Reports from Idaho potato growers indicate that harvests will be completed earlier than anticipated (within the next 8 to 10 days) due to ideal harvesting conditions. As result of the early completion, growers are beginning to fill their storage sheds earlier than normal. Growers will have more control of supply levels soon; they will hold back shipments to push prices above the low levels seen over the past few weeks. Expect the market to increase gradually over the next several weeks.
Large size Idaho Norkotahs (40- through 70-count potatoes) dominate that crop. Small-size stocks (90- through 100-count) are limited. The majority of fresh-run Norkotahs are meeting grade No. 1 specifications, as supplies look their best straight out of the field. This is limiting U.S. No. 2 production and putting a strain on some U.S. No. 1 carton production, 90- and 100-count sizes in particular, as potatoes that would normally meet No. 1 grade are being packed to meet the demand for No. 2 grade orders. No. 2 supplies will increase over the next several weeks (once potatoes are shipped out of storage). Markon First Crop (MFC) Norkotah Potatoes are available.
Limited quantities of new crop, fresh-run Burbank stocks are available; supplies will increase through October. Size profile is similar to that of the Norkotah variety; large sizes (40- through 70-count potatoes) are expected to dominate the crop, while 90- through 100-count stocks will be limited. MFC Burbank Potatoes will begin shipping in late October/early November (once they complete the sweat process).
Markon predicts a typical market swing for this time of year. As growers complete their harvest, prices will increase. Growers will start holding back supplies, trying to create demand and increase prices. Then in early November, the Thanksgiving pull will begin and carton prices will start decreasing as more raw product will be needed to run orders for retail bags. The byproduct of producing retail bags is larger sizes being packed into cartons, e.g. creating a supply exceeds demand situation for foodservice cartons.
Please contact your Markon customer service representative for more information.
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