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How does cold storage rent work for potato and is it worth it for a small grower?

Potato📍 Farrukhabad
RRajendra Kushwaha8mo ago · 296 views

I grow potato on 3 acres in winter. Cold storage owners charge per bag for the season. How do I decide if storing is worth it versus selling at harvest?

5 Answers

🌾Farmer.in Krishi TeamExpert ✓8mo ago

Cold storage for potato is normally charged per bag for the storage season, plus loading, unloading and sometimes interest if you take an advance against stored stock. It is worth it only if the expected price rise after the harvest glut is more than the total rent plus the weight and quality loss during storage. In a year of heavy planting, so many farmers store that prices may stay flat or fall, and rent eats your margin, so do not store the whole crop blindly. A common approach is to sell part at harvest for cash and store part as a bet on a price rise. Check this season's rent, the advance terms and recent price trends with the cold store and your mandi before committing.

DDevendra Verma8mo ago

I store only part of my potato now after a bad year where rent plus a flat market wiped my margin. Selling some at harvest gives cash and reduces the gamble. Never store the whole crop on the hope of a price jump.

OOmkar Nath Maurya8mo ago

Remember the weight and quality loss too, not just the rent. When I take potatoes out after the full season they weigh less and some have sprouted, so my saleable quantity is smaller than what I stored. Factor that shrinkage into your sums, because on 3 acres it can quietly eat the price gain you were counting on.

MMahendra Singh7mo ago

I learned the hard way to never store my entire crop. One year cold store rent plus a flat market meant I barely broke even. Now I sell half at harvest and store half.

SShyam Singh7mo ago

Get the rent per bag, the loading charges and any advance interest in writing before you load. Some stores quote a low rent but the extras add up. Compare the total holding cost against the price rise you actually expect, not the best case.

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