What are the reasons of decrease in potato prices?

One of the main reasons for the decrease in potato prices is overproduction. This can occur due to a number of factors, including favourable weather conditions, increased acreage planted, and improved farming techniques. When there is too much supply of potatoes on the market, prices will naturally decrease in order to encourage consumers to purchase more.

2. Competition from other crops

Potatoes also face competition from other crops, such as rice and wheat. When prices for these crops are high, farmers may switch to growing them instead of potatoes, leading to a decrease in potato production and an increase in prices. However, when prices for these crops are low, farmers may switch back to growing potatoes, leading to an increase in potato production and a decrease in prices.

3. Changes in consumer demand

Consumer demand for potatoes can also affect prices. If there is a decrease in demand for potatoes, such as due to a change in dietary preferences, prices will likely decrease. Conversely, if there is an increase in demand for potatoes, such as due to a growing population, prices will likely increase.

4. Government policies

Government policies can also have a significant impact on potato prices. For example, government subsidies or import tariffs can make potatoes more or less expensive for consumers, affecting demand and prices.

5. Food waste

Food waste is another factor that can affect potato prices. When a large amount of potatoes go to waste, it reduces the overall supply of potatoes on the market, leading to an increase in prices. However, when food waste is reduced, it increases the overall supply of potatoes on the market, leading to a decrease in prices.