Farm-gate prices low; Slower drop for consumer prices |
10/12/2020 |
In August and July, the consumer price of table potatoes decreased by 13%. The price of beef also decreased (-2%). Only the price of fresh fruit increased (+3%). Other prices in Dutch supermarkets remained more or less unchanged. Store prices for pork and eggs were respectively 6% and 4% higher than September last year.
Farm-gate prices are quite a different matter. With the exception of cereal prices, the prices for farmers are at a considerably lower level compared to September 2019. Potato prices are 31% lower, pig prices 24%, egg prices 14% and both dairy and broiler chick prices 7% lower than in September last year. Cereal prices, on the other hand, are actually 13% higher than the same time last year.
The low farm-gate prices reflect a drop in demand from domestic and foreign catering sectors. Because chicken-meat and egg producers complying with additional sustainability requirements for the Dutch supermarkets work under contract, they are not affected by price decreases.
These results appear from the bimonthly notes to the Food Price Monitor of Wageningen Economic Research and Statistics Netherlands.
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