Overall producer prices of agricultural products increased by 1.5 % in March 2016Indices of agricultural prices - March 2016

In March 2016, overall agricultural producer prices picked up (+1.5% after −0.9% in February). Over one year, they decreased by 1.4%.

Informations rapides
No 111
Paru le : 28/04/2016
Prochaine parution le : 29/09/2017 at 12:00 - August 2017

In March 2016, overall agricultural producer prices picked up (+1.5% after −0.9% in February). Over one year, they decreased by 1.4%.

Further declines in cereal and oleaginous prices

Cereal prices kept on decreasing in March (−2.0% over the month and −16.4% since November 2015) reflecting the abundant global supply and anticipations of significant crops to be harvested in the Northern hemisphere.

cereal – Producer prices of cereals

  • Source: INSEE

Oleaginous prices continued to fall too (−1.2% over the month and −10.2% since November 2015). Less expensive oil reduced the interest of hydrocarbon substitution by oleaginous. Moreover the drop in Chinese importations weighed on prices.

Surge in potatoe and vegetables prices, near stability in fruit prices.

Potatoe prices doubled in February over one year. The 2015 crop reached its long-term average whereas the previous one was exceptional.

Fresh fruits prices slightly increased in March (+0.8%). The strawberry demand was weak in the beginning of the season, weighing on price. On the other hand pears ans apple sold more easily. Vegetable prices jumped compared to last year (+22.7%), noticeably driven by cauliflower whose price has tripled. The mild temperatures in the end of 2015 had hastened the production of this vegetable, whose volume harvested in March fell.

vegetable – Producer prices of fresh vegetables

  • Source: SSP (ministry in charge of agriculture)

On a seasonaly adjusted basis animal prices declined over one month (−1.2%). Big cattle prices were almost stable this month (−0.1% ) and lessened over one year (−1.6%), reflecting a sluggish demand. Pig prices dropped (−5.5% over the month) due to, on the supply side, Spanish competition, and, on the demand side, to a slight switch in consumption toward lamb upon Easter. For this reason sheep prices rallied by 2.3% in March.

pig – Producer prices of pigs and large cattle

  • Source: INSEE

Cow milk price sank by 9.0% over one year, as the supply saturated the demand. Since the end of the quotas, the Northern European countries indeed increased their productions, whereas the Russian embargo and the downturn in Chinese importations limited the demand.

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

base year: 2010
Indices of producer prices of agricultural products (IPPAP)
Variation as % over
Weights March 2016 a month 3 month a year
raw Seasonnaly adjusted raw
Agricultural goods output 1,000 109.6 +1.5 –1.5 –1.4
excluding fruits and vegetables 900 109.1 –0.5 –3.9 –2.7
Crop output (excluding fruits and vegetables) 505 112.4 –0.5 –3.9 –1.7
Cereals 188 89.3 –2.0 –13.7 –18.3
of which soft wheat 112 84.4 –2.5 –15.8 –22.3
grain maize 41 87.9 +0.3 –9.1 –5.8
Potatoes 26 183.6 /// /// +99.6
Wines 177 133.5 –0.2 +2.4 +2.9
Protected designation of origin 84 142.9 +0.1 +4.5 +6.6
other wines 23 145.0 –1.6 0.0 –3.8
Oleaginous 49 94.0 –1.2 –8.9 –6.5
Horticultural products 30 108.0 +3.2 0.0 +2.2
Other crop products 36 107.6 –0.6 –0.1 0.0
Fruits and vegetables (1) 100 114.5 /// /// +11.5
Fresh vegetables 53 116.1 /// /// +2.,7
Fresh fruits 35 110.8 /// /// +0.8
Animal output 395 104.8 –0.4 –3.7 –4.0
Animals 234 111.0 –1.2 –1.3 –2.4
of which large cattle 96 117.7 –0.1 –1.8 –1.6
calves 26 113.9 –0.2 +2.7 +2.6
pigs 54 97.1 –5.5 –3.6 –8.9
sheep 10 116.9 +2.3 +0.8 –3.4
poultry 46 110.6 –0.4 –0.5 +0.9
of which chicken 28 110.1 –0.2 –1.0 +0.1
Milk 147 92.8 /// –8.3 –8.2
of which cow milk (2) 137 91.7 /// –9.0 –9.0
Eggs 15 125.3 +9.6 –0.5 +5.4
  • (1) Including vegetables for industry.
  • (2)The February value of cow milk price indice is carried forward in March
  • Sources: INSEE, SSP (ministry in charge of agriculture)

Purchase prices of means of production were stable in March

In March, intermediate consumption prices stopped declining due noticeably to picking up energy prices (+4.5%). Over one year, it dwindled by 4.1% due to energy (−16.0%), fertilisers (−7.8%) and feed (−5.1%). Capital goods prices increased by 0.2% over one month and by 0.9% over one year.

means – Purchase prices of the means of agricultural production

  • Sources: INSEE, SSP (ministry in charge of agriculture)

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 March 2016 variation as % over
a month 3 months a year
Total input 1,000 106.8 –0.0 –0.6 –3.0
Intermediate consumptions 764 106.7 –0.0 –1.0 –4.1
Energy 100 83.0 +4.5 +0.6 –16.0
Seeds 57 109.0 +0.4 –0.1 +0.3
Fertilisers and soil improvers 92 112.8 –1.1 –2.3 –7.8
Plant protection products 78 100.1 +0.4 –0.4 –0.3
Animal feed 205 112.6 –1.2 –2.8 –5.1
Veterinary expenses 43 116.3 +0.1 +1.1 +2.6
Small equipment and tools 17 108.1 –1.0 –1.6 +0.4
Maintenance of materials 67 113.3 –0.2 –0.3 +0.4
Maintenance of buildings 9 106.5 0.0 –0.1 –0.2
Other goods and services 97 101.8 0.0 0.0 +0.5
Goods and services contributing to investment 236 107.3 +0.2 +0.6 +0.9
Material 186 108.7 +0.2 +0.8 +1.9
Tractors 79 109.1 +0.2 +1.4 +3.1
Machinery and plant for cultivation 36 110.9 +0.3 +1.0 +1.8
Machinery and plant for harvesting 42 108.4 +0.2 –0.2 +1.2
Utility vehicles 18 104.7 +0.1 +0.2 –0.2
Buildings 50 102.1 0.0 –0.3 –2.6
  • (1) The repayment of the domestic tax on energy products (TICPE) benefiting farmers has been applied in advance for the year 2016
  • Sources: INSEE, SSP (ministry in charge of agriculture)