German farmgate prices plunge 13.9% in May, steepest drop since 2015

Accelerating price declines for agricultural producers signal deepening margin pressure, even as broader consumer inflation in Germany continues to ease.

By Handelsavisen Newsroom · Automated 2026-07-13 08:18 UTC · 1 min read

German agricultural producer prices fell sharply in May, marking the steepest annual decline since January 2015.

The data reveals a significant disconnect between farmgate revenues and broader consumer price trends, with input costs and market dynamics squeezing margins for primary producers.

9% in May. This acceleration in the price decline underscores the severity of the current downturn for the sector, which has been grappling with structural challenges and volatile market conditions for over a decade.

According to reports from Handelsblatt, the year-on-year drop in producer prices for agricultural products reached 13.9% in May.

This acceleration in the price decline underscores the severity of the current downturn for the sector, which has been grappling with structural challenges and volatile market conditions for over a decade.

The sharp contraction in farmgate prices comes as consumer inflation in Germany continues to moderate.

Recent data from the Federal Statistical Office (Destatis) showed that consumer price inflation slowed to 2.3% year-on-year in June, down from 2.6% in May.