Farmers and traders in the eastern districts are not getting the expected price for their potatoes at the Food Corporation of Bhutan’s Samdrup Jongkhar auction yard these days. Despite spending days at the auction yard, some of them have not been able to fetch favourable prices.
When the potato auction started on the 15th of last month, potato growers initially fetched Nu 27 per kilogram. However, over time, prices declined in the yard.
As of today, potato growers are only able to fetch Nu 17 for a kilogram of small-sized potatoes and Nu 21 for large-sized potatoes.
This pricing has left growers and local traders dissatisfied. They said receiving Nu 20 per kilogram for large-sized potatoes will not be profitable.
Kinga Wangchuk, came all the way from Trashi Yangtse with around two truckloads of potatoes to sell at the auction yard. However, he has been able to sell only the small-sized potatoes. He still has over 150 sacks of large-sized potatoes unsold after failing to get his expected prices.
He had purchased the potatoes from villagers at Nu 20 and hoped to sell them at a better price.
“I brought around 25 metric tonnes of potatoes here but if I sell them at the current rate, I will incur a loss of about Nu 100,000. So, I haven’t sold them yet. I am hoping that the prices will increase in the coming days. If I can get Nu 22 to 23 per kilogram, it will at least cover the transportation charges. That’s why I am waiting.”
Meanwhile, some potato growers had to sell their potatoes at auction rates where Indian bidders from across the border also participated in the auction.
“We are buying potatoes here at a loss. The prices are high here but in India, we get lower prices as Bengal potatoes are available. In India, it’s 15 rupees for a kilogram of potatoes,” said Mohammad Ali, a bidder.
“It is not very profitable. We buy potatoes from the village at Nu 20. I have brought about three trucks here but at the auction yard, we are only getting Nu 17 to 20 per kilogram. So, for each truckload, we are incurring a loss of Nu 20,000,” said Chogyel, a potato trader.
“We came here with the expectation of making some profit. But the prices here are lower, so we are running at a loss,” said Terza Wangdi, a farmer from Trashigang.
Meanwhile, auction yard officials said that fetching Nu 19 to 20 is still considered a good price. They added that most local traders directly sell potatoes across the border, even at lower prices compared to auction rates.
The availability of Bhutanese potatoes in India is also affecting the auction prices.
“The price fluctuates based on demand and supply. Currently, there is less demand from India. Moreover, many traders directly sell potatoes to India at lower prices, which affects the auction prices,” said Sawdev Koirala, complex manager of FCBL in Samdrup Jongkhar.
As of now, the FCB auction yard in Samdrup Jongkhar has exported more than 180 metric tonnes of potatoes to India.
The potato auctioning will continue until December.
Kinley Wangchuk, Samdrup Jongkhar
Edited by Sonam Pem
