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Farmers Receive about 15 to 18 % of Retail Price for Fresh Potatoes

Food processors, manufacturers, wholesalers, and retailers transform raw agricultural commodities into convenient food products for U.S. consumers. The farm share of the retail price of fresh potatoes—the ratio of what farmers receive to what consumers pay per pound in grocery stores—has fluctuated between 15% and 18 % in recent years. The national monthly average price of fresh potatoes was $0.78 per pound at grocery stores in 2021, and the monthly average price received by farmers was $0.12 per pound. As part of the farm share calculation, the USDA, Economic Research Service assumes that farmers supply a little more than 1.04 pounds of fresh potatoes for each pound sold at retail to account for the roughly 4 % of fresh potatoes that is lost through spoilage or damage.

Source: USDA ERS

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