID hit, we had a huge run on retail, which lasted for about a week to two weeks, but then when we shut off all the restaurants, that's when everything came out of kilter. By Harmeet Kaur, CNN. Narrator: So when food-service establishments shut down because of COVID-19, it was a chain effect. US experiencing shortage of potatoes used for French fries. In the fresh segment... Zak: You're actually seeing the potato in its true form. Market Alert – Potato Shortage Continues. A bag of frozen french fries are seen on sale in a freezer case at a Safeway supermarket in Falls Church, Virginia, on Thursday, April 23, 2020. Narrator: Luckily, Zak says all this food waste won't lead to a shortage next year. Narrator: Farmers are also mashing up potatoes into a compost-like mixture to feed cattle next year. The combination of heat and the rainfall deficit is likely to reduce potato yields in the region by as much as 25 percent, relative to the five-year average. Cold weather and the impact of Hurricane Dorian have damaged potato crops in the United States and Canada. Do you have a personal experience with the coronavirus you'd like to share? Save for later. As at 10 November 2020, it was estimated that just 2% of the planted area was yet to be lifted. Processing Potato Supply Shortfall. Peggy Buyan: When you dump that many potatoes, the financial hit, I mean, that was what's so heart-sickening, is the financial burden. We'd have mass shortage of potatoes, and that would have been even worse. The rains came too late for most potatoes, but some Russet Burbank fields still had enough green left to benefit. Final yield data were not available at press time, but we have not been picking up reports of spectacular yields for any growing areas. News. Please email covidtips@businessinsider.com and tell us your story. This site uses functional cookies and external scripts to improve your experience. Zak: Think of everything from white-table restaurants clear down to your fast, quick service. Zak: If I was advising a year ago, not knowing what was gonna happen, I wouldn't have told them to do anything differently than they did now. 2020 Gets Even Worse as Citrus and Potatoes Are Recalled Over Potential Listeria Outbreak Lemons, limes, and oranges are among the fruits recall after … The 2020 GB planted potato area is one of the lowest on record seeing a 2.3% year-on-year drop. Jules Suzdaltsev 12 months ago Potato growers … She's distributed them down on our street in town, just set up and people stop, they give them a bag of potatoes. … Peggy: Right now it's, like, 200,000, roughly, in there, with everything, I would say. A potato paucity is upon us, and French fry aficionados are worried. Zak: Virtually all the potatoes grown started out from a certified seed. Meanwhile, sales into foodservice have dried up as the public moves away from restaurants and public spaces. The shortfall is likely to encourage further expansion in the import of European French fries. Bill: We already had the ground prepared, and we raise most of our own seed and buy some, so, I mean, you might as well just carry on. Get the latest coronavirus business & economic impact analysis from Business Insider Intelligence on how COVID-19 is affecting industries. "Therefore when the withdrawal agreement between the UK and the EU ends on 31 December 2020, the import of certified seed and ware potatoes … Zak: If you're a fresh-product grower, you'll plant a different variety, or a different genetic line of potatoes. That in a month or so, we might be able to send them somewhere for some kind of processing. But this year's, there's just no market for them, and we're just taking them out, taking them into a burial pit. Seed potatoes make their way through a … Potato Weekly - 20 March 2020. Seed Directory Searchable by Grower, State, Variety. Summer heat and limited rainfall have eaten into expected potato production in Maine, New Brunswick and Prince Edward Island (PEI). The French fry industry faces the largest supply shortfall, but that deficit is likely to spill over to russet table potato markets and could eat into raw product supplies intended for potato chip production. Beyond those measures, the most logical way to expand the raw product supply is to purchase Russet Burbank potatoes that are intended to be marketed as table potatoes. They said it’s due to cold weather that shortened the harvest season. I guess that's kind of the farm and ranch. For farmers across Idaho and Montana, that number comes to $8 million. Processing contract volumes dropped 15 percent to 20 percent on average, though the largest cuts were in the Columbia Basin. Share on Twitter. Zak: Going forward this year, I think the farmers are doing the right thing. The impact of this year’s processing potato supply shortfall will extend beyond the market for finished products. You're asking - a square peg in a round hole, I guess, is the best analogy I can come up with. We expect them to expand early-season production in 2021 and to encourage that harvest get under way as early as possible. Peggy and Bill are facing $140,000 in losses. Crop losses resulting from a drought in Maine, New Brunswick and PEI will exacerbate an already short processing potato supply situation. Right now, parts of Eastern Canada are facing moderate to severe drought conditions. An unusually cold and wet potato harvest season may lead to a French fry shortage in the US. Oct 20, 2020, 02:18 PM facebook. Irish chippers could face a potato shortage due to Brexit. Subscriber Narrator: That's foods like a raw potato at a grocery store or au gratin potatoes at your favorite restaurant. Narrator: All in all, an estimated 1.5 billion pounds of potatoes are trapped in the supply chain across the US. Fryers may experiment with other russet table potato varieties in hopes of finding some that will make acceptable product. Zak: Even though they're losing money on them, they'd rather see someone eat them than nothing happen at all. They totaled 331 million pounds during the year ending June 30, 2020. irishmirror. Narrator: And the same thing is happening across the Northwest. U.S. facing frozen fries shortage as farmers can't sell potatoes. Narrator: Now back to the farm. The worries about alooming food shortage come as two main unemployment programs that significantly expand jobless assistance — and a ... potatoes and not just canned and processed food.” The main federal program that is ending provided around $100 million dollars in food to Texas food banks in 2020, according to Feeding Texas calculations. Growers planted 3.9 percent fewer potatoes this year than they did in 2019, but yield losses are the major driver of this year’s expected production downturn. Bill: When you put all your work and effort into growing them and the expense and the pride of what you grow, and then to just completely just throw it away and waste it. Business Insider visited a potato seed farm in Sheridan, Montana, to understand the emotional and financial impact this has had on farmers Peggy and Bill Buyan. Farmers are still planting potatoes, just not as much. Potato production may drop by 25 to 30 percent because of closed restaurants… Zak: Some of these farmers are looking at red all over their balance sheet, and there's no black to be seen. However, those potatoes did not last as long as had been expected. Narrator: Buyan grows three different disease-free seed strains: Umatilla, Clearwater, and Russet Burbank potatoes. Share ; By. Farmers farm for the love of farming, and even in tough times, we still will continue to farm for the love of farming. 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