NTB, October 2021: Farmer Terms of Trade Down by 0.37 Percent

Farmer terms of trade (FTT) is the ratio between the indices of price received by farmers (It) and the indices of the price paid by farmers

FTT can be interpreted as an indicator to observe the purchasing power parity of farmers in the rural area. FTT also shows the terms of trade between agricultural products and consumption of goods and services as well as production cost.

FTT October 2021 was 106,19, decreased by -0,37 percent compared to the previous month. The decrease occurred because the indices of price received by farmers fell by -0,22 percent, while the indices of price paid by the farmers increased by 0,14 percent.

The value of farmer terms of trade by sub sector as follows: food crops about 107,15; horticulture about 97,91; smallholders estate crops about 95,26; animal husbandry about 110,19; and fishery about 111,68.

In October 2021, the Household Consumption Indices (IKRT) increased due to increasing value of all expenditure groups except for personal treatment and other services which was fell by            -0,11 percent.

Agricultural terms of trade in October 2021 was 105,51 percent, decreased by -0,29 percent compared to the previous month.