Producer prices of agricultural products grows by 18% in Q1

The producer prices of agricultural products rose by 18 per cent in the first quarter of 2022, according to Statistics Finland.

The prices of vegetable products went up by 27 per cent and those of meat and animal products by good 12 per cent.

The lowest grain crop in the 2000s, rising energy prices in the aftermath of the pandemic, increased production costs as a result of the Russian attack on Ukraine, and endangering the future grain crop in Ukraine are the main reasons for the hefty rise in producer prices.

The producer price of grain rose by 74 per cent in the first quarter of 2022 while the producer price of meat rose by nine per cent and price of milk rose by 15 per cent.

Prices last rose as sharply as this in 2012 globally as a result of poor crop yields.