Farm Product Price Index Shows Decline in June 2024

The Farm Product Price Index (FPPI) for June 2024 has been reported by Statistics Canada. The index decreased by 1.3% compared to June 2023, marking the sixth consecutive year-over-year monthly decline. This decline is noted as the smallest decrease since the beginning of 2024.

Key points from the report include:

• The crops index fell by 8.2% year-over-year, continuing its decline for 18 months. This decrease was primarily attributed to lower prices for major grains and oilseeds.
• The grain index specifically dropped by 14.4% in June, influenced by reduced prices for barley (down 24.4%), corn (down 22.8%), and wheat (down 14.9%). However, oat prices increased by 18.7%, which partially offset the overall decline in the grain index.
• The oilseeds index also saw a decrease of 12.8%, with lower prices for soybeans (down 16.7%) and canola (down 13.6%).
• In contrast, the livestock and animal products price index rose by 8.8% year-over-year, marking the fourth consecutive monthly increase. The cattle and calves price index increased by 10.8%, supported by a smaller cattle herd and higher exports of live cattle.
• The hogs price index recorded a 15.2% gain, attributed to strong demand for pork.
• The poultry and eggs indexes reported declines of 5.1% and 1.0%, respectively, while the dairy index increased by 5.7%.