Idaho Potato growers approve contracts with Simplot, McCain

Idaho potato growers accept slight price cut in processing contracts

Idaho Potatoes Areas

March 05, 2013
Idaho potato growers at a Monday meeting in Burley approved processing contracts with J.R. Simplot and McCain Foods that both include payment increases averaging 1.6 percent.

Growers had previously approved a contract with Lamb Weston, which also includes a 1.6 percent average payment increase.

"The majority of growers supported the position the processors have taken, I think with the understanding that it's going to result in a reduced margin for us to grow a quality product if we have expansions we anticipate for zebra chip (programs),"said Dan Hargraves, executive director of Southern Idaho Potato Cooperative, which represents Idaho growers in negotiations with processors.


Most of the discussion during the meeting centered around stricter standards in the contracts regarding sugar ends -- high sugar accumulations toward the ends of potatoes, which hurts fry quality and tends to be caused by hot weather.
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