Overall producer prices of agricultural products slid by 1.1% in JanuaryIndices of agricultural prices - January 2016

In January, overall producer prices agricultural products fell by 1.1% compared to December, and by 1.7% over one year.

Informations rapides
No 59
Paru le : 26/02/2016
Prochaine parution le : 29/09/2017 at 12:00 - August 2017

Warning : The seasonal adjustment of the seasonal series of producer price index have been reestimated including the year 2015

In January, overall producer prices agricultural products fell by 1.1% compared to December, and by 1.7% over one year.

Cereals and oleaginous prices tumbled

Cereal prices plunged in January (−7.4%) due to the abundance of the global supply. Soft wheat price declined by 8.5% over three months. Moreover, barley and corn where a little less incorporated into animal feed in favour of feed wheat, less expensive. Regarding corn, the vacancy in poultry houses in the South-West of France, after the epidemy of avian flue, limited also the demand.

cereal – Producer prices of cereals

  • Source: Insee

Oleaginous prices decreased significantly in January (−5.0%). Oil price drove rape price downwards: the drop in hydrocarbon prices reduced the interest of their substitution by the oleaginous.

Surge in potato prices, stability for fruits and drop in vegetable prices.

Potatoe prices almost doubled y-o-y. The 2015 crop reached its long-term average whereas the previous one was exceptional.

Fresh fruits prices faltered in January y-o-y (−1.5%). Kiwi and walnut prices decreased. Nevertheless, Corsican clementine price jumped as the production was less abundant in the previous years.

vegetable – Producer prices of fresh vegetables

Fresh vegetables prices fell y-o-y (-14.1 %). The mild wheather at the end of the year accelerated the harvests and improved the yields, noticeably for lettuces and cauliflowers.

pig – Producer prices of pigs and large cattle

Overall drop in animal prices

On a seasonally adjusted basis, prices of animals increased a little in January (+0.4%). However pig price declined over three months (−5.5%) due to European competition, whereas the exporters were still deprived of the Russian outlet, subject to embargo. Milk price stabilized at a low level: since the end of the quotas Northern Europe increased its production of cow milk while, on the demand side, the Russian outlet was suspended and the Chinise demand slowed down. Egg prices plummeted (−9.6%) in relation with the excessive supply : severlal countries had closed their borders to the French poultry following the avian flue episode.

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

Base year: 2010
Indices of producer prices of agricultural products (IPPAP)
Weights Jan. 2016 Variation as % over
a month 3 months a year
raw Seasonnaly adjusted raw
Agricultural goods output 1000 110.1 –1.1 –3.4 –1.7
excluding fruits and vegetables 900 111.7 –1.5 –2.4 –1.1
Crop output (excluding fruits and vegetables) 505 114.4 –2.5 –3.1 –1.7
Cereals 188 95.8 –7.4 –8.7 –17.5
of which soft wheat 112 92.1 –8.1 –8.5 –20.0
grain maize 41 90.8 –6.1 –6.4 –1.5
Potatoes 26 178.5 /// /// +92.1
Wines 177 131.3 +0.6 +1.2 +1.6
Protected designation of origin 84 138.4 +1.2 +3.1 +3.5
other wines 23 145.7 +0.3 –2.5 –1.8
Oleaginous 49 98.0 –5.0 –4.7 +2.6
Horticultural products 30 110.0 –1.3 –2.5 +1.3
Other crop products 36 108.2 +0.5 +1.2 +1.7
Fruits and vegetables (1) 100 95.7 /// /// –7.8
Fresh vegetables 53 86.1 /// /// –14.1
Fresh fruits 35 104.1 /// /// –1.5
Animal output 395 108.1 –0.1 –1.4 –0.5
Animals 234 110.0 +0.4 –2.0 –0.1
of which large cattle 96 116.3 –1.0 –2.9 –0.3
calves 26 112.7 +1.8 +6.9 +1.6
pigs 54 94.9 +3.4 –5.5 –1.4
sheep 10 118.9 +0.9 –1.2 –3.5
poultry 46 111.2 +0.1 –0.6 +2.2
of which chicken 28 110.7 –0.4 –1.2 +1.8
Milk 147 104.6 /// +0.3 +0.2
of which cow milk (2) 137 103.9 /// +0.3 +0.1
Eggs 15 113.8 –9.6 –5.5 –9.8
  • (1) Including vegetables for industry.
  • (2)The price for Jan. is not yet known and therefore is estimated by carrying forward the seasonally adjusted price of December
  • Sources: Insee, SSP (ministry in charge of agriculture)

Purchase prices of means of production slipped

In January 2016, intermediate consumption prices fell compared to the previous month (−0,7 %) due to the decline in energy and fertiliser prices (resp. −3.3 % and −1.0 %). Over one year, they decreased too, by 2.0 %, with the same components, energy and fertilisers (resp. −10.6 % et −4.4 %). Capital goods prices were virtually stable (−0.1 %). Over one year, they went up by 0.7%.

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 Jan. 2016 variation as % over
one month 3 month a year
Total input 1000 107.3 –0.6 –1.5 –1.4
Intermediate consumptions 764 107.6 –0.7 –2.0 –2.0
Energy 100 84.0 –3.3 –11.1 –10.6
Seeds 57 108.7 –0.4 –0.9 +0.1
Fertilisers and soil improvers 92 114.3 –1.0 –1.8 –4.4
Plant protection products 78 99.9 –0.4 –0.7 +0.2
Animal feed 205 115.2 –0.6 –1.5 –1.7
Veterinary expenses 43 116.1 +1.0 +0.8 +2.1
Small equipment and tools 17 109.8 –0.3 –0.4 +1.5
Maintenance of materials 67 112.4 –1.1 –1.0 +0.1
Maintenance of buildings 9 106.5 0.0 –0.1 0.0
Other goods and services 97 101.4 +0.1 +0.1 +0.2
Goods and services contributing to investment 236 106.8 –0.1 +0.3 +0.7
Material 186 107.8 0.0 +0.5 +1.0
Tractors 79 107.6 0.0 +0.7 +1.5
Machinery and plant for cultivation 36 110.5 +0.6 +1.0 +1.3
Machinery and plant for harvesting 42 107.9 –0.7 0.0 +1.0
Utility vehicles 18 104.6 +0.1 +0.1 –0.2
Buildings 50 103.2 0.0 –0.2 –0.8
  • (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)