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Norte Am. 27/08/2019

EEUU: Record export year for US potatoes

US potato exports once again reached a record value and volume for the July 2018 - June 2019 marketing year (MY19). The total value of exports was $1,827 million, up 1% from the previous marketing year. Total export volume was 1,733,023 tons, up 2.3%

The fresh weight equivalent (fwe) volume was 73 million hundredweight (cwt). Frozen potato products, at 1,741,047 fwe tons, accounted for 53% of total exports but were down 0.1%. Dehydrated potatoes, at 842,446 fwe tons, were up 2.7% and accounted for 25% of the total. Fresh potatoes, made up of table-stock, chip-stock and processing potatoes, were up 6.2% to 508,626 tons and accounted for 15% of the total. Potato chip exports accounted for 6% of the total and were up 0.8% to 197,764 fwe tons.

The top market for US exports was once again Japan at $359 million. Due to significant US exports of fresh potatoes destined for processing into frozen products Canada was a close second at $319 million. Mexico was the third most important market at $239 million, but was down 13% due to a 21% decline in frozen exports. South Korea was the fourth largest market valued at $124 million with growth of 16%. The Philippines was fifth at $106 million up 13%.

A number of issues and situations held back US exports from further increasing, despite strong growth in world demand and a short crop in the EU, the main competitor. One of the main reasons was the strong domestic demand for potatoes, particularly frozen and dehy and the static supply of these products in the US Another was the imposition of retaliatory tariffs on US products by Mexico and China.

Tariffs

Mexico instituted a 20% tariff on US frozen fries in June 2018. This resulted in a 25% decline in the volume (37,774 tons) and 21% decline in the value ($33,228,497) of frozen exports to Mexico for MY19. China implemented a 10% tariff on US fries and a 25% tariff on US dehy in September, these resulted in a 10% decline ($9,570,894) in frozen and 68% decline ($3,373,405) in dehy exports. The continued strengthening of the US dollar, up 2.9% compared to the Euro for the marketing year, also contributed by raising the relative cost of US potatoes.

US potato exports have grown 9% over the past five marketing years and should be poised for further growth in the coming year. Additional frozen capacity has and is coming online in the US and additional acers were contracted for by the processors. The impediments to growth will be increased competition from the EU as production is forecast to return to normal in 2019 and the new free trade agreements in place in major US export markets for the EU and Canada.

Source: agrimarketing.com

Fuente: https://www.freshplaza.com/article/9136533/record-export-year-for-us-potatoes/


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