August Agricultural Prices Received Decreases 2%, Prices Paid Down 0.6%
August Prices Received Index Decreased 2.0 Percent
The August Prices Received Index (Agricultural Production), at 93.4, decreased 2.0 percent from July 2017. At 87.5, the Crop Production Index increased 1.4 percent. The Livestock Production Index, at 98.5, decreased 5.3 percent.
Producers received lower prices for broilers, cattle, hogs, and corn but higher prices for milk, apples, strawberries, and broccoli. Compared with a year earlier, the Prices Received Index is up 4.1 percent. The Crop Production Index increased 3.4 percent and the Livestock Production Index 4.9 percent from August 2016. In addition to prices, the indexes are influenced by the monthly mix of commodities producers market. Increased monthly movement of cattle, grapes, calves, and potatoes offset the decreased marketing of wheat, corn, soybeans, and hay.
The Food Commodities Index, at 98.0, decreased 2.5 percent from the previous month but is up 4.9 percent from August 2016.
August Prices Paid Index Down 0.6 Percent
The August Prices Paid Index for Commodities and Services, Interest, Taxes, and Farm Wage Rates (PPITW), at 106.4, is down 0.6 percent from July 2017 but is up 1.4 percent from August 2016. Lower prices in August for feeder cattle, feeder pigs, nitrogen, and hay & forages more than offset higher prices for LP gas, diesel, mixed fertilizer, and feed concentrates.