Meanwhile, the index of the prices paid by farmers decreased by (about) 0.68 percent.Jakarta (ANTARA) - The Farmers Exchange Rate (NTP) increased by around 1.97 percent in August 2022 compared to July to reach 106.31, Head of Statistics Indonesia (BPS) Margo Yuwono informed at a press conference on Thursday.
"The increase in NTP occurred because the index of the prices received by farmers rose (about) 1.28 percent. Meanwhile, the index of the prices paid by farmers decreased by (about) 0.68 percent," he said.
The commodities that contributed the most to the increase in the index of the prices received by farmers were oil palm, unhulled rice, eggs, and cloves, he noted.
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Meanwhile, the decline in the index of prices paid by the farmers was prompted by a fall in the prices of shallots, red chilies, cayenne pepper, and broiler chickens.
Based on the sub-sector, the highest increase in NTP was recorded in the smallholder plantation sub-sector, with the NTP of the sub-sector rising by 5.86 percent.
The increase occurred because the index of the prices received by farmers in the sub-sector rose by 5.10 percent. Meanwhile, the index of the prices paid by farmers in the sub-sector decreased by 0.71 percent.
The products that resulted in the increase of the index of the prices received by smallholder plantation farmers were oil palm, cloves, pepper, and coffee.
Furthermore, the BPS head said that the biggest decline of 7.38 percent in NTP was seen in the horticulture sub-sector.
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The decline occurred because the index of the prices received by horticulture farmers fell by 7.93 percent. The decline was much larger than in the index of the prices paid by farmers, which dropped by 0.59 percent.
"And the contributing commodities were shallots, cayenne pepper, red chilies, and cabbage," Yuwono informed.
The food crops sub-sector needs more attention since its NTP value is below 100, he added.
"In August, the value was 97.90. This means that the value of the prices which need to be paid is higher than the household’s income (the index of the prices received) on food crops," he expounded.
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Translator: Sella Gareta, Uyu Liman
Editor: Fardah Assegaf
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