Agricultural prices soar as Covid bottlenecks bite

CSO data point to strong build up in price pressure across sector

Agricultural output prices are often seen as a proxy for food prices

Agricultural output prices are often seen as a proxy for food prices

 

Agricultural output prices, often seen as a proxy for food prices, rose by 10 per cent on an annual basis in August, according to the Central Statistics Office (CSO). The figures show input prices rose by a similar margin.

Within the main increase for output prices, sub-indices for sheep and milk prices increased by 17.9 per cent and 14.8 per cent respectively on August 2020 prices.

On the input side, sub-indices for fertilisers and motor fuels were up 25.4 per cent and 20.2 per cent respectively on August 2020 prices.

The figures feed into the wider picture of rapidly increasing prices across the economy.

They also come in the wake of a report by accounting and professional services firm Ifac, which indicated that a significant number of food firms are reporting difficulties with rising costs.

More than two-thirds (71 per cent) reported an increase in costs this year, from transport and energy to raw materials and packaging, according to the group’s latest sentiment survey.