Big price fall in agricultural output last year

Central Statistical Bureau data published April 4 show that the price index of agricultural output in Latvia reduced by 18.9 % in 2023 (compared to 2022). The data were driven by a 24.3 % drop in the price index of crop products and an 8.9 % drop in the price index of animal products.

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In 2023, the overall level of crop product prices was mainly influenced by lower price index for grain (down by 28.6 %, of which prices of barley fell by 37.3 %, of rye by 31.3 %, of wheat by 27.4 %) as well as rape seeds (by 30.7 %).

The overall level of animal product prices was affected by lower raw milk price index (down by 24.4 %) and lower livestock price index (of cattle down by 9.2 %, of sheep and goats by 2.2 %).

In 2023, the largest reduction in the crop production sector was registered in the prices of grain, pulses, and rape seeds.

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The average purchase (procurement) price of grain fell by 27.3 % (from 286.59 EUR/tonne in 2022 to 208.39 EUR/tonne in 2023), with the sharpest drop in the barley and rye prices (33.7 % and 31.3 %, respectively). The price of wheat, which took 85 % of all grain purchased in 2023, went down from 289.61 EUR/tonne in 2022 to 211.72 EUR/tonne in 2023 or by 26.9 %.

The greatest reduction in the animal production sector was registered in the price of raw cow’s milk (of 24.6 % or from 471.18 EUR/tonne in 2022 to 355.05 EUR/tonne in 2023).

Significant increase over the year – of 584.55 EUR/tonne or 34.1 % – was recorded in the price of pork which reached the highest point in the last 30 years (2 300.49 EUR/tonne). In addition, compared to 2021 pork price has gone up by 76.7 %.

However, the average purchase (procurement) price of beef and veal fell by 334.88 EUR/tonne or 11.1 %.

The average purchase price of eggs, compared to the year before, rose by 26.1 % (from 10.21 EUR/100 pcs in 2022 to 12.87 EUR/100 pcs in 2023).

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