Thursday March 12th
I spent the morning visiting the farm of Eric Avermaete in Linter. Also joining us was Toon Deukelaert from the Belgium Federation of Agriculture. Eric was loading some potatoes for shipping to his processing customer when I arrived. He has a very modern operation that would be considered a larger Belgium potato farm. He primarily rotates his potatoes with cereals and sugarbeets. He grows the varieties Challenger, Marque, Innovator and Bintje. He has modern potato storages and the latest farm equipment. He does not use custom services. I was very impressed with his focus on productivity and quality production in a sustainable way. He is the 3rd generation running his farm and he has at least one son that will be continuing on with the business. Eric also owns a farm equipment dealership. He provided an excellent overview of the current state and future of the processing industry from a producer's persepective. He is optimistic about the future of his business.
I travelled in the afternoon to Pomuni, a fresh and frozen potato company. I visited the Ranst site, but they also have another site in Thorembais-les-Beguines, Belgium and Esquelbecq, France. It is a family (3rd & 4th generation) owned and operated business. I was given an excellent overvview of their business by Ben and Nele Muyshandt. They are an integrated company that is a leader dealing in potato growing, purchase, retail and processing of potatoes. They handle approximately 200,000 tons of potatoes per year and have 200 employees. They are the fresh market leader in Belgium. Their business has had significant growth around a strategy of quality products and service. Processed products include mashed potato products and croquettes. They are optimistic about the future growth of their business.
Friday March 13th
I spent the morning with Geert Vansteelant in Litohervelde. He is a potato producer but also does custom services for many other producers. He will cut seed, plant and harvest potatoes for other producers. Most potato producers hire someone like Geert to plant and harvest their potatoes. Geert has 2 X 4 row harvesters and 3 X 2 row harvesters. Geert had a very impressive operation. He provided excellent insights into some of the pest challenges they have. Most of his producers have livestock as well they produce cereals and corn. They have so many pigs in the region that getting rid of the manure is a challenge. N and P levels are high in the environment and have led to regulations around application amount. He is optimistic about the future of his business.
I spent the afternoon with Mark Goeminne and Ilse Eeeckhout at PCA. PCA is a farm organization that provides field trials and rextension services for producers. Producers pay a membership to belong. We discussed many things including their late blight forecasting program, diseases, pests, research, cost of production, etc.
Saturday March 14th
Romain took me to the beautiful city of Bruges and the highlight was the "Fry Museum"
Thanks again for everything you have done this past week Romain. You are a tremendous ambassador for the Belgium Potato Industry!
Some general points about the Belgium Processing Industry:
To summarize some general points about the Belgium Processing Industry (no particular order):
- The area of the country is half the size of NB, Canada (or 6 times bigger than PEI) but has 11 million people.
- Approximatley 40,000 farms.
- The potato industry has had significant growth over the last 25 years primarily driven by processing export growth.
- The country now produces 80,000 ha of potatoes.
- There are many producers, up to 7,000 so few ha per farm.
- Land is very expensive, over 50,000 euros per ha.
- Most farms contract planting and harvesting operations to a custom service provider because they cannot justify owning their own (because of small size).
- Most farms have livestock and rotate potatoes with cereals and surgarbeats so do not rely fully on the potato crop.
- 90% of potatoes go to the processing market and 10% to the fresh market.
- There are many processing plants (15+ plants), a number of which are locally owned. There are also multinational processing companies.
- Processors are in close proximity to producers and close proximity to seaport.
- Only 60-65 % of the processing crop is contracted.
- 2015 open market price is only 20-25 euros per ton because of over supply that was the result of a big crop in 2014.
- Bintje (yellow flesh variety) is the number one variety. Others include Nicola, Charlotte, Fontana, Challenger, Innovator etc.
- Average yield is high at approximately 45 to 50 tons / ha.
- Cost of production ranges from 3500 to 5000 euro per ha.
- Government has regulations on rotation, amount of fertilizers applied and pesticide use.
- There seems to be very little if any (very limited) government subsidies.
- There seems to be good research and extension support.
- Despite current over-supply and depressed open market prices, industry remains optimistic about the future of the industry.
Stay Tuned for Updates next week from Netherlands!
