Mountain View Acres

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May/June 2016

Country

Mountain View Acres A Look at Grower Returns POTATO COUNTRY 6777 NE Vinings Way #1324, Hillsboro, OR 97124

CHANGE SERVICE REQUESTED

USPB Has New Name, Leaders

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Potato Country

May/June 2016

THAT’S HOW MOVENTO � INSECTICIDE MAKES POTATOES FEEL. In trials and grower reviews, Movento® insecticide delivers proven protection against a broad spectrum of above-ground pests, including aphids, psyllids, and mites. Plus, a foliar application of Movento protects against below-ground pests like nematodes and wireworms, with two-way systemic action that moves throughout the plant to protect the parts pests seek most. With Movento as part of your ongoing pest management program, you’ll have stronger, healthier plants that produce a higher quality crop. For more information, contact your retailer or Bayer representative or visit www.Movento.us.

Bayer CropScience LP, 2 TW Alexander Drive, Research Triangle Park, NC 27709. Always read and follow label instructions. Bayer, the Bayer Cross, and Movento are registered trademarks of Bayer. For additional product information, call toll-free 1-866-99-BAYER (1-866-992-2937) or visit our website at www.BayerCropScience.us. CR0114MOVENTA084V00R0

Vol. 32 No. 4

www.potatocountry.com

Country

Columbia Publishing 6777 NE Vinings Way #1324 Hillsboro, Oregon 97124 Phone: (509) 248-2452

Table of Contents

Editorial Board

May/June 2016

10 Potatoes USA Annual Meeting

Washington State Potato Commission

United States Potato Board Now Doing Business as Potatoes USA

Chris Voigt Executive Director

(509) 765-8845

12 Mountain View Acres

Operation Diversification

20 Washington State Potato Commission Cooking Up Opportunities

Oregon Potato Commission

(503) 239-4763

Bill Brewer Executive Director

Insect Identification Quiz: Andy Jensen, Ph.D., regional research director, Washington, Idaho and Oregon potato commissions. Disease Identification Quiz: Dr. Jeff Miller, plant pathologist and president and CEO of Miller Research, Rupert, Idaho.

Potato Country Contacts Denise Keller ....................... [email protected] Editor

Dishes prepared for promotions in Vietnam and Taiwan showcase the versatility and eye-appeal of potatoes. Photos courtesy Potatoes USA. See story on page 20.

J. Mike Stoker [email protected] Publisher / Advertising Manager

Jeraleh Kastner ................. [email protected] Production / Circulation Manager

D. Brent Clement [email protected] Consultant

EDITORIAL INFORMATION Potato Country is interested in newsworthy material related to potato production and marketing. Contributions from all segments of the industry are welcome. Submit news releases, new product submissions, stories and photos via email to: [email protected].

Departments 6 Insect Quiz 8 PGW 14 Market Report

On The Cover

15 Calendar

Mountain View Acres, a 4,000-acre diversified farm in Royal City, Wash., that includes 800 acres of spuds, is transitioning from the third generation to the fourth with brothers Derek and Tyson Allred managing the operation. Photo by Denise Keller

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ADVERTISING SALES For information about advertising rates, mechanics, deadlines, copy submission, mailing, contract conditions and other information, call Mike Stoker at (509) 949-1620 or email [email protected]. SUBSCRIPTION INFORMATION U.S........................ 1 year, $18.00; 2 years $31.00, 3 years, $41.00. Canada ................. 1 year, $30.00; 2 years $49.00; 3 years 68.00. Foreign ................. 1 year, $45.00; 2 years $85.00; 3 years $121.00. Payments accepted by check, Visa, MasterCard or American Express. Subscriptions can be entered online at www.potatocountry.com. Email address changes/corrections to [email protected] or send to Potato Country, 6777 NE Vinings Way #1324, Hillsboro, OR 97124.

17 In the Market

Potato Country magazine (ISSN 0886-4780), is published nine times per year, mailed under permit No. 410, paid at San Dimas, CA. It is produced by Columbia Publishing, 6777 NE Vinings Way #1324, Hillsboro, OR 97124. Copyright 2015. All rights reserved. No part of this publication may be reproduced or transmitted in any form or by any means, electronic or mechanical, for any purpose without the express written permission of Columbia Publishing. For information on reprints call (509) 949-1620.

18 In the News

CHANGE SERVICE REQUESTED Send to: Potato Country, 6777 NE Vinings Way #1324, Hillsboro, OR 97124

16 Disease Quiz

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ELIXIR

TM

E N S D S. L A B } IS NOT URE RN AC FOR MALE PATTE w g a y n o in l a s e o g t i t Bu

G N I B T L N I E G V H E T . R P Uniquely formulated to protect potatoes.

Elixir isn’t the tonic for what ails you. New Elixir is a dry flowable, multi-site, protectant fungicide specifically designed for your potato crop. When applied at the beginning of your disease management program, Elixir controls both early and late blight. With one easy per acre use rate, Elixir can be applied up to ten times per growing season. Elixir fungicide, an effective and economical option for potato protection with very low risk of building resistance. To learn more, contact your UPI representative today.

Patent pending. Always read and follow label directions and precautions. Elixir™ and UPI logo are trademarks of United Phosphorus, Inc. ©April, 2016. UPI, 630 Freedom Business Center, King of Prussia, PA 19406. www.upi-usa.com.

