Purdue Study on Farm Input Prices
- On May 4, 2022
- economic study, farm inputs, inflation, Purdue University
Purdue University recently released a study exploring trends in inflation and farm input prices, including seeds. The study looks at prices over the last 12 months, as well as trends of the past 5 and 10 years. This comes on the heels of USDA’s Economic Research Service (ERS) 2022 Farm Sector Income Forecast, released Feb. 4, 2022, which had similar findings.
The study finds that the price increases of key farm inputs outpaced the inflation increases over the 12-month period, with the exception of seed and wages. While over time farm input prices are correlated with inflation, individual inputs have supply and demand factors that impact price.
The study was accompanied by two charts: one which showed the short-term inflation changes in farm inputs over the last 12 months, and one which showed a 5- and 10-year comparison. The full paper can be found here.
