In this article, we'll explore the annual potato production by state to know the main stakeholders in the market. If you want to skip our analysis of potato production and consumption trends in the country, read 8 States That Produce The Most Potatoes.
The United States is amongst the top potato producers worldwide, and the states that produce the most potatoes in the country are Idaho, Washington, and Wisconsin.
These states' hold in potato production results from their suitable climate, quality of soil, and well-established agricultural infrastructure. The demand from potato processing companies, restaurants, direct consumers, and export opportunities also influence the crop's profitability of farming in the main potato producing states in the US.
As of 2023, the potato market continues to hold the position of a significant sector in the United States agriculture industry. According to a report published by the National Potato Council, the potato sector contributed $100 billion to the US economy. Out of the total contribution, $37.2 billion from producing (including $10.8 billion in farm production) and processing potato and potato products, and $63.7 billion from the crop's household consumption expenditure.
Despite experiencing some fluctuations in recent years stemming from harsh weather conditions and changing dietary trends, potatoes remain a staple in the American diet and a crucial crop for many US farmers. The potato sector generates almost 0.714 million jobs in the country, of which, 0.4 million are directly employed in the potato supply chain while 0.3 million work in peripheral businesses. When put into the economic perspective, these jobs add around $53.5 billion to the country's GDP, as per the National Potato Council.
Moreover, potato is the most consumed vegetable in the United States, with its annual per capita consumption ranging between 115 pounds to 120 pounds, as per the Agricultural Marketing Resource Center (AGMRC). In terms of market, US potato production's national farm gate value is $4.5 billion, and the dollar value of all potato products was $4.2 billion in the first quarter of 2023. The market's value chain includes everything from raw material production (farming) to processing and distribution to final consumers.
The US fast food industry, in particular, is a major consumer of potatoes, especially in the form of French fries. Leading fast-food chains, such as McDonald's Corporation (NYSE:MCD), Burger King, and Wendy's Company (NASDAQ:WEN), are significant buyers, with McDonald's alone consuming approximately 3.4 billion pounds of potatoes annually.
A fast-food giant, Wendy's Company (NASDAQ:WEN), is known for its 'natural-cut' French fries and baked potatoes. They source their potatoes from local suppliers and contribute to the national potato sector. Wendy's Company (NASDAQ:WEN) is one of the few fast-food chains that offers baked potatoes on its menu. This healthier alternative to fries has been part of Wendy's menu since the early days and has remained a customer favorite.
Potato chips are another major consumption sector, with companies like Frito-Lay (a subsidiary of PepsiCo Inc (NASDAQ:PEP) being one of the largest consumers of US potatoes. PepsiCo Inc (NASDAQ:PEP) owned Frito-Lay's other brands include Lay's, Ruffles, and Stax, which are all heavily reliant on potatoes as a primary ingredient. PepsiCo Inc (NASDAQ:PEP) 's Frito-Lay operates over 30 manufacturing plants across the US and Canada.
On the other side of the potato supply chain is Lamb Weston Holdings (NYSE:LW), a leading global producer, distributor, and marketer of value-added frozen potato products, particularly French fries. As of 2023, Lamb Weston Holdings (NYSE:LW) operates 25 manufacturing facilities in North America, Europe, and China, making it one of the world's largest frozen potato companies serving domestic and international markets. Lamb Weston Holdings (NYSE:LW) is also noted for its ongoing investment in research and development (R&D), which leads to new product innovation. For instance, the company has been focusing on creating differentiated potato products, like its Crispy on Delivery fries, that can stay crispy for longer.
Geographically, the bulk of potato farming is concentrated in the Pacific Northwest, with Idaho and Washington being the top potato producing states in the United States. In 2022, Idaho and Washington accounted for nearly 50% of the total US potato production because of their ideal growing conditions and mature supply chains.
The U.S. is also a net exporter of potatoes; the country's key markets include Canada, Japan, South Korea, and Mexico. According to the National Potato Council, frozen potatoes, particularly French fries, make up the lion's share of these exports. However, shifting dietary preferences towards lower-carbohydrate options has caused some decrease in potato consumption. In response, the potato industry has been driving efforts to promote the nutritional benefits of potatoes and introducing innovative, healthier potato-based products.
Let's now proceed to know which states produce the most potatoes.
