Average Prices Received by U.S. Farmers Up Versus Last Year

WASHINGTON - Nov/06 - SNS -- The preliminary All Farm Products Index of Prices Received by Farmers in November, at 121%, based on 1990-92=100, increased 5 points (4.3%) from October, judging from the latest USDA report on the sector.

The Crop Index is up 10 points (8.7%) but the Livestock Index decreased 1 point (0.9%). Producers received higher commodity prices for corn, soybeans, eggs, and milk. Lower prices were received for cattle, tomatoes, oranges, and hogs. The overall index is also affected by the seasonal change based on a 3-year average mix of commodities producers sell. Increased average marketings of milk, cattle, cotton, and oranges offset decreased marketings of soybeans, potatoes, peanuts, and lettuce.

The preliminary All Farm Products Index is up 9 points (8.0%) from November 2005. The Food Commodities Index, at 121, increased 4 points (3.4%) from a month ago and 2 points (1.7%) from November 2005.

The November Index of Prices Paid for Commodities and Services, Interest, Taxes, and Farm Wage Rates (PPITW) is 146% of the 1990-92 average. The index is unchanged from October but 4 points above (2.8%) November 2005. Higher prices for feed grains, feed supplements, feed concentrates, and complete feeds offset lower prices in November for feeder cattle, mixed fertilizers, LP gas, and herbicides.

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