Idaho Potato growers hopeful things are turning around

The last couple of years have been tough on our potato industry. With a high supply and a low demand, it's been a farmer's nightmare. But this year, farmers say things should turn around.

Last year the potato industry was hit with the perfect storm. "Increased in supply and decrease in demand for potatoes and two of those together led to a much lower price,"explained Paul Patterson, an Agricultural Economist at the University of Idaho Extension.

Leaving some farmers out hundreds of thousands of dollars and statewide the industry is projected to lose more than $140-million for the loss of value in 2009 crops.

Currently farmers costs are higher than what they're paid for. "Now because of storage costs they probably have about $8 in the potatoes that they are now selling for between $3 and $4 so they are really getting hammered. They are getting a little less than half of what it costs them to produce these potatoes,"explained Patterson.

Idaho Potato farmer Matt Gellings is hopeful things will be different this year, "Shipments are coming up a little bit, demand is coming up a little, and maybe people are realizing that potatoes are pretty good value for their money. Farmers are the eternal optimist, we always feel like things are always going to work out."

And just like past years, farmers are actively working to balance the supply and demand.

"More acres, more potatoes and you have a year like this and its going to drive the costs down. So a lot of the farmers are taking some reduced acreages. People who might have planted x-amount are reducing it by 25-30% this year to see if they can kind of get that under control. And then trying to keep their expenses down,"Gellings said.

And since this year is a major catch up farmers are paying even closer attention to how much they yield on the limited acres they plant.