August Prices Received Index Decreased 2.2 Percent
The August Prices Received Index (Agricultural Production), at 89.5, decreased 2.2 percent from July 2018. At 89.9, the Crop Production Index increased 3.6 percent. The Livestock Production Index, at 89.3, decreased 6.4 percent. Producers received lower prices for broilers, hogs, grapes, and soybeans more than offset higher prices for milk, wheat, lettuce, and lemons. Compared with a year earlier, the Prices Received Index is down 4.9 percent. The Crop Production Index increased 1.2 percent but the Livestock Production Index decreased 9.3 percent. In addition to prices, the indexes are influenced by the volume change of commodities producers market. Decreased monthly movement of wheat, corn, soybeans, and lemons offset the increased marketing of cattle, grapes, tobacco, and broilers. The Food Commodities Index, at 92.0, decreased 3.1 percent from the previous month and 7.1 percent from August 2017.
August Prices Paid Index Unchanged
The August Prices Paid Index for Commodities and Services, Interest, Taxes, and Farm Wage Rates (PPITW), at 108.7, is unchanged from July 2018 but up 2.8 percent from August 2017. Lower prices in August for feeder pigs, complete feeds, feed grains, and nitrogen offset higher prices for feeder cattle, repairs, LP gas, and supplies.