European makers of potato crisps and frozen chip have been forced to cut production because the continent's potato prices have more than doubled due to a poor crop, food industry executives said on Thursday.
Europe's potato prices have risen sharply after a scorching summer with production slumping by up to 15 percent in key producing countries like Germany, the Netherlands and Britain.
"Some companies have already started short-time working or are reducing production because they cannot get enough potatoes," said Horst-Peter Karos, chief executive of German food processing industry association BOGK.
"Supplies of potatoes up to the new crop this year are not secure at affordable prices, the position is very tense. Whether companies can continue production may depend on whether they have existing stocks," he added.
The bintje, the most used variety for industrial use, was quoted at 280 euros per tonne in France earlier this week, up from an average of 114 euros in 2005/2006.
Karos said German producers of frozen chips, dried mashed potatoes and crisps were all affected, adding that good quality supplies from last year's crop were running out.
"As other European countries also had bad crops last year we cannot buy abroad," Karos said. "The processing industry is facing very uncertain months, more production cuts cannot be ruled out."
Robert Burrow, marketing information manager for the British Potato Council, said dry weather last year had reduced the size of the crop, adding a one percent rise in plantings in Britain was more than offset by a five percent fall in yields.
WHEN THE CHIPS ARE DOWN
"That led to lower production and we had the same situation in most north European countries. The level of imports is low and prices are higher," he said.
Burrow said, however, supplies in Britain were adequate.
"It is not at a level where there is any production shortfall," he said.
Some food manufacturers have raised the price of their products while others are absorbing the higher input cost.
"We're affected by raw material price increases, as are other food manufacturers, but we have no plans to change the price of our crisps or snacks as a consequence," Neil Campbell, chief executive of UK snack food company Walkers, said.
Walkers is a unit of PepsiCo Inc..
Canada's McCain Foods, the world's largest producer of french fries, announced in July last year that its retail prices would rise 15 to 20 percent in France.
"We saw in supermarkets that the rise actually took place," said a spokeswoman of the Gappi, the association of French producers selling potatoes to McCain. (Additional reporting by Michael Hogan in Hamburg and Sybille De La Hamaide in Paris) I am a professional writer from China home garden manufacturers, which contains a great deal of information about diesel clothing and shoes , baby blue bridesmaid dress, welcome to visit!
Related Articles -
diesel clothing and shoes, baby blue bridesmaid dress,
|
