The report, derived from information in USDA’s monthly Ag Prices report, shows that for a pound of bacon retailing at five dollars and 33 cents, a farm receives just 85 cents or just 16 percent. For a box of corn flakes selling at four dollars and 69 cents in a grocery stores, producers receive just 2 percent of the retail price – ten cents.
The report was publicized by the National Farmers Union. Their president, Roger Johnson says high prices don’t necessarily mean farmer profitability. He said this is a reminder that farmers and ranchers need certainty, and that a lack of a full five-year farm bill will continue to impact operations.