In January and February 2025, excessive rainfall impacted potato production across various regions of Brazil, notably in the South, Mato Grosso, and Mato Grosso do Sul. The flooding impeded harvesting efforts, leading to reduced market availability.
Current prices for a 25kg bag of special agate potatoes in the affected regions, converted to USD, are as follows:
Paraná (PR): The average price is $12.00 per bag. The Guarapuava region, a major production hub, experienced shortages due to heavy rains, affecting prices.
Rio Grande do Sul (RS): Prices are around $11.60 per bag. Production in São Mateus do Sul was compromised, reducing market supply.
Santa Catarina (SC): The average price is $11.90 per bag. In Água Doce, adverse conditions from rainfall posed challenges.
Mato Grosso (MT): The average price is $12.40 per bag. Rain caused harvest disruptions.
Mato Grosso do Sul (MS): The average price rose to $12.30 per bag. Campo Grande noted price increases, with potatoes affecting the basic basket inflation since 2022.
Heavy rains impact agriculture in multiple ways, making harvesting difficult and potentially increasing disease and pest risks, which affect both quality and quantity. Flooding can destroy crops, leading to significant losses. The reduction in market supply has led to rising prices.
Prices are expected to remain high until the winter crop harvest begins in June. Climate variability remains a concern. Experts suggest investing in climate-resilient techniques and improved water management to mitigate future impacts.
Potato price increases reflect harvest challenges due to heavy rains. Stakeholders should monitor weather and market reports closely. Institutions like Cepea provide valuable data to help understand price behavior in Brazil.
Source: ArgenPapa