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

WASHINGTON - Dec 30/09 - SNS -- The preliminary All Farm Products Index of Prices Received by Farmers in December, at 136%, based on 1990-92=100, was unchanged from November, shows this USDA statistics.

The Crop Index is down 2 points (1.3%) but the Livestock Index increased 3 points (2.6%). Producers received higher prices for milk, soybeans, grapes, and strawberries and lower prices for oranges, cattle, corn, and broccoli. In addition to prices, the overall index is also affected by the seasonal change based on a 3-year average mix of commodities producers sell. Increased monthly marketings of wheat, milk, oranges, and lettuce offset decreased marketings of soybeans, corn, cattle, and grapes.

The preliminary All Farm Products Index is up 1 point (0.7%) from December 2008. The Food Commodities Index, at 138, increased 2 points (1.5%) from last month and increased 5 points (3.8%) from December 2008.

The December Index of Prices Paid for Commodities and Services, Interest, Taxes, and Farm Wage Rates (PPITW) is 177% of the 1990-92 average. The index is unchanged from November but 1 point (0.6%) below December 2008. Lower prices in December for diesel, feeder cattle, other services, and potash & phosphate offset higher prices for herbicides, feeder pigs, supplements, and LP gas.

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