Canadian Field Crop Returns Sink

OTTAWA - Dec 5/05 - SNS -- Canadian farmers experienced a major decline in returns from field crops in September, with returns for all crops plunging 17.9% below year earlier levels, and 3.6% between August and September of this year, according to Statistics Canada.

In revealing its latest Farm Product Price Index (FPPI) calculations, the federal agency said the worsening price situation facing field crop producers continues "the downward trend in year-over-year price changes since the summer of 2003."

In contrast, prices for livestock and animal products were 1.6% above the year earlier level. The overall livestock and animal products index has increased in all but one of the nine months this year. Stronger cattle and calf and dairy prices have supported the increase for the last three months, as hog, eggs and poultry prices continued their year-over-year slide.

On a monthly basis, prices farmers received for their commodities dropped 2.6% in September from August, again as the decline in the overall crops index outstripped the slight increase in the livestock and animal products index.

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