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Energy and Gas Markets

Rise in Agricultural Input Prices and the Impact of Energy on Costs

Rise in Agricultural Input Prices and the Impact of Energy on Costs
Energy and Gas Markets · 13:17:19 - Tuesday, 20 October 2026

Written by: Salma Al-Saqqa

Agricultural input prices have risen significantly, influenced by the major increase in energy costs, according to data released by the Statistics Foundation for the month of August 2026. The data showed that the agricultural input price index recorded an annual increase of 30.28 percent, while it rose on a monthly basis by 3.41 percent, bringing the total index value to 1,034.89 points.

The Impact of Energy and Lubricant Prices on Production Costs

The energy and lubricants sector topped the list of sectors that witnessed the highest price increase rates among agricultural inputs. Energy and lubricant prices recorded sharp increases of 9.58 percent on a monthly basis, while achieving a massive annual leap that reached 43.14 percent compared to the same month of the previous year. In this regard, energy and lubricants have become the leading sub-group in pushing the general index to rise, both in the short and long term.

Costs of Goods and Services Used in the Agricultural Sector

Goods and services used in the agricultural sector witnessed notable increases of 3.77 percent in the month of August alone, while the annual rate of increase for this group reached 31.63 percent. Costs have risen since the beginning of the year by 22.20 percent, while the average increase over twelve months stabilized at 34.62 percent, bringing this group's index to 1,008.94 points.

Agricultural Investments and Upcoming Economic Data

Regarding goods and services contributing to agricultural investments, they recorded a relatively slight increase compared to others, as the monthly increase reached 1.17 percent and the annual 22.16 percent, bringing the agricultural investment index to 1,242.25 points. It is worth noting that new official data regarding agricultural input prices for the month of September will be announced in November 2026.

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