Insect Identification Quiz Dr. Andy Jensen

Insects are one category (known as a “class") of animals in the larger group called arthropods (known as phylum Arthropoda). Arthropods include many familiar animals such as crabs, lobsters, shrimp, spiders, scorpions and mites as well as many other lesser-known animals. Although technically entomology is the study of insects, in practice we entomologists also work with other terrestrial arthropods. Below are four arthropods that might be found in and around potato fields.

Questions: 1. What is each arthropod? 2. How does each make its living?

A.

B.

C.

D.

This material is provided courtesy of Andy Jensen, Ph.D., Regional Research Director for the Idaho, Washington and Oregon Potato Commissions. He can be contacted at: (509) 760-4859 or [email protected]

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ANSWERS, Page 17

IN T RO DUCING – A New Mode of Action Herbicide for Potato Growers in Washington and Idaho

Attention: Potato Growers in Washington and Idaho NovaSource recently received a Special Local Need label for pre-emergence application of Linex® 4L to potatoes in Washington and Idaho providing an additional mode of action in battling key weeds. Integrating LINEX 4L into your weed control program is an excellent defense against the growing threat of resistance. LINEX 4L is known for having activity on: • hairy and eastern black nightshade • common lambquarters • redroot pigweed • kochia • grasses

Resistance is real and on the rise. And until now, there hasn’t been a new herbicide mode of action introduced in the last two decades. LINEX 4L is authorized for use as a herbicide in the states of Washington and Idaho (EPA FIFRA 24c registration). For more information or a copy of the 24c outlining the limitations of this use, visit the LINEX 4L section of novasource.com.

Creating Value Through Innovative Solutions

Always read and follow label directions. © 2016 Tessenderlo Kerley, Inc. All rights reserved. NovaSource ® and Linex® are registered trademarks of Tessenderlo Kerley, Inc.

May/June

Potato Country

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Potato Growers of Washington

Our Goal: Return a Profit to the Grower While Helping the Processor Remain Competitive in World Markets By Dale Lathim Potato Growers of Washington

I

n my last column, we discussed the differences between “wants,” “needs” and “what you can get” when it comes to contract negotiations. While it is clear that, out of necessity, this year’s negotiations were focused heavily of the “what you can get” category, the negotiations also were a perfect example of the stability that contract negotiations bring to the Columbia Basin potato industry. When prices of other commodities were going up, many growers grumbled about the fact that the potato contracts did not rise nearly as much as the price of other commodities and that on most farms, contracted potatoes were no longer the most profitable annually planted crop. At that time, my response to most who grumbled directly to me was that the entire concept of negotiated preseason potato contracts is to stabilize the industry. Hence, in the future when the prices of the other commodities that have skyrocketed come back to Earth, the contract potato price should not drop nearly as much. Now that we can see firsthand how far and fast other commodity pricing can 8

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drop, the “making the most out of what you can get” concept used in negotiating the potato contracts looks pretty good. The grumbling this year took place in the executive offices and boardrooms of the processing companies that saw the opposite of what the growers did as prices were rising. Those executives and board members were asking a lot of questions as to why the price did not follow the rest down. What this tells me is that we must be pretty close to having a fair system if some growers grumble when contract prices fail to keep pace with other commodity prices rising. And at the same time, some processing executives grumble when the contract price does not keep pace when other commodity prices fall. As you have heard me say for years, PGW’s goal is to stabilize pricing so that it is profitable for both growers and processors. As an industry, we need to keep emotions out of contract negotiations. Our focus should be on establishing a fair price for quality potatoes that pays the grower a reasonable profit while keeping the processor economically competitive in the world marketplace.

By focusing on the long-term, steady profitability of both sides, it should eliminate any reason to make drastic changes needed to account for booms and busts. You don’t have to look very far or very hard to see the impacts that are already hitting many growers of other commodities who were not able to save enough from the boom times of late to prepare for the painful bust that is coming their way. I hope you can see that your board of directors here at PGW really does have a very firm understanding of the potato markets and the direction needed to steer the growing side of our industry. Through my various contacts in the industry as well as many of their own, they have access to the latest and most comprehensive information available. This allows them to make the hard decisions necessary to maintain the stability vital to your continued success. As any industry matures, the players who make up that industry must evolve and adapt in order to survive. Your board has done a great job of doing just that, and that is why I believe that PGW is a more relevant and important part of the industry than ever before.

Your MVP this season. Orondis® fungicide, with its unique, best-in-class active ingredient for controlling oomycete fungi, is on its way to achieving Most Valuable Product status. With a remarkably low use-rate, longer-lasting systemic activity and no cross-resistance, Orondis can help make your disease-management program an out-of-the-park home run. To learn more about how Orondis can be a real game changer when it comes to your vegetable, potato or tobacco crop, visit SyngentaUS.com/Orondis.

©2016 Syngenta. Important: Always read and follow label instructions. Some products may not be registered for sale or use in all states or counties. Please check with your local extension service to ensure registration status. Orondis,® the Alliance Frame, the Purpose Icon and the Syngenta logo are trademarks of a Syngenta Group Company. MW 1ORO6003-8.375x10.875 04/16

Potatoes USA Annual Meeting

United States Potato Board Now Doing Business as Potatoes USA By Denise Keller, Editor

Potatoes USA’s 2016-17 Executive Committee includes (from left to right): Doug Poe, John Halverson, Carl Hoverson, Blair Richardson, Mike Pink, Karlene Hardy, Jason Davenport, Jay LaJoie, Tim May, Steve Gangwish, Phil Hickman and Chris Wada. Photo courtesy Potatoes USA

T

he National Potato Promotion Board has a new name and a new leadership team. The organization’s board members voted to change the group’s “doing business as” (dba) name from the United States Potato Board to Potatoes USA. This update comes on the heels of the organization’s newly created mission and strategic plan, which were also approved during the board’s 44th annual meeting, held Mar. 14-17 in Colorado Springs, Colorado.