20 States That Produce The Most Potatoes
20 States That Produce The Most Potatoes
Our Methodology
To find 20 states that produce the most potatoes, we referred to the United States Department of Agriculture (USDA) Statistics Service. We narrowed down the broad database by selecting potato production by state in 2022. As the USDA database lists potato yield in cwt (hundredweight = 100 pounds), we rounded the figures into million cwt to simplify that stats. Notably, the USDA database doesn't have some states' latest potato production quantities, and we used the production quantity from 2018 for them to compile this thorough list.
Based on the USDA stats, here are the top potato producing states in the United States:
20. Virginia
Potato Production in 2018: 1.034 million cwt
Our list of states that produce the most potatoes starts with Virginia, as its Eastern Shore region has sandy loam soils and a favorable climate. Currently, Virginia's annual potato production in 2018 stood at 1.03 million hundredweight. These potatoes are primarily sold for fresh market use, with the Round White and Red potato varieties being the most popular.
19. Kansas
Potato Production in 2018: 1.419 million cwt
Although Kansas is better known for its wheat and corn production, it also has a sizable potato industry, largely based in the western part of the state where conditions suit tuber growth. The state of Kansas mainly grows russet-type potatoes intended for processing into products like fries and chips.
18. Missouri
Potato Production in 2018: 1.665 million cwt
Missouri farmers predominantly cultivate white and russet potato varieties. They target the fresh market, although a portion of the harvest is processed into value-added products. The University of Missouri Extension provides crucial support to the potato industry through pest management and disease resistance research putting Missouri on the list of top states that produce the most potatoes.
17. North Carolina
Potato Production in 2018: 2.318 million cwt
North Carolina's eastern region has a mild climate that provides a conducive environment for growth. The state produces mostly round white potatoes commercially harvested between May and July. According to USDA, the state's annual yield reached up to 2.3 million hundredweight in 2018.
16. Illinois
Potato Production in 2018: 2.850 million cwt
Illinois has witnessed a steady rise in specialty potato crops. The Illinois State University's Horticulture Center has been instrumental in researching and promoting crop diversification. These efforts and the state's robust local food movement have opened up new markets for Illinois growers. Despite Illinois' corn and soybean dominance, potatoes have carved out a niche here and made it one of the top potato producing states in the United States.
15. Montana
Potato Production in 2018: 3.885 million cwt
Montana ranks amongst states that produce the most potatoes because of its high seed potato production. The state's relative isolation also limits crop exposure to diseases and offers growers a competitive advantage.
14. New York
Potato Production in 2018: 3.886 million cwt
Potato production thrives in New York state's temperate climate and fertile soils, with a significant contribution from Long Island; it produced 3.886 million cwt of potatoes in 2018. New York potato farming is diversified, with many farmers growing table stock, processing varieties, and a significant share dedicated to the state's robust chipping industry.
13. Florida
Potato Production in 2022: 4.956 million cwt
Contrary to its subtropical reputation, Florida has early-season potatoes, which capitalize on the market before the larger northern states begin their harvest. As of 2022, Florida produces around 4.956 million hundredweight potatoes, predominantly in the northern and central regions of the state. Florida's farmers have also started experimenting with heat-tolerant potato varieties to adapt to the warming climate.
12. Texas
Potato Production in 2022: 7.188 million cwt
While it's less prominent in Texas than other crops like cotton and corn, the state's potato production still accounts for nearly 7.188 million cwt. The High Plains and Rio Grande Valley regions are fertile for potato cultivation, where producers balance between russets for processing and reds for the fresh market.
11. California
Potato Production in 2022: 7.728 million cwt
90% of California's potato production landscape is dedicated to specialty varieties such as red, yellow, and blue potatoes. A key feature of California's production is its year-round availability that facilitates the state's unique microclimates and innovative irrigation techniques. Their emphasis on diversity and consistent supply helps the state cater to niche markets, differentiating it from other major potato-producing states.
10. Nebraska
Potato Production in 2022: 9.55 million cwt
Nebraska's potato production is characterized by its focus on commercial and processing potatoes. According to the USDA, Nebraska harvested around 15,500 acres of potatoes in 2020. The state's primary potato-growing regions, like the North Platte Valley, have developed smart irrigation systems that ensure consistent yields even during periods of drought.
9. Michigan
Potato Production in 2022: 16.465 million cwt
In Michigan, potato is harvested over 47,000 acres; consequently, it is amongst the states that produce the most potatoes. The state's specialty in chipping potatoes is due to a particular climate that features cold winters and moderate summers, which provides optimal conditions for growing potatoes with low sugar content, ideal for chipping.
