Agricultural producer price inflation reaches double digits

ISTANBUL (CIHAN)- Producer prices in the agricultural sector rose in March by 0.82 percent over the previous month, with the result that the annualized rate of inflation has risen to double digits, according to figures from the Turkish Statistics Institute (TurkStat) published on Monday.

The first three months of the year witnessed a 2.5 percent increase in agricultural producer prices, pushing annualized inflation to 10.34 percent. Agricultural product prices saw a 0.91 percent increase last month, while forestry products saw a 0.81 percent decrease in prices. The fishing industry also experienced a 0.67 percent decline in producer prices. Perennial crops, however, experienced a 13.81 percent increase. Watermelon, honeydew and root vegetable prices increased 9.54 percent, while prices for poultry and decreased 2.3 percent.

The agricultural sector was hit hard in various regions of Turkey due to drought, and above-average temperatures caused early blooming, which rendered crops more susceptible to damage from the frost that arrived in the last week of March.

Inflation in the agricultural sector is likely to impact national inflation rates. Central Bank of Turkey Governor Erdem BaIçI said he expected inflation to peak during the month of May at a JPMorgan investors seminar on Sunday in Washington, D.C.

(CihanToday’s Zaman) C