McCain may be forced to forgo Ballarat potatoes

McCain Foods says it might have to rely on other sources for its potatoes this season, after last week's heatwave ruined many of the crops near Ballarat.

Most potato growers in the region sell their produce to the Ballarat-based frozen food company.

The farmers recently negotiated a 24 per cent pay increase with McCain Foods, but last week's heatwave has devastated crops.

Some farmers are reporting losses of up to seven tonnes per hectare.

McCain Foods Australian operations managing director Steve Yung says it is worried about what impact the crop losses will have on the growers and their financial positions.

He says the company can source potatoes from elsewhere, if the region's harvest falls short.

Farmers say crop losses could total $3.5 million.