Episode 56: Stuart Mitchell on the Challenges and Opportunities for Fish & Chip Shops

How does a supplier navigate uncertainty when the entire food service industry is in flux? In The Ceres Podcast Episode 56, host Stelios Theocharous sits with Stuart Mitchell of Mitchells Potatoes to discuss how the pandemic reshaped demand, impacted fish & chip shops, and forced businesses to adapt quickly. From shifting consumer habits to the volatility of potato prices, Stuart offers valuable insights into supply chains, resilience, and the industry's future.

This episode delivers crucial takeaways for fish & chip shop owners looking to understand market trends and prepare for potential disruptions.

Before the pandemic, demand for potatoes was slightly below expectations but stable. Then, as February turned to March, a sudden downturn hit the market—until the last week before lockdown when panic-buying sent sales through the roof. Stuart recalls how consumers, unable to find staples in supermarkets, turned to wholesalers for bulk purchases of potatoes, rice, and pasta.

However, this surge was short-lived. Once the UK government announced lockdown measures, everything changed overnight. "My phone just went crazy," Stuart says, describing the wave of cancellations from fish & chip shops and wholesalers who suddenly found themselves unsure whether they could remain open.

With restaurants closed, Stuart and his team expected fish & chip shops to thrive due to increased takeaway demand. However, while some remained open, many shut down temporarily, citing staff concerns, social pressure, and uncertainty about the virus. "I think a few people were scared of reopening because they were worried about a negative comment on Facebook or Twitter," Stuart explains.

Interestingly, those who did stay open found an opportunity to reconnect with customers. Shops offering discounts or free meals for NHS workers received positive feedback, and demand slowly began to pick up.

The biggest challenge for a potato supplier like Mitchell Potatoes was handling inventory. When the lockdown hit, they had 1,000 tonnes of potatoes in stock—an enormous amount of perishable goods at risk of going to waste. "If you do the math on how much a ton of potatoes costs, it's a lot of money," Stuart notes. The company had to act quickly, clearing as much stock as possible while pausing new purchases.

Stuart offers practical advice for fish & chip shops on maximising potato shelf life. Proper storage—allowing air circulation and avoiding stacking sacks too tightly—can extend freshness from three weeks to six weeks, making a big difference when business operations are unpredictable.

With uncertainty around demand, Stuart predicts that prices for top-quality potatoes will likely remain stable in the short term. However, market volatility remains a concern. One notable example: a major Cambridgeshire farmer decided not to plant 500 acres of chipping potatoes due to fears of reduced demand, potentially affecting supply in the coming months.

While it's difficult to predict precisely how prices will shift, Stuart highlights that weather conditions will play a significant role. If the new crop faces poor growing conditions, prices may increase. Otherwise, the market could stabilise with minor fluctuations.

Stuart expects fish & chip shop reopenings to be gradual, influenced by consumer confidence, economic conditions, and ongoing health concerns. However, he sees an opportunity for independents to reclaim market share while larger chains remain restricted. "They have a chance to win back customers who've been going to the big brands for the last 20 years," he says.

This episode isn't just about potatoes—it's about the adaptability and resilience of an industry navigating an unprecedented challenge. Stuart Mitchell shares candid insights on how suppliers and fish & chip shops have responded to the crisis, offering valuable lessons for any business owner.

If you're in the fish & chip industry, this is an episode you can't afford to miss. Listen to Episode 56 of The Ceres Podcast now on Apple Podcasts, Spotify, or your favourite podcast platform. Don't forget to subscribe for more expert insights, industry news, and business strategies!