Stats Can: Farm Input Costs On The Rise

Jan 16, 2013

Farm Input Price Index Rose 0.8 Percent In Q3 2012

The Canadian Farm Input Index rose 0.8% in the third quarter, according to Statistics Canada.

As for animal production, it rose 3.7% - which actually contributed to the rise in the overall index. While animal production input costs were higher, there was a decrease in crop production inputs by 1.7%. Since 2010, animal production has been the main contributor to growth.

The statistics collected were from across Canada and there was an index increase in eight provinces. Ontario and Quebec were the highest, with Ontario at 1.9% and Quebec at 2.5%. While Ontario and Quebec saw farm input costs rise, Saskatchewan and New Brunswick saw decreases – with Saskatchewan experiencing a decrease of 1.1% and New Brunswick by 0.1%.

Looking at the national average, farm input prices increased by 5.8% between Q3 of 2011 and Q3 of 2012.

More information can be found on Statistics Canada website.

Video: Did Bears Win Thanksgiving, Will Bulls Get Christmas?

Did the bears win Thanksgiving (although this week had green on the screen), and will the bulls get Christmas? Bears won thanksgiving thanks to a USDA Nov crop report dud that stalled the bullish grain momentum for a brief period. But a bullish lower yield surprise in the Dec crop report could reignite the rally.
2026 U.S. winter wheat planting is nearly complete at 97% while crop conditions improved by 3 points to 48% good-to-excellent. US corn & soybean harvest is complete.
High corn demand, which is off the chart, and more Chinese soybean demand could support a Christmas rally.
Nasdaq had it’s worst November since 2011.
A U.S. Fed rate cut in December will help fund flow and sentiment.
Bitcoin held a long-term support at 80,000 and that's positive for fund flow and sentiment. It should help stock prices and Ag as we go into December.
Fertilizer prices continue to climb as we look ahead to 2026. Farmers may rely more on the nutrients that they already have in their soils.
South American Weather remains critical as the soybean reproductive stage starts from late Nov to late Feb depending on planting date.
Will a Russia-Ukraine peace deal happen by year-end?
CFTC data as of showed more managed money fund sell-off as of October 14th.