New Mission, Strategic Plan According to its revised mission statement, Potatoes USA exists to “strengthen demand for U.S. potatoes.” Representing 2,500 family farms growing more than 600 varieties of potatoes, the organization promotes U.S. potatoes in all forms and strives to “make potatoes exciting.” The mission also calls for creating positive change in the industry through innovative, collaborative and inspiring approaches in marketing, education and research. Potatoes USA’s new strategic plan includes the collective input of over 10

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May/June 2016

450 members of the U.S. potato industry, Potatoes USA staff and the board’s agency representatives from around the world. Ideas, wants and needs were presented and documented over an 18-month period beginning the summer of 2014. With access and utilization of over $6 million in USDA funding annually, Potatoes USA works in more than 20 countries around the world. Exports of U.S. potatoes have experienced unprecedented growth over the past 30 years and now account for 18 percent of production. “In the United States, Potatoes USA is the leading organizer of potato nutrition, research, education and varietal development,” says Potatoes USA President and CEO Blair Richardson. “We will have a positive impact on long-term demand, consumer awareness, research efforts and utilization of our potatoes by foodservice and retail operators, consumers and other entities.”

New Leaders A new team of leaders has been tasked

with carrying out the new mission and strategic plan for Potatoes USA in the coming year. The organization’s grower membership elected new leadership during its annual meeting. Mike Pink of Mesa, Washington, was elected to serve as chairman of Potatoes USA. Pink is serving his fifth year on the board. In 2014-2015, he served as co-chairman of the board’s Mike Pink International Marketing Committee. He previously served three years on the International Marketing Administrative Committee. “Potatoes USA is ready to fight for the future of this industry and will take an aggressive approach in doing so,” Pink says. “The potato is an essential part of the American diet and should be something people can enjoy with pride. With its new strategic plan, mission and business name, Potatoes USA is prepared to lead the way.” Pink Farms has been a part of the Washington potato industry for the past 26 years. A frozen/process grower, Pink

The National Potato Promotion Board voted to change its “doing business as” (dba) name from the United States Potato Board to Potatoes USA.

grows Ranger Russet, Umatilla Russet and Alturas varieties. Sweet corn, field corn, seed corn, sunflowers, wheat, buckwheat, alfalfa, green peas and grass seed are grown in rotation. Pink Farms also raises cattle. Pink is currently a member of Potato Growers of Washington and has served as a board member of the National Potato Council and as a commissioner on the Washington State Potato Commission. Pink has an associate’s degree in agribusiness and is a member of the Farm Bureau and the National Federation of Independent Business. He and his wife, Davina, have three daughters: Danika, 20, Darbi, 18, and Delaney, 13.

Pink will be joined on the Potatoes USA Executive Committee by Immediate Past Chairman Carl Hoverson of Larimore, North Dakota; Domestic Marketing Co-Chairmen Jason Davenport of Arvin, California, and Chris Wada of Idaho Falls, Idaho; Research Co-Chairmen Steve Gangwish of Kearney, Nebraska, and Tim May of Imperial, Nebraska; International Marketing Co-Chairmen John Halverson of Arbyrd, Missouri, and Doug Poe of Connell, Washington; Industry Outreach Co-Chairmen Karlene Hardy of Oakley, Idaho, and Jay LaJoie of Van Buren, Maine; and Finance Chairman Phil Hickman of Horntown, Virginia.

The NUTRI-CAL Difference Unlocking The Key To Calcium Visit our Web site: www.nutri-cal.com INCREASES OVERALL POTATO YIELD

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Potato Country

11

Mountain View Acres

Operation Diversification Story and photos by Denise Keller, Editor

Derek Allred (left) is the general manager of his family’s 4,000-acre diversified farm in Royal City, Wash. His brother Tyson (right) is the farm’s controller and compliance manager.

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W

ith a wide range of crops and customers, Mountain View Acres has been experiencing the advantages of diversification in the last decade. Now, as the Royal City, Washington, farm transitions from the third generation to the fourth, broth brothers Derek and Tyson Allred believe the farm’s diversification strategy will foster the adoption of technology and techniques that will help sustain the farm for genera generations to come.

Branching Out The Allred family farms 4,000 acres on the Royal Slope including 800 acres of Ranger Russets, Umatilla Russets and Russet Burbanks for the processing market. Other crops include sweet corn, timothy, wheat, sugar snap peas, green peas, apples and cherries. In addition, the farm produces silage, grain corn, triticale and alfalfa for a large-scale dairy operated by the family. Derek has been farming for 12 years and fills the role of general manager, while Tyson returned to the farm two years ago and serves as the farm’s controller and compliance manager. Another brother runs the dairy, and a brother-in-law manages a portion of the farm’s irrigation. The men are the fourth generation of Allreds in the Washington state potato business. Their great-grandfather first grew spuds in Sunnyside and then in Quincy. Their grandpa and dad, Jerry, farmed in Royal City. Jerry started out growing for the fresh market, soon transitioned into the process market and slowly expanded acreage through the years. In the last decade, the family has diversified the farm by planting more orchards, purchasing the dairy eight years ago and increasing timothy acreage in the last few years in response to market demand. “It was a thoughtful process,” Derek recalls. “As we looked at things going forward, we knew that if we wanted to involve the family on the farm, we needed to diversify the operation.” He continues, “If we have an advantage today, it’s the diversification of crops and markets for our crops.” With some of the farm’s crops sold locally including to the dairy, while other crops such as apples and timothy are ear-

