Lamb Weston chooses generic price reduction

Potato processor Lamb Weston has decided to apply a generic price reduction for all variety groups in the 2026-2027 season. This amounts to a price decrease of 13% to 20% compared to last season. For the variety Ivory Russet, the company continues to pay the highest prices. The strategy that the American potato processor is outlining for the upcoming growing season is similar to other processors in the Netherlands and Belgium. In doing so, it is focusing more on the premium varieties, Innovator and Ivory Russet, and is primarily reducing its presence in the Fontane segment. This also includes Challenger. Fontane and Innovator Delivery of the main harvest from the land begins in week 36 at €12.25 per 100 kilos for Fontane. In week 17, the price is €22.65, and in week 26, €25.05 is paid out. Those delivering from a mechanically cooled store can expect an additional €1.20 on that price. This compensation increases to €1.90 for deliveries in mid-August. Innovator will see prices of €14.75 in week 36, €25.15 in week 17, and €27.55 in week 26 in the three periods. The mentioned prices include storage compensation, but exclude premiums, surcharges for mechanical cooling, and VAT. The seed potato prices are certainly decreasing this season, which slightly offsets the reduction in contract prices. Ivory Russet Lamb Weston has been working with the variety Ivory Russet for some time and continues to reward this variety slightly better than Innovator. Overall, the price level is €0.50 per 100 kilos higher than what it pays for Innovator. This white-fleshed variety is used in the premium QSR (quick service restaurant) segment. In addition to price, the volume secured is at least as important for growers. The processor states that it does not want to go into detail about the policy applied in this regard. It is clear that potato growers can secure less product at a fixed price, with the previously mentioned varietal differences. Some mention that their contract is cut back from 40 to 30 tonnes per hectare, covered by a fixed price. Others talk about a 15% area reduction.