Potato growers report potential 20% yield drops this winter from poor weather, though it’s too early to gauge the full effects.
Some growers are now harvesting early potato varieties, with the main crop harvest starting in a few weeks.
Potatoes New Zealand chair Paul Olsen says his Manawatu crop looks strong, but Pukekohe growers further north have faced heavy rain.
“What I’m told sort of further north that the yields are back by maybe 20% in some areas, and then the earlier crops in Canterbury, I’m told, are sort of on par,” he said.
Olsen said it’s tough to assess the weather’s full impact until the main harvest ramps up in about a month. He noted that if the national crop shrinks, prices could stay elevated given strong potato demand.
“The general rule of thumb is that the prices do ease as the main crop comes on, so it’s sort of hard to gauge, and I’d hate to jump to conclusions so early on in the season, given we’re only in February. But yeah, it’ll definitely be one to watch. “
Pukekohe-based Hira Bhana and Co cultivates 140 hectares of potatoes year-round.
“When it’s too wet, the roots don’t go down deep enough to go and search for water, and then when it goes dry, the roots aren’t prepared, and then they dry out,” owner Bharat Bhana said.
“So, you need to keep the water on. Yesterday it was 27 degrees during the day and only got down to 20 at night; it’s not cooling down enough – the muggy weather isn’t ideal for getting a decent crop of potatoes.”
Bhana said their target is 45-50 tonnes per hectare, but they’re yielding around 40. He said fewer potatoes would likely drive up prices.
“But, in saying that, potatoes at the moment, at $1.50 a kilo, or even at $3 a kilo, is cheap compared to anything else. Consumers normally complain about $3 a kilo for spuds, but go and get $3 worth of chicken or $3 worth of steak and see what that gets you.”
He said he hasn’t profited from potatoes in 18 months, so higher prices would boost cash flow.
“Just the other day, Balance sent us a nice newsletter again saying that fertiliser price is going up again.
“As our dollar fluctuates and the New Zealand dollar loses value, everything we bring into the country, like fertiliser, chemicals, and machinery, it all goes up, so our costs have risen a lot.
Bhana said rising costs are driving more vegetable growers out of the industry, especially in Pukekohe, where some sell land to developers for big profits.
“It’s getting to the stage now where growers have decided, well, it’s not worth growing anymore, so they got out of it.”