Potato Costs Drive Emsland Group Price Hike
Their starch potatoes are forecasted to increase in price by about €20/ton. In the longer term, the company predict that cultivated potato areas could face annual reductions of about 4%. These developments will lift the prices of potato starch and its derivatives.
18 Jun 2012 --- Emsland Group have made a decision to raise the prices of their potatoes. They attribute the price rise to the lower contract volumes of starch potatoes in 2012, which could be up to 20% lower than in previous years.
In the longer term, the company predict that cultivated potato areas could face annual reductions of about 4%. These developments will lift the prices of potato starch and its derivatives.
As a result of these subsidy cuts for potato production, starch potatoes are forecasted to increase in price by about €20/ton.
Derived starches will also be affected, and are forecast to reach €100/ton. These adjustments will be effective as of the beginning of Emsland Group’s processing campaign Aug./Sept. 2012. This cost increase will affect all potato starch producers within the EU. Within this dynamic environment Emsland Group will continue to focus on reliable, long term partnership with key customers, preferably in core markets and applications where specialities are required.
Emsland Group is Germany’s largest producer of potato starch, and a manufacturer of refined potato starch products, proteins and fibres as well as potato flakes and granules.
