In August 2015, overall agricultural producer prices decreased by 1.7%Indices of agricultural prices - août 2015

In August 2015, overall agricultural prices dipped by 1,7% compared to July, and by 2,1% over one year

In August 2015, overall agricultural prices dipped by 1,7% compared to July, and by 2,1% over one year

Cereal prices fell in August (-10.0%) offsetting the increase in July (+11.0%). The return to more normal weather conditions in Europe and in the United States has cancelled the fears from markets of decline in yields before the harvests. In one year, the price was almost unchanged (-0.9%), at a low level, reflecting an ample supply.

cereal – Producer prices of cereals

  • Source : Insee

Oleaginous prices had declined since June, by almost 6%, due to the slowdown of Chinese economy and the fall of the oil price (as the biodiesel, made from rape, had turned less attractive against a less expensive oil).

Oleaginous prices slightly weakened in August (–0.8% over one month and –1.6% over one year). The 2014 harvest was good, except in the Languedoc-Roussillon region. Hence, the prices of common wines, massively produced in that place, rose significantly (+13.9% yoy). Conversely, prices of PDO (protected designation of origin) wines decreased sharply (–6.5% yoy).

Fresh fruits prices increased in August compared to last year at the same period (+14.7%). Peaches price jumped as a result of a limited supply and the heatwave, which had stimulated the consumption until mid-August. Pears became more expensive as well: it was a return to a more normal situation as the price of last year was noticeably low.

vegetable – Producer prices of fresh vegetables

Fresh vegetable prices rose (+5.8% yoy). The summer-like weather prompted the consumers to favour summer vegetables, whose prices increased in August for most of them (tomato, cucumber). Conversely, melon price decreased as the supply was too abundant to sell easily, stemming from the strong rise in yields and significant importations.

pig – Producer prices of pigs and large cattle

On a seasonally adjusted basis, animals prices went up in August (+0.6%). Pigs price rallied by 2.8% further to agreements with the slaughterers and the distributors under the auspices of the government, to revaluate the pigs. Milk prices went down sharply by 17.0% over one year: in 2014, the high prices and the strong Chinese demand had encouraged American and New Zealand farmers to boost their productions, however, since, the drop of Chinese importations and the Russian embargo had slowed down the global demand.

Tab1 – Indices of producer prices of agricultural products (IPPAP)

base year: 2010
Indices of producer prices of agricultural products (IPPAP)
weights Aug. 2015 Variation as % over
a month 3 months a year
raw Seasonally adjusted raw
Agricultural goods output 1000 112.5 –1.7 +0.1 –2.1
excluding fruits and vegetables 900 114.1 –2.3 +0.2 –3.0
Crop output (excluding fruits and vegetables) 505 114.1 –4.2 +1.0 +0.1
Cereals 188 105.1 –10.0 +6.2 –0.9
of which soft wheat 112 97.6 –12.9 +2.6 –6.3
grain maize 41 100.5 –4.8 +13.3 +8.1
Potatoes 26 109.9 /// /// –4.5
Wines 177 128.0 –0.8 –1.9 –1.6
Protected designation of origin 84 131.5 –1.2 –3.0 –6.5
other wines 23 148.0 –0.8 –2.2 +13.9
Oleaginous 49 100.6 –3.8 –2.3 +16.7
Horticultural products 30 106.6 +0.5 +0.7 –0.5
Other crop products 36 120.4 0.0 +1.5 +1.1
Fruits and vegetables (1) 100 98.3 /// /// +8.2
Fresh vegetables 53 91.9 /// /// +5.8
Fresh fruits 35 103.3 /// /// +14.7
Animal output 395 114.0 +0.2 –0.8 –6.6
Animals 234 117.8 +0.6 +1.9 –1.0
of which large cattle 96 125.4 –0.2 +3.3 +2.1
calves 26 100.3 –0.7 –3.5 –5.2
pigs 54 120.8 +2.8 +4.0 –1.9
sheep 10 113.3 +1.1 –1.7 –1.9
poultry 46 110.6 +0.5 +0.1 –3.9
of which chicken 28 110.7 +0.7 +0.3 –4.1
Milk 147 106.7 0.0 –7.5 –17.0
of which cow milk (2) 137 106.5 0.0 –8.1 –18.0
Eggs 15 126.0 –3.3 +22.4 +18.8
  • (1) Including vegetables for industry.
  • (2)The price for Aug. is not yet known and therefore is estimated by carrying forward the seasonally adjusted price of July.
  • Sources: Insee - SSP (ministry of agriculture)

The purchase prices of means of production decreased

In August, intermediate consumption prices had slipped for three months in a row (–1.8% since May) reflecting the drop of energy prices (–11.0% since May). Over one year, energy cost declined by almost 20%. Capital goods prices were virtually stable in August (+0.2%).

means – Purchase prices of the means of agricultural production

Tab2 – Indices of purchase prices of the means of agricultural production (IPAMPA)

base year: 2010
Indices of purchase prices of the means of agricultural production (IPAMPA)
weights Aug. 2015 Variation as % over
a month 3 months a year
Total input 1000 109,2 –0.4 –1.5 –2.2
Intermediate consumptions 764 110,1 –0.5 –1.8 –3.0
Energy 100 94,5 –5.5 –11.0 –18.8
Seeds 57 108,8 +0.3 –0.1 +0.4
Fertilisers and soil improvers 92 117,4 0.0 –3.5 +3.0
Plant protection products 78 100,8 –0.1 –0.4 –0.5
Animal feed 205 117,9 +0.2 –0.2 –3.5
Veterinary expenses 43 113,9 +0.3 +0.4 +1.8
Small equipment and tools 17 109,6 +0.2 +1.5 +0.3
Maintenance of materials 67 113,4 +0.1 +0.2 +1.6
Maintenance of buildings 9 107,0 +0.1 +0.2 –0.3
Other goods and services 97 101,5 0.0 +0.1 –0.4
Goods and services contributing to investment 236 106,7 +0.2 –0.4 +0.3
Material 186 107,3 +0.2 –0.5 +0.5
Tractors 79 106,7 +0.2 –1.0 +0.2
Machinery and plant for cultivation 36 109,4 +0.3 +0.2 +1.3
Machinery and plant for harvesting 42 107,8 +0.3 0.0 +0.6
Utility vehicles 18 104,8 +0.2 –0.2 –0.4
Buildings 50 104,8 –0.1 0.0 –0.3
  • (1) The repayment of the domestic tax on energy products (TICPE) benefiting farmers has been applied in advance for the year 2015
  • Sources: Insee - SSP (ministry of agriculture)