Weekly Potato Report

January 6, 2010

From the Michigan Potato Industry Commission

Calendar of Upcoming Events

February 16-17, 2010 – Winter Potato Conference/Variety Day – Mt. Pleasant Comfort Inn & Suites

Potato Market Update by Bruce Huffaker

Dealers report continued strong movement of chip potatoes under contract. Buyers are interested in purchasing open potatoes, but growers are focused on finding potatoes that will chip, to ship on contract. Very few potatoes are moving through the open market. We did run into one quick-delivery sale out of Wisconsin, for $13.00 per cwt. That was a special case, and may not represent the open market for potatoes, but it is an indication of the difficulty in finding open potatoes that will fry.

Industry leaders are meeting in Orlando this week, at Potato Expo 2010 and associated side meetings. The quality of chip potatoes in storage is a major short-term concern. Though crop production exceeds industry needs, the quality issues have the potential to create short supply conditions before the end of the season. Much depends upon when and if late-harvested potatoes can be reconditioned. Some storages are coming around, but others are breaking down before they can meet quality standards. The quality issues are widespread, across both the US and Canada. We have picked up reports of some US chip potatoes moving to Canada, because of quality issues in Ontario.

In the fresh market, Michigan packers shipped 34,600 cwt of potatoes during the week ending January 2. That is down from 44,900 cwt a year earlier. This year's shipments were 54.6% Russet potatoes, and 45.4% Round White varieties.

Michigan size A Russets are selling for mostly $1.30-$1.40 per 10# bag, unchanged from last week. In Wisconsin, packers are selling non Size A Russets in 10# bags for mostly $4.75-$5.00 per 50# bale, unchanged from week-earlier levels. Wisconsin 50-70 count cartons are selling for mostly $6.00 per 50# box, also unchanged for the week. The weighted average price for Idaho Russet Burbanks held steady this week, at $8.60 per cwt, although the price for US #2 potatoes is soft.

Michigan shippers are selling Round White potatoes for mostly $1.20-$1.30 per 10# bag, unchanged for the week. In Maine, 10/5# bales of 2 inch minimum Round White potatoes are selling for $6.50-$7.00 per bale, unchanged from last week. Long Island packers are selling 50# size a Round White potatoes for mostly $6.00-$6.50 per 50# bag, unchanged for the week. They are selling large potatoes for mostly $6.25-$6.75 per 50# bag, also unchanged.

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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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