US food service losses reduce total potato sales

Based on an analysis of the potatoes/potato products sold at retail and food service , and accounting for the volume of US exports and imports, there was a 5% decline in the utilization of potatoes grown in the US during marketing year MY2020 (July 2019 – June 2020).

Despite the 9% increase in sales through retail, the decline occurred due to the 13% decrease in sales to the food service  sector and 2% decrease in exports.

In terms of utilization of the US crop the decline was further compounded by a 7% increase in imports. It is important to note that this decline occurred at the end of the marketing year. Sales to food service , retail, and exports, were up for the July – December 2019 period.

According to potatoesusa.com¸ food service  sales have been accounting for a greater and greater share of total potato sales in the US, peaking at 58% in marketing year 2019. This upward trend was reversed in MY20, with the food service  share dropping to 53% of the total.

For the marketing year, retail sales were up 8.7%, an increase of 1.3 million pounds. From a percentage perspective, frozen and dehydrated saw the largest growth, both with an increase of over 15%. Potato chips, the largest volume category at retail, increased by 5.5%, and fresh was up by 9.5% for the marketing year. Within fresh sales, russets increased by 10%, yellows increased by 13%, and whites increased by 16%. The only decline was for reds, which were down 5% due to supply issues.


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