Farmers received 37 percent of what consumers paid for fresh, field-grown tomatoes in 2023

For the fourth straight year, the U.S. farm share of retail prices for fresh, field-grown tomatoes remained above 35 percent in 2023. The farm share is the ratio of what farmers receive to what consumers pay per pound in grocery stores. Retail prices have been mostly stable near $1.92 per pound since 2016. This stability has occurred despite generally higher farm prices since 2020. Farm prices, the amount growers received per pound of fresh tomatoes, fell 7 cents in 2023 from 2022, based on a simple average of monthly prices. USDA, Economic Research Service (ERS) estimates farm-to-retail price spreads for field-grown, fresh-market tomatoes using a simple average of monthly retail prices reported by the U.S. Department of Labor, Bureau of Labor Statistics and monthly farm-level prices reported by the USDA, National Agricultural Statistical Service (NASS). This approach gives equal weight to all months of the year. Same-month farm prices were lower during much of 2023 compared with 2022. However, production is seasonal. In 2023, farm prices were higher during peak domestic production periods than they were during the same periods in 2022. NASS season average price data show farm prices were up about 3.5 cents per pound on an annual basis that gives more weight to months with greater domestic production. The farm share of retail prices would have been even higher in 2023 if viewed on this basis. More information on ERS farm share data can be found in the Price Spreads from Farm to Consumer data product, updated February 27, 2024.

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