marked for the export market, the farm is able to take advantage of good trade conditions and better weather the storm when foreign markets are less favorable. Similarly, the fluctuation of open-market crops such as wheat, alfalfa, apples and corn is offset by the lower-risk contracted acreage including potatoes. “The processing market is more steady,” Derek says. “You’re not going to hit the homerun, but you’re probably not going to lose your shorts, either, on any particular year as long as you grow a good crop.” The level of diversification on the farm also helps maintain a long crop rotation, the growers say. They try to keep ground out of potatoes for at least four to six years. This has helped to reduce disease and pest pressure and to increase organic matter in the soil. The longer rotation also seems to correlate with higher specific gravities, Derek adds. Over time, the farm has been able to reduce pesticide applications as a result of long rotations in combination with frequent petiole and soil sampling.

Addressing Challenges While the variety of crops grown on the farm is somewhat unique, the challenges facing the growers are much like those on most other farms today. The Allreds feel the pressure to grow quality crops in spite of a myriad of uncontrollable variables, escalating costs and increasing regulations. “Nowadays you have to make sure all your t’s are crossed and i’s are dotted when it comes to regulations, which takes a lot more time, energy, effort and money,” Tyson says. In addition to complying with food safety regulations and ensuring employees are kept healthy and safe, the growers take on the challenge of caring for the environment. It is always their goal to apply only the amount of pesticides, fertilizers and other chemicals needed for the crop. “We really are environmentalists,” Derek explains, adding that the public’s accusation that farmers don’t care about the environment is a tough pill to swallow. “If we’re using more fertilizer than we need, we’re going to see that. It will hit us not only in our pocketbook, but it will hit us in our livelihood, which is our soil.” The Allreds also continue to fine-tune

Longtime employees, including Ron DeLay (center), help provide stability as management of the farm transitions from one generation to the next. DeLay, pictured with Derek Allred (left) and Tyson Allred (right), has been working at Mountain View Acres for 38 years.

their operation in search of the best way to keep potato shipments free of foreign materials such as caliche, the most prevalent rock on the farm. With processors becoming less tolerant of foreign materials, the growers are spending more money on manpower and equipment including the purchase of a new eliminator a few years ago. Another challenge in the field comes when digging the farm’s higher specific gravity potatoes, which bruise more easily. The growers attempt to prevent bruise by timing diggers to carry dirt up through the harvester almost to the truck, with the dirt acting as padding for the spuds. These harvest conditions require experienced employees who are familiar with the fields and equipment. The Mountain View Acres crew includes employees who have been at the farm for 38, 22 and 20 years. The farm’s retention of key employees is also proving beneficial as the next generation takes over management of the farm.

Incorporating Innovation As they take the helm at Mountain View Acres, the Allred brothers want to stay ahead of the curve in the use of new technology and feel they are in prime position to implement new, beneficial farming practices. “With the younger generation coming

up, we are more willing to try new things,” Tyson explains. “And if we can maintain our diversification and rotations, it will allow us to be more open to innovative ideas and practices,” Derek adds. “I think we can do a better job of utilizing the micronutrients and the biologicals in compost and manure when growing forage crops that will be healthy for the soil when we come back to potatoes in that field in a few years.” While the growers say that the potential benefits of biologicals intrigue them, they haven’t lost sight of the need to be wise in what they try, carefully evaluating products and practices to find what works with the farm’s soil types, rotation and climate. As young fourth-generation farmers with a large extended family in the area, Derek and Tyson anticipate the Allreds will be farming the Royal Slope for many years. That long-term vision explains the growers’ commitment to cultivating their land and their business relationships. “Maintaining high-trust relationships with customers and processors is critical to us,” Derek shares. “We want to take care of our ground, markets and customers. We have to make sure they succeed so that they’ll be willing to expand when they can, and then we can expand with them.” May/June

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Market Report

Summer Price Strength? U

SDA currently estimates 2015 potato production at 440.5 million cwt. While that is only 0.4 percent less than the 2014 crop, the production mix is much different, with more chip potatoes and fewer table potatoes than growers produced in 2014. According to USDA, fresh potato packers had shipped 3.7 percent fewer potatoes from the 2015 crop through March 31 than they shipped from the 2014 crop through the same period. April 1 potato stocks were not available at press time, but it is likely that they were down 3.7 percent from year-earlier holdings based on data for Feb. 1 stocks and usage patterns since that time. Though data on stocks and fresh potato movement suggest that open market potatoes (at least table potatoes and fry-quality potatoes) should be much higher than they were a year earlier, so far that is not the case. Historically, a 3.7 percent drop in table potato movement would be expected to generate a 20 - 25 percent increase in grower returns. This year’s price changes vary by growing area, variety and use, but very few areas have experienced price increases of the magnitude that would be expected given the supply and usage situation. Grower returns for russet table potatoes vary widely depending upon the shipping area. The San Luis Valley is the only growing area experiencing russet price increases of the magnitude that would be expected given the current supply conditions. At mid-April, San Luis Valley grower returns were up 25.6 percent from year-earlier levels. At the other extreme, Wisconsin grower returns were down 8.5 percent from last year at the same time. Columbia Basin returns were down 6.7 percent from last year. At that time, Idaho returns were flat to up 14

