Figure 1: Australian Harvest & Haulage Cost Index September 2023, Nominal
Sources: ABS, AIP, Margules Groome
Margules Groome’s quarterly harvest and haulage cost index for Australian plantation operations is based on price indexation mechanisms used by industry, weighted by volume harvested (Figure 1). The previous index for June 2023 showed the end of the harvest and haulage cost indices’ downward trend evident in the first half of 2023. For the September quarter of 2023, the indices rose mainly due to the deterioration in the value of the AUD leading to increased fuel prices. Higher than expected wage data and CPI didn’t help either. We now expect the indices to return to the level they were at 12 months ago (December quarter 2022) in the December quarter 2023.
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