NewsBusinessMarket Update: Industry Navigates Trade, Processing Cuts, and Surplus Uncertainty

Market Update: Industry Navigates Trade, Processing Cuts, and Surplus Uncertainty

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As planting season continues, uncertainties around trade, processing cuts, and global markets continue to influence decision-making, says Victoria Stamper, United Potato Growers of Canada General Manager.

Processing sector volume cuts remain a significant factor across the country. Most negotiations have been finalized across provinces like Alberta, Quebec, and New Brunswick, with Manitoba feeling the impact most sharply. In Alberta, where McCain Foods is expanding its operations, there is optimism about stable or slightly increased planted acres driven by growth in the fresh and seed markets.

Trade policies and tariffs continue to weigh heavily on the industry.

“The recent tariffs affect decisions around equipment, fertilizers, and other inputs,” Stamper says. “The currency exchange rate has also been tricky — when the U.S. dollar is stronger, Canadian growers pay less for imports, but it complicates exports.”

As a result, many growers are holding off on large capital expenditures, uncertain about how ongoing trade tensions will unfold.

Seed movement provides another area of concern. So far, most seed has been shipped smoothly, but excess seed in storage, especially in Montana and Idaho in the U.S., pose questions about surplus.

“Some seed may get redirected from processing to fresh planting, which adds another layer of uncertainty,” she says.

Across the border, Stamper says planting is progressing well, with Idaho nearing completion thanks to favourable weather.

“There’s concern that the varieties typically used for processing in Idaho might shift more toward fresh use because of volume restrictions,” she says, noting that this “could impact the overall crop profile and market balance.”

Despite the hurdles, most growers maintain a sense of resilience.

“They’re feeling cautious but optimistic,” Stamper says. “Adaptability is the name of the game this year. Those who navigate these uncertainties strategically will emerge stronger on the other side.”

United Potato Growers of Canada is a non-profit association with the mission is to provide potato industry information, intelligence, and analysis, that allows producers to make timely informed production and marketing decisions.

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