U.S. Farm Commodity Prices Slip

WASHINGTON - Dec 29/04 - SNS -- Agriculture commodity prices came under pressure during the past month in the United States, resulting in a three point decline in the USDA's All Farm Products Index of Prices Received by Farmers in December to a preliminary estimate of 112, based on 1990-92=100.

The Crop Index is down 8 points (7.1%) from November while the Livestock Index increased 1 point (0.8%). Producers received higher commodity prices for cattle, dairy, eggs, and cauliflower. Lower prices were received for tomatoes, oranges, corn, and cotton.

The seasonal change in the mix of commodities farmers sell, based on the past 3-year average, also affects the overall index. Increased average marketings of dairy, tobacco, and wheat offset decreased marketings of cattle, grapes, and soybeans. The preliminary All Farm Products Index is down 2 points (1.8%) from December 2003.

The Food Commodities Index decreased 4 points (3.3%) from last month to 118. The index is up 2 points (1.7%) from December 2003.

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