Dutch organic potatoes too pricey - Brief Article - Statistical Data Included

Eurofood, Feb 13, 2001

According to organic potato producers in the Netherlands, including market leader Bio-Select (formerly Agrico), high prices in the supermarkets are hampering the growth of the organic potato industry. Organic potatoes are often more than twice the price of conventionally grown potatoes, with retail chains showing few signs of competing over prices to win over consumers. Around 80% of organically-grown ware potatoes are sold via the supermarkets. The market leader Albert Heijn, which accounts for over three-quarters of organic potatos sales, is selling its range at higher prices (NLG4.49 ([euro]2.03) for 2 kilos) than its other main rivals C1000 (the cheapest at NLG3.49/2kg), Super de Boer and Konmar. Naturally sales of organic potatoes are increasing at a faster rate in the supermarkets offering produce at lower prices. According to potato traders, the difference between producer prices and retail prices allows ample room for manoeuvre as far as lowering retail prices is concerned. In their opinion, supermarkets are taking too great a margin. The situation could change as a result of an agreement with the Dutch ministry of agriculture to be signed shortly by retail chains to promote sales of organic produce.

Though imports of organic potatoes are on the up, the future growth of organic potato supplies must be ensured by Dutch growers themselves. More and more producers are switching to organic potato cultivation on account of better returns compared with conventional production, though only 1% of Dutch potato production is currently organic.