The chip potato business is quiet. Plants are running exclusively on contract potatoes. The quality of the 2023 crop is good. Potatoes have been storing well. There is very little demand for open-market chip potatoes. Contract negotiations for the 2024 crop are underway.
Reports indicate that prices could be down this year. The market leverage held by growers during the past few years has shifted back to processors, due to the increased supply. Contact volumes are expected to be flat or down slightly.
U.S. packers shipped 1.303 million cwt of table potatoes during the week ending Nov. 25. That is up from 1.286 million cwt shipped a year earlier. Michigan packers shipped 38,600 cwt of potatoes during the week ending Nov. 25. That is up from 35,835 cwt during the same week in 2022. Last week’s Michigan shipments were 87.8% russets, 5.2% yellows, 3.5% round whites, and 3.5% reds.
The USDA reports that Michigan packers are selling size A russets in 10-pound bags for $11.50-$14.75 per 50-pound bale, down from $11.50-$16 per 50-pound bale last week. They are selling size A russets in 5-pound bags for $12.50-$15.75 per 50-pound bale, down from $12.50-$17 per 50-pound bale a week ago. Wisconsin packers are selling size A russet potatoes in 10-pound bags for mostly $10-$11 per 50-pound bale, unchanged from last week. They are selling russet 40-70 count cartons for mostly $11-$13.50 per 50-pound box, also unchanged. The weighted average shipping point price for Idaho Russet Norkotahs is $16.16 per cwt, down from $16.38 per cwt last week.
Wisconsin packers are selling 10/5-pound bales of size A yellow potatoes for mostly $16 per bale, unchanged from a week ago. They are selling 50-pound cartons of size A yellow potatoes for mostly $16 per 50-pound box, also unchanged. Red River Valley packers are selling size A yellow potatoes in 2,000-pound tote bags for mostly $22 per cwt, unchanged from last week. They are selling yellow creamers in 50-pound cartons for mostly $30 per 50-pound box, also unchanged.
– Report by North American Potato Market News