Brazil: Excess supply in markets keeps prices low

This week, in the sum of the business days after Carnival (06 and 03/07), the average price of Ágata special potatoes was R$ 48/25 kg bag in the wholesale trade of São Paulo (SP), a drop of 6.7% compared to the previous week; R$ 46/bag in Belo Horizonte (MG), stable, and R$ 46/bag in Rio de Janeiro (RJ), stable. 

The drop in prices continues to be attributed to oversupply in the market. The producing regions in the South, such as Guarapuava (PR) and Água Doce (SC), are at the peak of the harvest. The Cerrado Mineiro has been increasing the extraction of tubers each week, as the season intensifies. 

In all regions, hot weather is limiting the time potatoes remain in the ground and, as a result, producers are forced to harvest in a way that prevents the skin from darkening and rotting. In addition, Chapada Diamantina (BA) has been experiencing high productivity and intense harvesting, which also contributes to greater supply at wholesalers. 

Next week, as temperatures are expected to drop a bit, supplies may be a little lower. 

But everything indicates that March will offer a lot of potatoes on the market.