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May/June 2016

6.1 percent. The differences reflect shifts in relative supply between growing areas, as well as changes in transportation costs due to declining fuel prices There still is the potential for a lateseason rally in russet table potato prices. If Idaho stocks are as low as USDA is reporting, packers will not be able to maintain their current shipping pace through the spring and summer months. No shipping area has enough potatoes to fill in the expected gap in Idaho potato supplies. While shipments from Wisconsin and Maine have been running ahead of the 2014-15 pace throughout the storage season, the increase in their supplies would be unable to fill more than half of the projected gap. Kern County used to be a major player in the russet market during June and July. However, the remaining Kern growers planted 40 acres of russet potatoes this year. Kern’s summer russet shipments are likely to fall below 30,000 cwt this year, from about 220,000 cwt in 2015. There are no other areas that could make up the projected supply gap until Kansas, Texas and the Columbia Basin come on line during the last half of July. Late-season red potato prices have fared much better than russets, but only because of a 2016 crop failure in south Florida. That has allowed Red River Valley growers to clean up excess supplies of red potatoes while boosting prices. At mid-April, Valley wash plants were selling totes of size A red potatoes for $14.50 per cwt, up 33.3 percent from year-earlier prices. However, it has taken a sharp decline in red potato movement to give prices a boost. Since the beginning of March, red potato shipments have run 25.2 percent behind the 2015 pace. Red potato supplies could pick up as new growing areas come on line, but it will take several weeks to refill supply

pipelines. The Florida crop failure also has given a boost to the yellow potato market. Colorado shippers are getting about 16.7 percent more for their potatoes than they did at the same time in 2015. However, shipments have fallen off by 32.2 percent since the beginning of March. That suggests that demand for yellow potatoes is fairly soft, at least relative to last year. This year will be the first time since recordkeeping started that yellow potato shipments will fall below year-earlier movement for an entire season. Fryers have been content to run their plants on contract potatoes from the 2015 crop in spite of potential regional imbalances. Usable supplies in the Columbia Basin and Idaho appear to be in a relatively tight balance with usage requirements. Nevertheless, processor buying has been limited. Supplies in the upper Midwest, in Maine and across much of Canada will allow processors to run plants in those areas on storage potatoes for longer than usual this summer. Open market purchases by processors have been extremely limited throughout the processing season. Chip potato manufacturers have been making selective purchases of open potatoes in recent weeks. Some buyers bypassed the Florida chip deal completely, opting to rely on storage potatoes through mid-June, which is almost six weeks longer than normal. There have not been enough open market purchases to establish a market, but many of the recent purchases have been made for less than half of the contract price. The early outlook for 2016 crop potato prices is not promising. Growers may cut acreage by 1 - 2 percent, but any cuts are likely to be offset by a yield rebound to the long-term trend.

Calendar June 13

By Bruce Huffaker, Publisher North American Potato Market News

3rd Annual Ag World Golf Classic, Canyon Lakes Golf Course, Kennewick, Wash. Visit www.agworldgolf.com.

June 20 Processors have cut back on contract volumes. While some of the cuts have been accompanied by comparable acreage reductions, other growers have either planted open processing or chip potatoes, or they have switched to table potato varieties. A return to trend yields would involve higher yields in the West, along with lower yields in growing areas east of the Rocky Mountains. Though a return to trend yields would only result in a 2 - 3 percent production increase, the shift toward more western production could be expected to boost table potato supplies, with some reduction in supplies of chip potatoes.

Editor’s note: To contact Mr. Huffaker, or to subscribe to North American Potato Market News (published 48 times per year), write or call: 2690 N. Rough Stone Way, Meridian, ID 83646; telephone (208) 525-8397; fax (208) 525-8569; or e-mail napmn@ napmn.com.

Potato Virus Detection Training Workshop, 9 a.m. to 3:30 p.m., WSU Othello Research Unit, 1471 W. Cox Rd., Othello, Wash. Visit http://bit.ly/wsupotatovirusworkshop.

June 20-22 United Fresh 2016, McCormick Place Convention Center, Chicago, Ill. Visit www. unitedfresh.org.

June 22 OSU Potato Field Day, OSU HAREC, 2121 S. 1st St., Hermiston, Ore. Contact Annette Teraberry, (541) 5678321.

June 23 WSU Potato Field Day, WSU Othello Research Unit,

Othello, Wash. Contact Mark Pavek, (509) 335-6861 or [email protected].

July 12-15 National Potato Council Summer Meeting, Park City, Utah. Contact Hollee Alexander, holleea@nationalpotatocouncil. org.

July 31-Aug. 4 Potato Association of America Annual Meeting, Grand Rapids, Michigan. Visit www.experiencegr.com/ mipotato.

Oct. 14-16 PMA Fresh Summit Convention and Expo, Orlando, Fla. Visit www. freshsummit.com.

Editor’s Note: To have your event listed, please email the editor, Denise Keller, at dkeller@columbiapublications. com. Please send your information 90 days in advance.

May/June

Potato Country

15

Know Your Potato Diseases

Disease Identification Quiz Dr. Jeff Miller

As the potato plant grows from the seed piece, the underground stems are susceptible to multiple diseases, four of which are depicted here. What is the disease in each photo and where could the pathogen have originated?

A.

B.

C.

D.

