The Hindu Business Line : Potato prices crash

Post-harvest, potato prices have gone down sharply this year in the main growing areas, especially in West Bengal. The price of the ‘Jyoti’ variety procured directly from the farmers is currently ruling at around Rs 100 per 50-kg packet, down from Rs 190-200 per packet during this time last year.

Similarly, the ‘Chandramukhi’ variety is ruling at around Rs 130 per 50-kg packet. During this time last year, this variety found takers at Rs 235-240 per 50-kg packet.

According to information obtained from Bardhaman and Hooghly — the two districts that account for 60 per cent of the potato produced in West Bengal – the low rates fetched by this year’s crop can be attributed to “an unusual lack of buying interest” from the trading community coupled with inadequate availability of storage space in cold storages.

Higher profit

A sizeable quantity of the potato harvested is now lying either in the fields or in the houses of the farmers.

Farmers who have borrowed money from ‘Mahajans’ before and during the sowing season for purchasing seeds and fertilisers are selling their crop at prevailing rates to clear the loans.

The profit earned from potato is higher compared with paddy or other vegetables. Some farmers told Business Line the profit generated from potato cultivation cross subsidies the cultivation of other crops and sustains the farmer during other crop seasons when the profits generated are not that high.

As such, ruling potato prices this year are a setback to farmers in the State, they said.

While West Bengal and Uttar Pradesh are the two major potato-growing districts in the country, West Bengal is ranked No 1 in the country in terms of productivity per hectare. Besides Bardhaman and Hooghly, potato is also grown in West Midnapore, Jalpaiguri, Cooch Behar, Bankura, Birbhum, North 24 Parganas and Murshidabad.

The total area under cultivation in West Bengal is 320,532 hectares and the State produces 81 lakh tonnes per annum. About 60-65 per cent of the potato produced is consumed within the State, while the balance is exported to other States.