608 



Agricultural Prices. 



[Oct., 



ture will not afford any true estimate of the extent to which 

 the increased returns have been counterbalanced by the addi- 

 tional outlay on cost of production. A rough comparison, 

 however, is of interest as showing how, in common with other 

 industries, the increased returns from sales of produce have 

 been accompanied by higher costs of production. In making 

 such a comparison the average prices of the three years 1911 — 

 1913 have been taken as a fair basis for the pre-war period. 

 On that basis a table of percentages has been drawn up to 

 illustrate the changes in the war period as compared with the 

 years 1911 — 1913 for each of the main products sold by farmers. 

 In all cases the price of an average quality has been selected. 



From these calculations it appears that the price for cattle, 

 which in 1914 showed an increase of 6 per cent., rose in a 

 gradually ascending scale to 132 per cent, in 1919. Milk rose 

 from 3 to 200 per cent., sheep from 13 to 130, pigs from 6 to 

 176, wheat from 7 to 123, wool from 9 to 208, butter from 1 to 

 115, oats from 5 to 164, cheese from 4 to 169, beans and peas 

 from 8 to 219, and vegetables from 8 to 157. Hay, which in 1914 

 showed a decrease of 23 per cent., increased in 1915 to + 6 per 

 cent, and in 1919 to + 157. Barley, which decreased 4 per 

 cent, in 1914, had risen in 1919 to + 167. In 1914 potatoes 

 dropped 15 per cent., but immediately recovered, standing 

 finally at 135 per cent, above the pre-war average. Poultry 

 and eggs dropped 2 per cent, in 1914, but at the end of the 

 period in question had risen to + 159 per cent. Fruit, which 

 in the first two years of the War showed decreases of 16 and 

 5 per cent, respectively, rose in 1916 to + 38 and in 1919 to 

 + 218. Hops in the first four years were respectively 54, 32, 

 19 and 9 per cent, below the 1911-13 average. In 1918 the 

 increase had mounted to 93, and in 1919 to 113, per cent, above 

 the pre-war average. 



On a general view, measuring the change by an index 

 number which takes into account not only the actual alterations 

 in price but the relative importance of the various products 

 in contributing to the farmers' exchequer, the percentage 

 increase for the years 1914 — 1919 as compared with 1911 — 

 1913 shows the following progression per annum: — 1, 27, 

 60, 101, 132, 158. This means that in 1914 there was practi- 

 cally no change, while in 1915 the increase amounted only to 

 27 per cent.; in each of the three following years prices rose 

 very sharply by 30 to 40 per cent, of the pre-war average, and 

 in the year of the Armistice they stood at 132 per cent, above 



