Local businesses have raised concerns regarding the supply of potatoes and frozen French fries as record temperatures and severe drought negatively impact the supply of potatoes from Europe, leading to a shortage here amid high demand.
Industry association Potatoes South Africa has however confirmed that local potato farmers are producing a surplus of fresh potatoes for the market’s needs.
The French fry shortage comes amid Itac imposing provisional anti-dumping duties for frozen potato chips imported or originating from Belgium, Germany and the Netherlands
Potatoes SA says a distinction must be drawn between fresh potatoes and processed products such as French fries, as South African potato farmers are currently producing a surfeit of fresh, raw potatoes.
Potatoes SA Chief Executive Officer Willie Jacobs says one of the major issues facing farmers, however, has been finding suitable opportunities for storing and processing these potatoes to manage price volatility and profitability, and prevent waste.
In the wake of European shortages, higher demand for locally manufactured frozen French fries, therefore, represents a highly attractive, mutually beneficial solution for the industry and the country.
According to Potatoes SA figures, South Africa produced an average of 2.6 million tons of potatoes per year between 2017 and 2021, and Jacobs estimates that some 12,000 tonnes of fresh potatoes are available at national fresh produce markets around the country every day.
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Jacobs adds that the association is urgently investigating opportunities to invest in expanding local production facilities to meet the high demand for French fries while supporting local potato farmers.
South Africa is unique in that unlike many countries, our seasons and climate mean that we can produce potatoes the entire year, ensuring a steady supply.
This said, we have also met with various businesses to discuss their needs for items such as French fries, and have noted concerns regarding gaps in supply chains for processed products.
Moving forward, we firmly believe that through using private-public partnerships to invest in expanding production capacity, the potato industry will be able to create further value for the South African market, while driving sustainable socio-economic development.