West Bengal Potato Farmers Cut Planting Amid Price Slump

AGRICULTURE
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AuthorAarav Shah|Published at:
West Bengal Potato Farmers Cut Planting Amid Price Slump

West Bengal potato farmers are reducing early-season planting as record supply from the 2025-26 harvest keeps wholesale prices suppressed. With prices failing to cover costs and cold storage inventories remaining high, farmers are struggling, which could impact total production for the current cycle.

Potato farmers in West Bengal are scaling back early-season cultivation for the 2026-27 cycle as a supply surplus from the previous year continues to hurt profitability. The state, which is a major producer, recorded a bumper harvest of approximately 140 lakh tonnes in the 2025-26 season. This large supply has caused a significant accumulation of stock in local cold storage facilities, with usage reaching nearly 80 lakh tonnes at its peak, well above the typical average.

Financial Pressure on Farmers

The current market conditions have made farming difficult for many producers. With current factory-gate prices for the popular Jyoti variety hovering around ₹500 per quintal, the net profit for farmers is slim, often between ₹150 and ₹170 after accounting for production costs. This narrow margin is unsustainable, leading many farmers to reconsider their planting schedule for the current season. Wholesale market prices in Kolkata reflect this pressure, currently trading at ₹11 to ₹12 per kg compared to ₹15 per kg during the same period last year.

Competition and Market Dynamics

The state's potato market is also facing challenges from competition. Trade organizations like the West Bengal Cold Storage Association and the Paschim Banga Pragatishil Alu Byabsayee Samiti have pointed out that historical restrictions on interstate movement allowed producers from Uttar Pradesh to gain a stronger foothold in traditional West Bengal markets, such as Odisha, Bihar, Jharkhand, and Assam. While the state government has provided some relief through a rail-based transport subsidy of ₹100 per quintal, industry groups argue that a road transport subsidy is necessary to help move the remaining 37 to 38 percent of cold storage stock.

Future Outlook

The total land used for potato cultivation in West Bengal stood at 5 lakh hectares in the 2025-26 season. However, the current liquidity crunch among farmers may lead to a noticeable contraction in the area sown this year. The immediate financial future of the sector depends on whether prices can recover in the coming month. Investors and stakeholders should track cold storage inventory levels and any further government interventions in transport logistics, as these factors will influence both the supply availability and the pricing trend for the upcoming season.

Disclaimer: This article is published for informational purposes only. This is not a buy sell recommendation.