Growers warn potato price is set to soar – keep an eye on your chips

The price of the humble spud is set to jump in the latest cost-of-living crunch, but chip-lovers vow not to give up their favourite snack. Will you?

Potato growers are warning that the price of the humble spud could jump by at least 30 per cent in the coming weeks in the latest cost-of-living crunch.

It means shoppers could be expected to pay up to $12 for a 4kg bag of brushed potatoes in major supermarkets. Growers say potato shortages are being caused by soaring fuel prices and production costs.

It comes after the cost of iceberg lettuce surged to $12 in some supermarkets in recent weeks amid ongoing produce shortages.

Potato grower Tony Cummaudo said consumers could pay at least 30 per cent more for potatoes in coming weeks. “The cost of production has gone up, between fertiliser, wages, machinery – everything has gone up through the roof,” Mr Cummaudo said.

“The high cost of living is affecting everybody – this has caused a flow-on effect for farmers.”

Michael Coote, chief executive of AUSVEG, which is the industry body representing Australian growers, said: “The cost of production is increasing but the price return that growers are getting paid for fresh vegetables isn’t mirroring the cost environment that they’re facing”.

Students, Amber Van Rumpt, 17, and Georgia Zerella, 16, at Chicken Chef in Blair Athol, won’t be deterred by the price of potatoes. Picture: Matt Loxton

Terry, owner of Chicken Chef in Blair Athol, says the cost of freight to get potatoes meant the price of chips was also likely to increase.

“There’s challenging times at the moment, everything is going up all around us,” he said.

“It’s quite difficult to keep up, how often can you increase your prices?

“We don’t use frozen chips, we use fresh potatoes and the trucks come from the Adelaide Hills, diesel cost is now reflecting on the potato price as well.

“Apart from that, that’s one of the main factors but the eastern seaboard is completely flooded and they lost all their crops.

“What ever potatoes are around, they’ve just gone through the roof.”

Mark Pye with daughter Renee from the Pye Group family at Parilla Premium Potatoes. Picture: Matt Turner

Family owned Parilla Premium Potatoes and Zerella Fresh marketing manager Renee Pye said potatoes are a winter staple for families.

“If you look at potatoes and what they’re worth per kilo, which is about $3.30 if you’re going to buy it from the supermarket’s, they’re still quite cheap if your comparing them to other fresh vegetables on the shelf,” she said.

“With vegetables and the amount of hard work that goes into it and resources that Australian farmers put into it, people don’t actually recognise the value in that product that they’re purchasing.

“It’s not just a commodity that is going to sit at the same price all day every day.

“We’ve had to increase our base prices as well that we’re selling to the supermarket’s because of the increase in fuel, fertiliser and wages, and a few other things in between, like packaging.”

National Farmers’ Federation president Fiona Simson said many farmers were feeling the impact of “eye-watering” production costs.

“This includes increases in fertiliser up to 89 per cent on the same time last year and fuel prices jumping to about 50 per cent higher,” Ms Simson said.

“Energy is also a major input cost and prior to this energy crisis, a large dairy farmer would spend $100,000 to $150,000 on electricity annually. This number is edging towards $250,000 for a contract negotiated today,” she said.

Originally published as Growers warn potato price is set to soar – keep an eye on your chips