Kazakhstani farmers are grappling with a challenging decision this year as they face unprecedentedly low potato prices, exacerbated by stiff competition from Russian producers. Many have opted out of planting potatoes altogether, citing the dismal market conditions, which haven't been seen in nearly a decade.
According to Rustam Zhumagulov, CEO of "Barakat Product," the situation is dire. Potato warehouses are brimming with surplus due to weak sales, compounded by unfavourable weather during harvesting. The current average selling price of potatoes is a shockingly low 108.4 euros per ton, a record low in recent memory.
Zhumagulov reveals that the market, particularly in regions like Kostanay, Kyzylorda, and Aktobe has been flooded with cheap Russian potatoes, squeezing out local producers from their traditional export markets, like Uzbekistan.
In response to these challenges, many farmers, including Zhumagulov, are shifting their focus away from potatoes towards high-margin crops like soybeans or lentils. Victor Simonenko, a prominent vegetable producer in the Kostanay region, echoes this sentiment, highlighting the unsustainable economics of potato farming in the current market.
With profitability in question and market dynamics shifting, Kazakh farmers are left pondering the future of their potato-centric businesses.
source: apk-news.kz