Russian potato growers achieved record output results in 2015/16. According to the official data, they produced 33.6 million tons of potato which is 16% higher than the average annual output over the last five years. Many farmers suffered losses as the market surplus had brought prices down in Q1 of 2016.
As a result both agricultural state units and private households reacted to the situation and reduced potato planting by 5% and 4%, which made 193 and 145 thousand hectares respectively. However the season of the 2016/2017 is expected to be quite challenging taking in account that the things got worse due to the bad weather in autumn. The farmers from the Central part of the country were unable to hack potato timely because of the abundant rain. some potatoes had been damaged even before the harvesting season began and some were screwed up when lifted. Taking in account the act that wet potato goes bad very quickly, farmers are expected to take additional losses in the first half of 2017.
According to the statistics, agricultural organizations produced 6.8 million tons of potato in 2016, which is 10% less than the year before. As relates to the private household, the Institute for Agricultural market studies reports a 7% decrease with total output of 16.5 million tons.
The farming year following the year of the low prices is normally much more favorable for farmers, however the situation in 2017 seem to be quite the opposite. However, according to the forecasts, potato prices may increase in the spring season to override the previous year prices exceed 15 RU per kilo.
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