Potatoes are Maine's largest agricultural crop, with most volumes destined for processing into products such as fries and potato chips, while retail table potato demand remains stable. A recent ownership change has altered the processing landscape in Aroostook County following the acquisition of the Washburn-based processor McCrum by an international processing group.
The facility on Parsons Road in Washburn has a long history in potato processing. Five years ago, Penobscot McCrum invested US$32 million to reopen and modernize a previously closed plant, creating additional processing capacity alongside the existing facility in Easton. With the acquisition, nearly all potato processing capacity in Aroostook County is now under a single operator.
© McCrum
The transaction surprised some growers, given that the Washburn facility had only been operating for five years. Brian Guerrette of Guerrette Farms in Caribou, who supplies both fresh and processing potatoes, said, "I think it was a surprise to some and expected by others." He noted that the Washburn plant was already handling potatoes linked to the acquiring processor and described his experience with both buyers as fair.
Guerrette raised questions about how existing grower contracts will be handled and whether all current suppliers will continue delivering to the Washburn facility. He also questioned future access for new growers entering the processing market. "Is McCain willing to take on new vendors? Their history has been to take on fewer vendors," Guerrette said.
Concerns were also expressed about reduced competition for processing potatoes. Jim Gerritsen of Bridgewater, a long-time observer of the Maine potato sector and associated with seed potato production, said, "I think the actions of monopolies help monopolies." He added, "It isn't good if you are a farmer looking for places to sell potatoes if a new startup is bought out by a monopoly."
With processing capacity now consolidated, growers are assessing how the change may affect contract availability, pricing structures, and long-term production planning. As of publication, requests for comment to industry bodies and the companies involved had not received a response.
The Maine potato sector remains focused on both processing and fresh markets, while growers monitor how this consolidation may influence supply chains and production decisions in the coming seasons.
Source: Mainebiz