Dr. Jeff Miller, a plant pathologist, is the president and CEO of Miller Research, Rupert, Idaho. He can be contacted by phone: (208) 5315124; cell: (208) 431-4420; email: [email protected]

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Potato Country

May/June 2016

ANSWERS, PAGE 19

In the Market

EPA Approves Velum® Prime for Potatoes

Accurate Weight, down to the Last Potato

The U.S. Environmental Protection Agency (EPA) has A RiteWeight conveyor scale is a convenient, inexpensive granted federal registration of Bayer’s Velum® Prime for use on tool to obtain weight data for any agricultural product and even for aggregates potatoes. Velum Prime is a non-fumigant nematicide with additional disease-management benefits. • Display and Save data for individual loads • Save time. Weigh the truck According to Bayer, the product’s nematicidal activity has as it is being loaded • Tilt compensation option • Optional control output • Yield monitor option • Optional Remote Large Display been documented in numerous field trials against the key potato A RiteWeight conveyor scale is a convenient, nematode species. Velum Prime is said to rapidly immobilize LQH[SHQVLYHWRROWRREWDLQZHLJKWGDWDIRUDQ\ As a leader in precision agriculture systems we offer agricultural product and evenafter for aggregates nematodes, killing them within one to two hours contact. unique solutions specifically designed with the root and The active ingredient then moves systemically throughout plant vegetable producer in mind. tissues, effectively suppressing key potato diseases such as white mold and early blight. For more information visit greentronics.com “The federal registration of Velum Prime from EPA is a sigor contact us at 519-669-4698 nificant step forward in our effort to introduce a much needed • Display and Save data for • Save time. Weigh the truck • Tilt compensation option • Yield monitor option nematicide/fungicide crop protection toolastoit isthe individual loads beingpotato loaded market,” • Optional control output • Optional Remote Large Display says Bayer product manager Joel Lipsitch, adding that the $VDOHDGHULQSUHFLVLRQDJULFXOWXUHV\VWHPVZHR΍HUXQLTXHVROXWLRQV FDOO\GHVLJQHGZLWKWKHURRWDQGYHJHWDEOHSURGXFHULQPLQG product is registered forVSHFLȴ application early in the potato growing season (6-12 inch rosette overhead visit chemigation. Forstage) morevia information greentronics.com or contact us at 519-669-4698 “Velum Prime is not intended as a replacement for fumigants, but it is a supplement for standard nematode management programs for improved nematode and disease protection, and ultimately, increased yields,” Lipsitch says. The Velum Prime MRL supports a single application with two in-season applications of Luna® Tranquility®. The product is trade-enabled in NAFTA, Japan, Taiwan and other key export markets. It is registered for use in Colorado, Idaho, Maine, Michigan, Montana, Nebraska, New Mexico, North Dakota, Oregon, Pennsylvania, Washington and Wisconsin.

Accurate Weight, down to the Last Potato

Know Your Insects Answers (from page 6) A. This is a cave cricket (phylum Arthropoda, class Insecta). Cave crickets are sometimes found in potato fields under the canopy where they feed on decomposing debris. They are definitely not pests of potato. B. This is a millipede (phylum Arthopoda, class Diplopoda). Millipedes like this one are common in soils and under rocks where there is abundant decomposing plant material. C. This is a ground beetle (phylum Arthopoda, class Insecta). Ground beetles like this one can be very common in potato fields, staying under the canopy during the day and often moving into the foliage to feed at night. They are voracious predators of other small arthropods. D. This is a centipede (phylum Arthopoda, class Chilopoda). Centipedes live in or on the soil and organic debris, where they are predators of other arthropods.

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In the News

Lamb Weston Expands Operations in Oregon ConAgra Foods, Inc. has announced that its Lamb Weston business will expand operations at its facility in Boardman, Oregon. The $30 million project will add additional processing capacity for making formed products such as hash brown patties and potato puffs. Construction is set to begin this spring with completion in 2017. The added line will increase processing capacity by approximately 50 million pounds and create an additional 50 jobs. According to the company, the facility in Boardman is strategically situated to support domestic and international growth, with proximity to prime growing, storage and shipping operations and easy access to the Port of Morrow. The company opened an initial expansion of the facility in June 2014, adding 300 million pounds of capacity with a new fry line. That $200 million project included plans for this latest addition.

West Coast Port Slowdown Cost Washington Businesses $769.5 Million Washington state businesses lost $769.5 million in economic activity during the West Coast port dispute, according to a study released by the Washington Council on International Trade. This figure accounts for exports not shipped via waterborne containers, additional expenditures on airfreight shipments, as well as delayed delivery of imported goods through Washington ports. However, these

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estimates do not include the long-term costs of the slowdown, such as lost customers and permanently rerouted supply chains. The study, which analyzed the impacts of the slowed dock operations across multiple industries, shows that the slowdown was especially damaging to Washington state exporters, particularly in the agricultural sector, primarily due to spoilage. The Washington State Potato Commission reported losses of $23.5 million per month on frozen French fry exports and estimated that frozen food processors lost $48 million in missed sales opportunities.

Canada Approves Innate Potatoes The Canadian Food Inspection Agency and Health Canada have approved the first generation of J.R. Simplot Company’s genetically engineered Innate potatoes for sale in Canada. The first generation of Innate has a silenced enzyme that reduces susceptibility to blackspot bruise and keeps tubers from browning when cut. The potatoes also have been modified to reduce the production of acrylamide formed by baking or frying, by up to 70 percent compared to conventional potatoes.   The potatoes could be grown in Canada this season and be in stores by the fall. Generation I Innate potatoes have been sold in the U.S. since last May under the White Russet brand. Simplot’s second generation of Innate potatoes, which have the additional traits of North American late blight resistance and lowered reducing sugars, were deregulated by the USDA last fall and now await approval from the EPA. A third generation of Innate with resistance to Potato Virus Y is said to be in the works.

