The Colombian Mercantile Exchange delivered the balance of agricultural prices at the end of 2024. With this, the entity revealed that the Agricultural Price Index (IPAP) reached a level of 231.92, reflecting an annual growth of 0.9% compared to the previous year. 2023 when it was at 229.87.
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“This growth shows a recovery in agricultural prices and contrasts with the sharp drop of 6.2% recorded in 2023,” the signature highlighted.
With this information, it was highlighted that the upward trend can be attributed in part to the increase in the consolidated exchange rate in the last six months, which has made both imported agricultural products and inputs more expensive. agricultural products from abroad.
In addition, it is confirmed that what was projected in previous reports, which anticipated that a possible recovery in agricultural prices would occur by the end of 2024, in contrast to the downward trend observed during the last quarter of 2023.
Agriculture has been one of the sectors that has contributed the most to growth this year.
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Product behavior
This report measures the 33 subclasses that make up the Agricultural Price Index (IPAP), thus, 48.5% presented increases during 2024.
Therefore, the subclasses that presented the greatest annual contribution to price dynamics were potatoes, which increased 0.94 percentage points (pp), cocoa beans (0.8 pp), dried legumes (0.59 pp), others oleaginous fruits (0.56 pp) and cut flowers and buds (0.32 pp).
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On the contrary, the subclasses that presented the most significant negative contributions were raw cow’s milk with a drop of 1.18 percentage points (pp), cassava (-1.03 pp), chickens and hens (-0.4 pp), fresh chicken (-0.39 pp) and corn (-0.29 pp).
In accordance with the above, the five subclasses that contributed the most to the growth of agricultural prices together contributed 3.21 pp, while the five subclasses with the least contribution contributed -3.29 pp; Taking into account the other classes, total growth of 0.9% is consolidated
The firm also revealed that, during the last sixty months, a correlation is observed with the annual variation of the Producer Price Index (PPI) of the agricultural sector of 93.37%.
“Regarding the annual variation of the DANE Food Consumer Price Index (CPI), a correlation of 86.53% was recorded for the same period, while with the representative exchange rate of the market a much lower value of 45.2 was obtained. %. Although the consumer price indices show less volatility than the IPAP-BMC, it manages to generally capture its trend; Meanwhile, the IPP of the agricultural sector and the IPAP-BMC show a better adjustment in their dynamics,” the report stated.
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