Egyptian potato exports to Asia immune to red sea crisis

The outbreak of the Red Sea crisis has taken its toll on many Egyptian export campaigns - citrus fruits being the first casualty - but it seems that the potato export campaign is holding up well. 

Yassen Abdelhay, an Egyptian potato exporter, and export advisor at Arafa Company:

"At least that's the case for our company, as it is for others of the same size. There are certainly higher transport costs and logistical complications, but export volumes are not affected."

The potato sector owes its immunity to supply chain problems to the bigger crisis in global production of this essential crop for consumption.

Yassen Abdelhay:

"Demand is simply too strong in Asian markets, and the main producing countries are experiencing serious problems, including in Asia."

"Potatoes have to reach their destination, even if they have to make the detour via the Cape of Good Hope. What also helps to mitigate the situation are the huge quantities exported. In Egypt, for example, we get the lowest transport prices on the market because of the quantities involved in potato exports."

The exporter describes a crisis behind the crisis

Yassen Abdelhay:

"The global fresh produce market is facing a number of challenges that could lead to a shortage of potatoes in 2024. Climate change and export bans imposed by major producing countries are among the issues causing concern. Experts warn that these challenges could lead to higher prices in the potato market."