Farm product prices in September rose 8% year-on-year and local private consumption is likely to show a consequent increase, according to the Office of Agricultural Economics.
Secretary-general Jariya Sutthichaiya said on Friday the rise in the farm product prices index compared favourably with the 8.3% year-on-year decline in August.
The increase resulted from rising prices for paddy, rubber and oil palm, following the drop in yields.
Conversely, the prices of cassava and maize for animal feeds dropped because their yields increased and cheaper wheat was imported for use in animal feed.
In September, the amount of produce was up 4% year-on-year due to the large crops of maize and longkong fruit. This compared with 15.2% in August, Ms Jariya said.
Farmers' income in September grew by 12.4% year-on-year, compared with 4.5% in August. The increase particularly benefitted growers of rubber, oil palm and Pacific white prawns.
The rising income was a good sign for local private consumption, as it would be reflected in stronger purchasing power, Ms Jariya said.