The European potato market is facing oversupply, with total surplus volumes in the EU estimated at around 3.3 million tons, according to DCA Market Intelligence.
Production increased over the past two years in countries including the Netherlands, Belgium, Germany, and France, driven by demand and contract pricing. This resulted in higher yields, but demand has since declined due to increased competition from Asia, tariffs in the United States, and a weaker dollar.
Price formation has adjusted to reflect the surplus. PotatoNL recently recorded prices of £-0.86 to £-0.87 per 100 kg (US$-1.09 to US$-1.10 per 100 kg) for potatoes destined for animal feed.
The surplus has led to volumes being redirected to animal feed, biodigestion, and starch processing, with disposal costs borne by growers.
In 2025, the Netherlands harvested approximately 4.2 million tons of ware potatoes, an increase of 900,000 tons compared to the previous year. An estimated 500,000 to 600,000 tons remain after volumes were diverted to alternative uses.
Belgium currently has around 800,000 tons of potatoes in storage, while France has a forecast surplus of 1 million tons.
"Not everyone can store their potatoes for that long. Moreover, there is currently no outlook for market improvement. As a result, growers are deciding to stop incurring cooling costs," said Niels van der Boom, potato market specialist at DCA Market Intelligence.
Market participants indicate that adjustments in marketing and contracting may be required in response to current demand conditions.
Source: Grocery Gazette
