Farmers' Terms of Trade Fall 0.06% in June 2026

The national Farmers’ Terms of Trade (NTP) was recorded at 127.65 in June 2026, a marginal decline of 0.06% compared to May 2026. This was caused by a 0.49% increase in the index of prices received by farmers, which was lower than the 0.55% increase in the index of prices paid by farmers.

Deputy for Distribution and Services Statistics at BPS, Ateng Hartono, stated that the lower index of prices received compared to prices paid influenced the decline in the NTP. The NTP serves as a benchmark for farmer welfare in Indonesia.

‘The dominant commodities influencing the index of prices received by farmers, as can be seen in the table, are rubber, unhusked rice, shallots, and maize,’ he said during a press conference on Wednesday (1/7/2026). Meanwhile, commodities contributing to the index of prices paid by farmers included shallots, petrol, garlic, and rice.

Among NTP subsectors, only the food crops subsector experienced an NTP increase of 0.75%. The horticulture, fisheries, livestock, and smallholder plantation subsectors all recorded declines in their NTP.

Furthermore, BPS noted an increase in the average price of rice at every level in June 2026. At the mill level, there was a 0.97% month-to-month (mtm) increase, while the wholesale level rose 0.82% and the retail level rose 0.45%. On an annual basis, the increase in rice prices reached 6.96% year-on-year (yoy).

In detail, Ateng stated that the price of premium rice at mills rose 1.01% mtm and 11.66% yoy. For medium rice, the increase was 0.96% mtm and 5.10% yoy.

‘For rice inflation at the wholesale and retail levels in June 2026, firstly at the wholesale level there was inflation of 0.82% mtm and inflation of 5.12% year-on-year. At the retail level, there was mtm inflation of 0.45% and yoy inflation of 3.98%,’ Ateng said.