June Farm Prices Still Lag Rising Costs

Farm costs, measured by the prices paid index rose 0.5% month over month to 221, but that is 3.3% higher than June of 2012. Higher prices for nitrogen fertilizer, feeder cattle, and other fertilizers and supplements led the prices-paid hike.

Prices received by farmers rose the most for oilseeds, particularly soybeans, which are 8.6% higher than in June of 2012. Consumer prices for fruits and nuts rose 11% month over month, but are 2.1% lower than they were a year ago. Potatoes and dry beans are cheaper than they were a year ago and meat prices are up 0.6% compared with June of 2012, but flat month over month.

The USDA also noted that it is suspending a number of its statistical surveys and reports for the remainder of the 2013 fiscal year due to reduced funding.