The Farmer Terms Of Trade

Release Date	:	June 16, 2003
File Size	:	0.13 MB

Abstract

In March 2003, the national value of Farmer Term of Trade (FTT) experienced a decrease of 3.58 per cent over February 2003, from 123.04 in February to 118.64 in March. This decrease was caused by the decrease in Producer Price in agriculture sector as high as 1.95 per cent, combined with the increase in price of good and services consumed by farmers? household as high as 2.24 per cent. Even though price of capital goods/services in agriculture sector already dropped by 1.71 per cent, it had no significant impact in (i.e. Index of Price paid by farmers rose by 2.87 per cent).
From 20 provinces observed during November 2002, 14 provinces had FTT above 100 and 6 provinces had FTT below 100. The highest FTT was reached by Kalimantan Timur (270.69), while the lowest figure was recorded by Sumatera Selatan (76.00).

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