They evaporated 80 percent of farmers' income

On Wednesday, January 14, I was a speaker alongside Prof. Dr. Yaşar Uysal, Prof. Dr. Tayfun Özkaya, and Özkan Akgün at a panel titled “Production costs and prices in agriculture,” organized by the İzmir branch of the Chamber of Agricultural Engineers. The panel was moderated by Dr. Zerrin Çelik.

The problems of agriculture in Turkey were laid out on the table, and very useful solution proposals were brought forward. Words fly away, writing remains. I would like to share a brief summary of both the other speakers' contributions and my own.

When we talk about production costs and prices in agriculture, what will we address? Naturally, we will look at the data prepared by TURKSTAT (TÜİK) in general. And then, we will compare these data with the input costs that the producer actually pays in the market, such as seeds, fertilizer, agricultural pesticides, diesel, seasonal labor, and loan interest rates.

According to TURKSTAT, from January 2020 to the end of December, the consumer price index (inflation) increased 7.9 times, the agricultural input price index increased 8.7 times, and the agricultural product producer price index increased 10.8 times. The price of wheat, which was 1 lira and 70 kuruş in January 2020, became 13.5 lira in 2025. If we look at the increase, it is exactly the same as the TURKSTAT inflation. 7.9 times... If you look at it this way, you would conclude that they did not let the farmer be crushed by inflation. However, there is no trust in TURKSTAT's data. In the same period, according to ENAG, the consumer price index has increased 39 times.

I had previously written about how they actually evaporated the purchasing power of pensions and the minimum wage. Let us both recall those and try to estimate how much farmers' incomes have been evaporated.

In January 2020, the minimum wage was 2325 lira. If it had increased 7.9 times according to TURKSTAT, it would have been 18,367 lira. The minimum wage determined for 2026 is 28,075 lira... According to the TURKSTAT calculation, the minimum wage earner should be living in prosperity... Yet, according to ENAG, the 2325 lira of January 2020 is worth 90,675 lira today with a 39-fold increase. In reality, they have evaporated 70 percent of the minimum wage.

In January 2020, the average pension was 2088 lira. If it had increased 7.9 times according to TURKSTAT, it would have been 16,495 lira. However, today the average pension is 23,551 lira. According to TURKSTAT and the government, our retirees are living in prosperity and peace. Yet, in reality, the inflation experienced has increased exactly 39 times. The average pension that should be is 81,432 lira. They have cut 71 percent from the retiree's pension and spent it elsewhere.

When the subject is agriculture, every product is different, but let us look at wheat, the basic ingredient of our bread. In this case, let us look at the wheat producer. The base price of wheat, which was 1.7 kuruş, has become 13.5 lira. It has increased exactly as much as inflation. If the wheat base price had increased as much as ENAG inflation, it would have been 66 lira. Accordingly, they have evaporated 80 percent of the wheat producer's purchasing power. They have made them worse off than the worker and the retiree.

If a kilogram of wheat were 66 lira, how much would we pay for bread? Today, we buy 200 grams of bread for 15 lira with wheat that costs 13.5 lira per kilogram. That comes to 75 lira per kilogram. When you add whole wheat and sourdough, the price of bread reaches 125 lira per kilogram. If we also slice and bag it, we buy it for 188 lira per kilogram.

These prices are the prices at bakeries and large supermarkets in İzmir. However, you cannot see these breads and these prices in the TURKSTAT calculation.

We saw at the panel that the increase rates in input costs prepared by the Chamber of Agricultural Engineers reveal results very different from the TURKSTAT indices. In this situation, we put forward a proposal. From now on, it would be appropriate for the Chamber of Agricultural Engineers to calculate the input costs of certain major agricultural products according to their weights and prepare both an Agricultural Product Input Price Index and an Agricultural Product Producer Price Index, just like ENAG. Thus, we will also see how much wealth has been transferred from the farmer to other segments of society.

WHAT SHOULD BE DONE IN AGRICULTURE

The topics that both the speakers and the audience members who took the floor and contributed agreed upon at the meeting are as follows.

Planning must be implemented in every field, especially in subjects such as agriculture, industry, tourism, mining, environmental protection, and urbanization. The center of the development initiative must be the State Planning Organization (DPT).

In the light of science, and taking into account our country's water resources, an agriculture and livestock map must be drawn up. Without wasting any time, we must switch from flood irrigation to drip irrigation systems. According to this map, agricultural production areas for crops and pasture areas for cattle and small ruminants should be declared on a product and regional basis nationwide, in the most efficient way, while also observing water conservation and consumption; pastures must be rehabilitated and their control ensured.

Product planning should be carried out in cooperation with cooperatives, the DPT, and the Ministry of Agriculture; incentives should be distributed according to this plan, and after this planning, a purchase guarantee should be provided for all products produced by the farmer. When the market price falls below the production cost, the difference and the producer's profit should be transferred to the producer as state support, as is the case in EU countries.

Agricultural and pasture lands and water resources must be protected very strictly, and these areas must not be allowed to be opened to sectors such as mining, energy, construction, and tourism under any circumstances.

A major Central Anatolia Project in agriculture should be implemented by transferring the water flowing to waste in the GAP region and Manavgat water to Central Anatolia through irrigation canals and solar energy investments. The resources for this are available. According to the law, an amount equal to 1 percent of the national income must be allocated to agriculture for support every year. However, the treasury does not pay this amount. Only for the year 2025, 10 billion dollars of the support that should have been paid to agriculture was cut. Yet, the cost of transporting the water flowing to waste in GAP and Manavgat to Central Anatolia, the Yeşilırmak and Kızılırmak basins, and Konya is around 24 billion dollars. An amount that can be covered by two years of agricultural support. In this way, the drying water resources in Central Anatolia will come back to life.

Cooperativization is essential to overcome the scale problem and increase competitiveness. Cooperatives should be established on a product and regional basis. Cooperatives should work in the fields of production, marketing, and input supply. With the guidance of the DPT, industrialization policies based on agriculture aimed at regional development should be implemented, renewable energy investments should be made, and it should be ensured that farmers become shareholders of cold chain facilities, agro-industrial facilities, feed factories, fertilizer factories, and energy facilities through cooperatives.

At least one agricultural engineer, one veterinarian, a regular curriculum teacher, and a New Generation Village Institute teacher should be employed in every village.

Young people are looking for opportunities to go abroad. Settlement models should be developed that encourage migration from the city to rural areas, are focused on creating employment and income, also consider social life, and prioritize agriculture and agriculture-based industries.

Emphasis should be placed on local seeds and breeding studies for livestock and dairy cattle breeds suitable for Turkey's climate.