Pace of increase in agricultural input prices slows further: Data

ANKARA

The pace of annual increase in the agricultural input price index (IPI) continued to slow, according to data from the Turkish Statistical Institute (TÜİK).

Agricultural IPI rose by 33.3 percent year-on-year in August after increasing 47.6 percent in June and 41.6 percent in July.

The monthly increase in the index also eased from 3.42 percent in July to 1.39 percent in August.

The input prices in agriculture have risen 22.3 percent compared with the end of December 2023, TÜİK data showed on Oct. 21.

The sub-index of the prices of goods and services used in the agriculture sector was up 0.99 percent monthly, down from 3.6 percent, bringing the annual increase to 30.9 percent against the year-on-year rise of 39.8 percent in July.

Seeds prices were up 4.6 percent month-on-month and 58 percent year-on-year, while veterinary costs increased 2.6 percent and 74 percent, respectively.

The monthly and annual increases in fertilizer prices were 2.1 percent and 9.3 percent, respectively.

The cost of animal feed rose 0.5 percent in August from July, for an annualized increase of 26.7 percent.

Food inflation is one of the pressing issues for Turkish consumers.

Food and non-alcoholic beverage prices were up 2.48 percent month-on-month in September, while the monthly headline inflation was 2.97 percent, according to the latest inflation data available.

Food prices advanced 43.72 percent last month, down from the year-on-year increase of 75.1 percent recorded in September 2023.

The headline inflation rate was 49.38 percent in September, easing from 51.97 percent in the previous month.