North American Sweet Potato Harvest Starts as High Prices Cloud European Demand
North America’s sweet potato harvest has begun, but high domestic prices may limit exports to Europe. Egyptian and Portuguese supplies are keeping the European market well stocked and putting pressure on open-market prices.
North American harvest begins
The North American sweet potato harvest has started, but exporters face an uncertain European market. Pablo Fitskie of Scott Farms International’s Dutch sales office told FreshPlaza that it remains unclear whether a significant volume of the new crop will be shipped to Europe.
The main obstacle is the price gap between North America and competing origins. Fitskie said prices in America are currently too high for European buyers and that US growers can obtain better returns by selling sweet potatoes in their domestic market. That reduces the commercial incentive to export even as the new harvest becomes available.
Egypt and Portugal cover European demand
European buyers are not facing an immediate shortage. Egypt is expected to continue supplying the market, while Portuguese sweet potatoes are also arriving. According to Fitskie, the combination has created sufficient availability and very low prices, particularly outside fixed retail contracts.
The retail contract market is divided among suppliers, but conditions are more difficult on the open market. Fitskie said sweet potatoes there are being offered at almost any price. Companies without established sales channels therefore face greater risk, while suppliers with contracted retail programs have more predictable outlets.
Trade patterns within Europe are reinforcing Egypt’s position. Southern European countries already import much of their sweet potato supply directly from Egypt. Egyptian produce is also gaining broader acceptance in Germany and the United Kingdom, reducing the space traditionally available to North American exporters.
North American sweet potatoes retain an advantage in product stability, Fitskie said. The question is whether European customers will pay enough for that characteristic when lower-priced alternatives are readily available. The market balance has changed substantially over recent years, making the current season different from earlier campaigns.
Scott Farms expands its Egyptian base
Scott Farms anticipated the shift last year by acquiring United Farms and investing in its own Egyptian production. The company described its first growing season there as successful and has since opened a second warehouse. It also operates its own nursery for young plants and has built a dedicated curing and storage facility.
Those investments allowed Scott Farms to offer Egyptian sweet potatoes throughout the year for the first time last year. Fitskie said the company expects to maintain year-round availability again this year. The strategy gives it access to an origin that is expanding rapidly and is increasingly competitive in several European markets.
Organic sweet potatoes remain a limited part of the business and are not showing strong growth, according to Fitskie. Industrial processing continues to provide a useful outlet, although he sees a need to explore additional applications. Scott Farms already processes sweet potatoes into liqueurs, gin and rum, mainly for sale in the United Kingdom, and views these products as a potential source of added value in other markets.
