After Two Consecutive Months of Decline, Indonesian Farmers' Welfare Rebounds in June 2022

The Central Statistics Agency (BPS) reports that the welfare level of farmers in Indonesia generally increased in June 2022. This increase occurred after a decline in the two preceding months.

This is reflected in the combined farmer exchange rate (NTP) in June 2022, which reached 105.96. This figure is up 0.52% from the previous month's 105.41 (month-to-month/m-to-m).

According to BPS, the increase in NTP in June 2022 was due to a higher increase in the price index of agricultural output compared to the increase in the price index of goods and services consumed by households, as well as production costs and the addition of capital goods.

Furthermore, the June 2022 NTP increase was influenced by the rise in NTP in two agricultural sub-sectors: the horticulture sub-sector by 13.44% (m-to-m) and the livestock sub-sector by 0.55% (m-to-m).

Meanwhile, three other sub-sectors experienced a decrease in NTP: the food crops sub-sector by 1.20% (m-to-m), the people's plantation crops sub-sector by 1.16% (m-to-m), and the fisheries sub-sector by 0.39% (m-to-m).

Of the 34 provinces in Indonesia, 18 experienced an increase in NTP, while the remaining 16 provinces experienced a decrease.

The highest NTP increase in June 2022 occurred in East Kalimantan, at 2.26% (m-to-m). Meanwhile, the largest decrease in NTP occurred in Bengkulu, at 5.01% (m-to-m).