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East Java Farmer Exchange Rates (NTP) in January 2020 rose by 0.65 percent.

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Release Date	:	February 6, 2020
File Size	:	0.61 MB

Abstract

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Abstraction

Starting in January 2020 there will be a change in the base year in calculating the Farmer Received Price Index (IT) and the Farmer Paid Price Index (IB) from base year 2012 = 100 to base year 2018 = 100. Both types of indexes are important components in calculating Farmer Exchange Rates (NTP). This basic year change was made to adjust changes in production patterns, production costs, and consumption of agricultural households in rural areas. In base year 2018 = 100 there was an increase in the number of commodities in both the It and Ib commodity packages compared to base year 2012 = 100.
NTP is a comparison of It to Ib which is used to show the terms of trade of agricultural products with goods and services consumed as well as for production costs. The higher the FTT, the relatively stronger the level of farmers' ability / purchasing power.
East Java Farmer Exchange Rates (NTP) in January 2020 rose 0.65 percent from 103.32 to 103.98. The increase in FTT is due to the price index received by farmers (IT) which has increased higher than the increase in price index paid by farmers (Ib).
The development of NTP in January 2020 compared to January 2019 (year-on-year) rose by 2.26 percent.

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