I spent the morning visiting the farm of Eric Avermaete in Linter. Also joining us was Toon Deukelaert from the Belgium Federation of Agriculture. Eric was loading some potatoes for shipping to his processing customer when I arrived. He has a very modern operation that would be considered a larger Belgium potato farm. He primarily rotates his potatoes with cereals and sugarbeets. He grows the varieties Challenger, Marque, Innovator and Bintje. He has modern potato storages and the latest farm equipment. He does not use custom services. I was very impressed with his focus on productivity and quality production in a sustainable way. He is the 3rd generation running his farm and he has at least one son that will be continuing on with the business. Eric also owns a farm equipment dealership. He provided an excellent overview of the current state and future of the processing industry from a producer's persepective. He is optimistic about the future of his business.
I travelled in the afternoon to Pomuni, a fresh and frozen potato company. I visited the Ranst site, but they also have another site in Thorembais-les-Beguines, Belgium and Esquelbecq, France. It is a family (3rd & 4th generation) owned and operated business. I was given an excellent overvview of their business by Ben and Nele Muyshandt. They are an integrated company that is a leader dealing in potato growing, purchase, retail and processing of potatoes. They handle approximately 200,000 tons of potatoes per year and have 200 employees. They are the fresh market leader in Belgium. Their business has had significant growth around a strategy of quality products and service. Processed products include mashed potato products and croquettes. They are optimistic about the future growth of their business.
Friday March 13th
I spent the morning with Geert Vansteelant in Litohervelde. He is a potato producer but also does custom services for many other producers. He will cut seed, plant and harvest potatoes for other producers. Most potato producers hire someone like Geert to plant and harvest their potatoes. Geert has 2 X 4 row harvesters and 3 X 2 row harvesters. Geert had a very impressive operation. He provided excellent insights into some of the pest challenges they have. Most of his producers have livestock as well they produce cereals and corn. They have so many pigs in the region that getting rid of the manure is a challenge. N and P levels are high in the environment and have led to regulations around application amount. He is optimistic about the future of his business.
I spent the afternoon with Mark Goeminne and Ilse Eeeckhout at PCA. PCA is a farm organization that provides field trials and rextension services for producers. Producers pay a membership to belong. We discussed many things including their late blight forecasting program, diseases, pests, research, cost of production, etc.
Saturday March 14th
Romain took me to the beautiful city of Bruges and the highlight was the "Fry Museum"
Thanks again for everything you have done this past week Romain. You are a tremendous ambassador for the Belgium Potato Industry!
Some general points about the Belgium Processing Industry:
To summarize some general points about the Belgium Processing Industry (no particular order):
- The area of the country is half the size of NB, Canada (or 6 times bigger than PEI) but has 11 million people.
- Approximatley 40,000 farms.
- The potato industry has had significant growth over the last 25 years primarily driven by processing export growth.
- The country now produces 80,000 ha of potatoes.
- There are many producers, up to 7,000 so few ha per farm.
- Land is very expensive, over 50,000 euros per ha.
- Most farms contract planting and harvesting operations to a custom service provider because they cannot justify owning their own (because of small size).
- Most farms have livestock and rotate potatoes with cereals and surgarbeats so do not rely fully on the potato crop.
- 90% of potatoes go to the processing market and 10% to the fresh market.
- There are many processing plants (15+ plants), a number of which are locally owned. There are also multinational processing companies.
- Processors are in close proximity to producers and close proximity to seaport.
- Only 60-65 % of the processing crop is contracted.
- 2015 open market price is only 20-25 euros per ton because of over supply that was the result of a big crop in 2014.
- Bintje (yellow flesh variety) is the number one variety. Others include Nicola, Charlotte, Fontana, Challenger, Innovator etc.
- Average yield is high at approximately 45 to 50 tons / ha.
- Cost of production ranges from 3500 to 5000 euro per ha.
- Government has regulations on rotation, amount of fertilizers applied and pesticide use.
- There seems to be very little if any (very limited) government subsidies.
- There seems to be good research and extension support.
- Despite current over-supply and depressed open market prices, industry remains optimistic about the future of the industry.
Stay Tuned for Updates next week from Netherlands!