AMVAC Welcomes New Crop Marketing Manager Greg Warren has joined AMVAC Chemical Corporation as the company’s crop marketing manager and crop team leader for Fruit & Vegetable/ Potato. Warren, Greg Warren who has more than 30 years of experience in crop protection, micro-irrigation and biotechnology, will be responsible for AMVAC’s strategic and tactical marketing management in western U.S. crop segments. This includes managing AMVAC's portfolio of products used in potatoes. Ron Rowcotsky, western region marketing manager, will remain with AMVAC for several months until his retirement. This will ensure a smooth transition of responsibilities to Warren, according to Peter Eilers, global director of business development and marketing for AMVAC. “Greg’s broad expertise and vision will further enable AMVAC to build and grow our fruit and vegetable portfolio and increase our market presence in the western region,” Eilers said. Warren’s experience includes 15 years working in Western U.S. distribution channels and crop segments. He has held roles in sales, marketing and business and product development with Dow AS, Chemtura, Plant Health Care and, most recently, Albaugh LLC.

“Washington Grown” Receives First Emmy® Nominations “Washington Grown,” a television show dedicated to sharing

Know Your Disease Answers (from page 16) Washington’s agriculture story with the public, has been nominated for three Emmy Awards from the Northwest Chapter of the National Academy of Television Arts and Sciences. The nominations are in the categories of best Arts/Entertainment Program, best Informational/ Instructional Program and best Interview Discussion Program. The awards ceremony will be held in Seattle this June. “Washington Grown” was the winner of national Telly Awards in 2014 and 2015. The show, now in its third season, has featured numerous potato growers and potato recipes in the past. The Washington State Potato Commission was among the founding partners that helped kick start the project. The show airs weekly throughout much of the year on NWCN-TV and KSPS-TV. Each episode can be viewed at www.wagrown.com.

NPC Accepting Scholarship Applications

A. The light brown patches on the stem are powdery scab lesions. If you look closely, powdery scab galls are visible on the smaller root which is crossing over the stem on the left side of the photo. Powdery scab is caused by Spongospora subterranea subsp. subterranea. This organism is not a true fungus, but rather a slime mold. The powdery scab organism can move in contaminated soil and on seed tubers. The pathogen forms structures called cystosori which can last in the soil for over six years. Disease development is favored by excessively wet conditions during tuber formation. B. The lesion on the main stem and also the stolon at the center of the photo pointing left is caused by the fungus Rhizoctonia solani. The disease is called Rhizoctonia canker. The fungus could have

come from the seed piece or from the soil. C. This is black dot caused by the fungus Colletotrichum coccodes. The pathogen lives from one season to the next on tubers or in plant debris left in the field. D. Blackleg is the disease in this photo. Blackleg is most often caused by the bacterium Pectobacterium atrosepticum (formerly known as Erwinia carotovora subsp. atroseptica). Other bacterial species such as Pectobacterium carotovorum (formerly known as Erwinia carotovora subsp. carotovora) and Dickeya species (formerly Erwinia chrysanthemi) are also capable of causing blackleg. These bacteria are transported on seed. Blackleg development is favored by cool, wet soils after planting followed by high temperatures after emergence.

The National Potato Council (NPC) will award one $10,000 academic scholarship to a graduate student working to improve the future of the U.S. potato industry. Selection is based on the following criteria: past academic achievement, leadership ability, potato-related areas of graduate study, goals, benefit to the potato industry, extracurricular activities, grades and potential commercial value. The deadline for applications is June 15, 2016, and the scholarship will be awarded in August 2016. The winner will be invited to display his or her work at the Potato Research Poster Sessions during Potato Expo 2017. For more information, contact Hillary Hutchins at (202) 682-9456. 

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Washington State Potato Commission

Dishes prepared for promotions in Vietnam and Taiwan showcase the versatility and eye-appeal of potatoes. Photos courtesy Potatoes USA

Cooking Up Opportunities By Eric Woolson

S

hifting consumer trends and various forces pressuring restaurant profit margins present potato growers and processors with opportunities to work more closely with important allies to increase product demand, according to several experts who spoke at the Washington Potato Summit hosted by the Washington State Potato Commission. An economist, a Washington Restaurant Association executive and Potatoes USA’s top marketing professional said at the event that the food service industry holds a key to unlocking higher domestic and international sales of raw and processed potatoes. Michael Brown, a vice president and

economist for Charlotte, North Carolinabased Wells Fargo Securities, said the rising share of Americans working full-time should boost income growth in 2016 to the benefit of America’s eateries. “Looking through the lens of the restaurant industry, disposable income is an indicator we like to keep an eye on. This year is going to be a decent year for disposable income growth,” Brown said. “The influence of changing demographics on food away from home and food at home is another trend to watch. Millennials – 25- to 35-year-olds – do show a preference for food away from home.” John Toaspern, chief marketing officer

Fig. 1. Portion of total food spending at home versus not at home

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for Potatoes USA, noted that the restaurant industry is a powerful force shaping Americans’ appetite for potatoes. “Fifty-six percent of potato consumption now occurs through food service, so we must focus more attention there. Trends many times begin at the food service level and translate to home cooking and retail,” Toaspern said. “If we can get chefs inspired to prepare potatoes a new way – at the center of the plate – and include them in ways consumers have never thought about, food service can have a bigger impact that we’ll see trickle down.” Brown said dining out is a cyclical trend that should expand at a rapid rate in the year ahead while food at home is “really not growing much” with a long-term structural decline likely (Fig. 1). “If you’re looking at ways to pass along costs as a producer or processor, your best opportunity will certainly be on the restaurant side instead of the grocery store,” he said. “It’s going to depend on the type of producer. There’s a huge preference among all consumers for organic and sustainably produced fruits and vegetables. That trend is a real marketing strategy for restaurants, and those producers will have a lot more pricing power and flexibility than if they grow generic russet potatoes.” All growers should become more focused on telling the story behind the product and not just selling it, he added.

