New potato price hike looms

Consumers need to brace themselves for yet another potato price hike. Agricultural economist Karabo Takadi said prices were expected to increase until mid-November, with further increases expected in December.

The drought has been blamed, with Takadi saying the dry climate left the market with insufficient supply to meet demand.

“Early season rains are still pending and dam levels are low,” Takadi said. “Consequently, the lack of sufficient water for irrigation may impact negatively on yields.

“Although forecasts for rainfall are very promising, it still needs to play out as predicted.

“Potato plantings in the eastern Free State need rain. Due to the uncertainty on the future outlook for rain, some producers in the Highveld region limited their exposure to potato production by planting less.”

Fruit and Veg City manager Louis Birkholtz said despite a slight price reduction seen over the last two weeks, potato prices tended to dip then rise towards the year as demand increased.

“In general, what happens is that the prices tend to increase because of availability, with the highest prices over the December period, then come January to February those prices begin normalising again,” Birkholtz said.

“This is a trend I have picked up over the last few years I’ve been in this business, with the biggest factor right now being the drought."

"There are other slight vegetable increases in the market too, but I would say the drought has affected potatoes more than any other produce right now."

In May, the Saturday Dispatch reported that potato prices had reached a record high, almost doubling in price compared with the same time last year.

The average price for 10kg of washed potatoes cost around R100 or more at most stores at that time.

A quick price check at three different upermarkets revealed three different prices of R89.99, R69.99 with the cheapest price being R67.99 currently – with those prices expected to rise.