Farm Household Sales Price Index Hits Record High at 109.1... Management Conditions Worsen

[Asia Economy Reporter Kwangho Lee] Last year, the farm sales price index reached its highest level. The management conditions of the agriculture and livestock industry were found to have worsened further.

According to the results of the "2019 Farm Sales and Purchase Price Survey" announced by Statistics Korea on the 30th, the farm sales price index last year was 109.1 (based on 2015=100), up 0.6% from the previous year.

Fruits and vegetables fell by 1.0%, but grains (3.5%) and livestock products (0.3%) rose.

Items with large increases compared to the previous year include non-glutinous rice (7.8%), Korean beef [male] (11.1%), tangerines (12.1%), pears (46.6%), and glutinous rice (20.7%).

The farm purchase price index was 104.1, up 1.6% from the previous year.

Material costs (3.2%), expenses (3.8%), and labor costs (4.2%) all rose, resulting in a 1.6% increase compared to the previous year.

For material costs, feed costs (4.1%), seeds and seedlings (4.6%), pesticide costs (1.6%), and farming supplies costs (2.0%) all increased.

However, the management conditions of the agriculture and livestock industry worsened in the same year.

The farm terms of trade index was 104.7, down 1.1% from the previous year.

The farm sales price index represents the prices of 72 items produced through agricultural management activities such as agricultural and livestock products, expressed as an index, while the farm purchase price index converts the prices of 421 purchased items used in household and management activities of farms into an index.

If the farm terms of trade index rises, it indicates an improvement in farm management conditions, and if it falls, it can be interpreted as a deterioration.

This content was produced with the assistance of AI translation services.