“Wine people know there’s always a good story behind a bottle of wine. Marketing is about telling what a producer is doing differently,” Brown said. “That’s one way producers could really differentiate their product in the marketplace.”

Demand for U.S. Potatoes Abroad Fortunately, even generic potatoes grown in the United States are popular on the international market. “The fact they’re produced in the U.S. is a differentiating factor so that your end market is not so much the U.S. market but the China market with a growing middle class, more disposable income and a distinct taste for American-produced products,” Brown said. “China is a very attractive market for those who can’t play in the organic market.” China’s promise will be tempered by its slowing economy and volatile currency this year. “In the very near term, it’s hard to find bright spots given the slow global environment,” Brown said. “The strength of the U.S. dollar is really seizing up the Pacific Northwest’s exports. Unfortunately, we’re going to be struggling with that through this year.” Toaspern said the U.S. potato market was “hit by the triple whammy” in 2015 of a strengthening U.S. dollar and slumping Canadian and European currencies, a massive 2014 global crop that drove down prices and a slowdown at West Coast ports that “couldn't

have come at a worse time.” “We’ve weathered that little rough patch and we’re well positioned to continue our growth,” he said. Toaspern agreed demand for high-quality food continues to grow around the world. While competition remains strong from Canadian and European growers, he does not see any reasons why U.S. producers can’t continue the 5- to 8-percent annual export growth they’ve recorded over the past 20 years. “Our programs in target markets utilizing USDA funding have really made a difference. We’re able to focus on the quality of the U.S. product and inspire them to do new and different things with it,” he continued. Toaspern said his organization’s domestic market segmentation study found potato consumers are driven by taste with a preference for freshness. “But, on the flip side, they are extremely convenience driven,” he said. Potatoes USA is attempting to strike a balance between those potentially clashing desires by working with the food service industry. “Potatoes are as fresh and wholesome as you can get. We also have ideas on preparation that are quicker than most people realize,” Toaspern said. “The first point is making them interesting and taste good. People have gotten into ruts of when and how they cook them. If we can break them out of those ruts and inspire them to use potatoes

in different ways and on different occasions, that’s where we see opportunity.” He added, “You’re not going to get them to make mashed potatoes a second time during the week.” Instead, Potatoes USA is promoting recipes that feature potatoes in appetizers, breakfast potatoes and international dishes, such as curry, or incorporating dehydrated potatoes in masa for tamales. Research indicates there’s value in reaching out to creative cooks through social media. “Creative cooks are food enthusiasts. They live to eat and cook. It’s not esoteric for them. They can respond to an idea without really following a recipe and they change recipes to make them their own,” Toaspern said. “They make up 26 percent of the U.S. adult population and feed 50 percent. We need to provide them with visual stimulation because they respond well to food images.” A concerted social media push will reach Millennials and those creative cooks where they are – on the Internet. That's why Potatoes USA launched a new page featuring potato recipes on the Culinary Institute of America’s website, ciaprochef.com, and has stepped up its presence on Pinterest, foodservice.com and other sites.

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Changes in the Restaurant Industry

Shoppers sample U.S. table-stock potatoes during a retail promotion event in Vietnam. Photo courtesy Potatoes USA

U.S. potatoes were front and center at a Thanksgiving potato dinner event for media representatives in the Philippines. Photo courtesy Potatoes USA

Anthony Anton, president and chief executive officer of the Washington Restaurant Association, said the industry that operates on an average 4-percent profit margin is going to be squeezed hard this year by rising labor costs, full implementation of the Affordable Care Act, additional regulations and a deepening labor shortage. The industry is seeking to reverse a shortage of line cooks in Washington by developing programs to identify and train ideal candidates. “In reality, between generational changes, legal mandates and new social norms, the business model has to change. If you have a line cook who can produce in a 100seat restaurant, we have to reconsider the compensation needed to recruit and retain great talent. There is a natural career ladder, but we need to do a better job of promoting it and mentoring our team members up,” Anton said. “If you love the kitchen, there are a lot of opportunities and some are not in the restaurant. Our suppliers are constantly looking for people who can relate to cooks and chefs.” The hospitality industry is also adjusting to the seismic social shift in which dining out used to be reserved for special occasions and has evolved to the point where spending on food not at home now equals – or has slightly surpassed – spending on food at home. “If someone is eating out eight times a week, they’re not going to the same place. Demand is going to be driven by variety,” Anton said. “Figuring out who you are and how you brand (your restaurant) to be part of that conversation is going to be very important.” He added, “Potatoes will always be a mainstay on the dinner plate. The conversation between growers, processors and our industry needs to be about how to address costs and some of the social costs around health issues,” Anton said. “We should be addressing serving size and what do people really need for flavor. There will always be fries on the plate, but we need to be thinking through serving size and taste.”

Editor’s note: This article is Part III in a series of articles resulting from the Washington Potato Summit. Part I ran in the February issue (see page 20) and focused on transportation and trade issues. Part II ran in the March/April issue (see page 20) and covered water issues. Other key topics discussed at the meeting will be detailed in subsequent issues. A retail promotion for U.S. fresh potatoes helps build demand in Taiwan. Photo courtesy Potatoes USA

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