Farmer Exchange Rate Slightly Increases to 107.18 in November 2021

The Central Statistics Agency (BPS) reported that the farmer's exchange rate (NTP) was 107.18 in November 2021. This figure is a slight increase of 0.49% compared to the previous month, which was 106.67.

The increase in NTP is due to the increase in the price index received by farmers being higher than that paid by farmers. The price index received by farmers was recorded at 116.23, up 0.84% compared to the previous month's 115.26.

Meanwhile, the price index paid by farmers was 108.44. This figure increased by 0.35% compared to the previous month's 108.06.

The increase in NTP in November 2021 was also influenced by the increase in NTP in three agricultural sub-sectors. The highest increase was in the people's plantation sub-sector at 2.05%, followed by the livestock sub-sector at 0.56%, and the food crop sub-sector at 0.13%.

By province, Jambi experienced the highest increase in NTP in November 2021, at 2.72%. Meanwhile, West Papua experienced the deepest decline in NTP, at 0.81%.

NTP is one of the indicators used to measure the ability or purchasing power of farmers in rural areas. NTP also shows the terms of trade of agricultural products with goods and services consumed or used for production costs.