2010 agro price index up 23.83%

BANGKOK, 21 January 2011 (NNT) – Price index for agricultural produces in general in 2010 is found to be higher than last year by 23.83% while the index this year is expected to rise continuously following the increasing demand for fuel.

According to Agriculture and Cooperatives Minister Theera Wongsamut, the agricultural goods price index for December last year was at 171.69, an increase of 22.74% year-on-year and 4.06% month-on-month. The price index for the whole year stood at 156.72, rising 23.83% year-on-year.

The price index for the whole 2010 had been in high level since the beginning of the year and had been soaring further from June 2010 onwards. Prices of many agricultural crops in general had been climbing up for seven consecutive months.

Major produces with increasing prices were maize for animal feed, tapioca, oil palm, para rubber, pineapple, coconut and livestock products. Off-season rice was the only crop with declining price during the period due to oversupply.

As for January 2011, it is estimated that the price index will increase further because of the rising oil palm and para rubber prices following higher fuel demand during winter among countries in the western hemisphere.