South Africa eyes Russian market for potato exports

SOUTH AFRICA – South Africa is working on expanding its potato exports, with Russia emerging as a potential new market.

Talks between the two countries began on February 3, according to Russia’s Federal Service for Veterinary and Phytosanitary Surveillance (Rosselkhoznadzor).

South Africa is the second-largest exporter of potatoes in Africa, following Egypt. The country produces around 2.5 million tonnes of potatoes annually, while domestic consumption stands at about 2 million tonnes. This leaves nearly 500,000 tonnes available for export each year.

At present, most of these surplus potatoes are shipped to other African nations. However, with Russia looking for additional suppliers, South African farmers see an opportunity to expand their reach.

The Russian market is already significant, with the country importing more than $128.6 million worth of potatoes in 2023, according to TradeMap. Most of these imports—about 76%—were for direct consumption.

Russia’s potato supply has been affected by an 11% dnrop in production this year due to bad weather and a reduction in planted areas.

This shortfall has created demand for imports, and South African producers are hoping to take advantage of this shift.

Adding to the appeal is Russia’s recent approval to import up to 150,000 tonnes of potatoes duty-free until July 31, following a decision by the Eurasian Economic Commission.

Despite the opportunities, entering the Russian market will not be easy. Egypt and Azerbaijan currently dominate potato exports to Russia, accounting for over 86% of imports in 2023.

These countries have well-established trade networks and supply chains, which gives them an advantage over new entrants.

While South Africa has a stable supply of fresh potatoes year-round, gaining a foothold in Russia will require competitive pricing, quality assurance, and strong business relationships.

South African exporters will need to establish partnerships with Russian importers and navigate regulatory requirements to secure a spot among the country’s top suppliers.

The South African potato industry has shown resilience and adaptability in recent years. The sector has benefited from investments in commercial farming and irrigation systems, ensuring steady production.

The country also has a strong seed potato industry, which helps maintain high-quality standards for exports.

With talks still ongoing, South African potato producers remain hopeful that an agreement will be reached. If successful, the deal could open doors for expanded trade and provide a reliable outlet for the country’s surplus production.

The next few months will be critical in determining whether South Africa can establish itself in this competitive market. While challenges exist, industry leaders believe the country’s steady production and export capacity position it well for success.

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