Potato flour, flakes, granules and pellets market in MERCOSUR

Earlier Report Observations

The market for potato flour, flakes, granules and pellets in MERCOSUR contracted from 18 608 t in 2018 to 14 444 t in 2020, reflecting a significant downturn in volume over two years.

A sustained recovery began in 2021, with the market expanding each year to reach 21 430 t by 2023. This growth phase was marked by the entry of the major player Lamb Weston, which announced the arrival of its French Fries brand in the region, an event that increased activity and likely stimulated demand across the broader potato products sector, including for processed ingredients like flakes and granules.

Production potato flour, flakes, granules and pellets in MERCOSUR

In kind, 2017-2020, t

Top producers of potato flour, flakes, granules and pellets, 2017-2020

World map of production of potato flour, flakes, granules and pellets, 2017-2020

After two consecutive years of decline, MERCOSUR's production of potato flour, flakes, granules, and pellets rebounded in 2020. That year, the region produced 7,965 tonnes, marking a significant 11.4% increase compared to 2019. However, looking at the broader period from 2017 to 2020, overall production fell by 31.5%, with an average annual decline of 11.8%. The lowest production level was recorded in 2019 at 7,151 tonnes, which also saw the steepest year-on-year drop of 34.2%.

Annual dynamics of production in MERCOSUR in kind, 2017-2020, t

Exports potato flour, flakes, granules and pellets from MERCOSUR

Exports in kind, t

Export volumes showed considerable volatility throughout the period. They reached their peak in 2017 before plummeting to a low in 2018, representing a dramatic 46-fold difference between those two years. In 2020, MERCOSUR exported 397 tonnes of potato flour, flakes, granules, and pellets, which was a substantial 179.6% increase from 2019. The lowest export volume was recorded in 2018 at just 11 tonnes, accompanied by the largest decline of 97.8% that year. Conversely, 2019 saw the most significant growth, with exports surging by 1,187.7%.

Annual dynamics of product's exports from MERCOSUR in kind, 2017-2020, t

Between 2017 and 2020, the United States, Japan, and Bolivia emerged as the primary destinations for MERCOSUR's exports of potato flour, flakes, granules, and pellets in volume terms. The United States accounted for 17.1% of exports, Japan for 15.3%, and Bolivia for 0.8%. Together, these three markets represented 33.2% of total export flows.

Structure of product's exports in kind by countries, 2017-2020

World map of product's exports from MERCOSUR in kind, 2017-2020

Exports in value, K $ US

Export values exhibited an unstable pattern over the timeframe. They peaked in 2017 and hit their lowest point in 2018, with a 32-fold variation between these two years. In 2020, MERCOSUR's exports of potato flour, flakes, granules, and pellets were valued at 413 thousand US dollars, reflecting a sharp 66.0% increase compared to 2019. The minimum value was recorded in 2018 at 22 thousand US dollars, which also saw the largest decline of 96.9%. In contrast, 2019 experienced the most substantial growth, with export values jumping by 1,007.7%.

Annual dynamics of product's exports from MERCOSUR in value, 2017-2020, K $ US

From 2017 to 2020, Japan, the United States, and Panama were the leading but not dominant buyers of potato flour, flakes, granules, and pellets from MERCOSUR in value terms. Japan accounted for 12.8% of export value, the United States for 5.6%, and Panama for 2.1%. Collectively, these three markets made up 20.5% of total export value, with numerous smaller partners comprising the remainder.

Structure of product's exports in value by countries, 2017-2020

World map of product's exports from MERCOSUR in value, 2017-2020

Imports potato flour, flakes, granules and pellets to MERCOSUR

Imports in kind, t

In 2020, MERCOSUR imported 6,876 tonnes of potato flour, flakes, granules, and pellets, which was 23.7% lower than in 2019. Over the period from 2017 to 2020, imports declined by 33.8%, with an average annual decrease of 12.8%. The largest drop occurred in 2018 at 25.4%, while the most significant increase was recorded in 2019 at 16.3%.

Annual dynamics of product's imports to MERCOSUR in kind, 2017-2020, t

From 2017 to 2020, Germany, Belgium, and the Netherlands remained the top suppliers of potato flour, flakes, granules, and pellets to MERCOSUR in volume terms. Germany accounted for 34.1% of imports, Belgium for 32.9%, and the Netherlands for 14.5%. Together, these three countries supplied 81.5% of total import volumes.

Structure of product's imports in kind by countries, 2017-2020

World map of product's imports to MERCOSUR in kind, 2017-2020

Imports in value, K $ US

In 2020, MERCOSUR's imports of potato flour, flakes, granules, and pellets were valued at 9,004 thousand US dollars, representing a 32.6% decrease from the previous year. Over the 2017-2020 period, import values fell by 34.8%, with an average annual decline of 13.3%. The largest increase was recorded in 2019, with import values rising by 26.1%.

Annual dynamics of product's imports to MERCOSUR in value, 2017-2020, K $ US

Throughout 2017 to 2020, Belgium, Germany, and the Netherlands formed the core group of suppliers for MERCOSUR's imports of potato flour, flakes, granules, and pellets in value terms. Belgium accounted for 34.0% of import value, Germany for 31.6%, and the Netherlands for 13.5%. Collectively, these three markets represented 79.1% of total import flows.

Structure of product's imports in value by countries, 2017-2020

World map of product's imports to MERCOSUR in value, 2017-2020