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French Farm Production Costs Climb 4.6% in August on Energy

Oct. 3 (Bloomberg) -- French farm-production costs jumped 4.6 percent in August as growers and livestock breeders spent more on energy and animal feed, the Agriculture Ministry said.

An index of agricultural-input costs averaged 135.1 for the month, against 129.2 a year earlier, the ministry reported today on its website.

Energy and lubricant expenses, making up about 11 percent of the index, rose 8.9 percent, according to the report. The cost of animal feed, with an index weighting of about 25 percent, climbed 8.5 percent.

“The costs of agricultural production climbed in July and August, after stabilizing during the second quarter,” the ministry said. “Those for energy continue their July rebound.”

The index for fertilizer, accounting for 12 percent of farming costs, rose 3.3 percent and expenses for seeds and planting material advanced 2 percent, the report showed.

Production costs for commodity crops, a subgroup of farming expenses, gained 3.3 percent, while livestock and dairy producers’ costs rose 4.6 percent, the ministry said.

To contact the reporter on this story: Rudy Ruitenberg in Paris at rruitenberg@bloomberg.net

To contact the editor responsible for this story: Claudia Carpenter at ccarpenter2@bloomberg.net

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