Canadian Farmers Saw Better Prices in March

OTTAWA - Jun 3/09 - SNS -- Prices received by Canadian farmers for their commodities fell 0.9% in March from the same month a year earlier, according to Statistics Canada, as the crops index fell, more than offsetting the growth in the total livestock and animal products index.

The total index (1997=100) increased from 117.2 in February to 117.8 in March. The month-over-month gain was the result of a 2.3% advance in the total livestock and animal products index, which more than offset a 1.1% decline in the crops index.

The total crops index had a 12-month decrease of 18.3%, as prices were down for grains, oilseeds and specialty crops. After the crops index reached the recent high of 155.3 in June 2008, production increases that year partially replenished global stocks, contributing to the decline in the crops index to 124.3 in March 2009.

The prices producers received for livestock and animal products in March were 16.5% higher compared with March 2008, continuing the growth in year-over-year prices since June 2008. A depreciating Canadian dollar relative to its American counterpart helped support higher cattle and hog prices.

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