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

WASHINGTON - Jun 28/07 - SNS -- The preliminary All Farm Products Index of Prices Received by Farmers in June, at 141%, based on 1990-92=100, increased 3 points (2.2%) from May, according to this USDA report on the sector.

The Crop Index is up 3 points (2.1%) and the Livestock Index increased 2 points (1.5%). Producers received higher commodity prices for milk, corn, lettuce, and soybeans. Lower prices were received for cantaloups, cattle, tomatoes, and eggs. 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 wheat, grapes, hay, and cantaloups offset decreased marketings of oranges, strawberries, tomatoes, and sweet corn.

The preliminary All Farm Products Index is up 23 points (19%) from June 2006. The Food Commodities Index, at 141, increased 2 points (1.4%) from a month ago and increased 22 points (18%) from June 2006.

The June Index of Prices Paid for Commodities and Services, Interest, Taxes, and Farm Wage Rates (PPITW) is 156% of the 1990-92 average. The index is down 1 point (0.6%) from May but 7 points (4.7%) above June 2006. Lower prices in June for complete feeds, feed concentrates, and feeder pigs offset higher prices for feed grains and diesel fuel.

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