FAO Food Price Index falls 1.9% from July, though still 7.9% above its value a year ago
Global food prices went down for the fifth consecutive month in August, as quotations for most benchmark items dropped,said a new UN food agency report on Friday.
Food and Agriculture Organization (FAO) Food Price Index, which tracks monthly changes in the international prices of a basket of commonly traded food commodities, averaged 138 points in August, down 1.9% from July although remaining 7.9% above its value a year before.
“The FAO Cereal Price Index decreased by 1.4% from the previous month, a drop driven by a 5.1% decline in international wheat prices that reflected improved production prospects in North America and Russia as well as the resumption of exports from the Black Sea ports in Ukraine,” the report said.
Rice prices on average remained steady during the month, while quotations for coarse grains rose marginally, by 0.2%, as firmer world maize prices due to hot, dry growing conditions in the EU and the US were offset by lower barley and sorghum prices.
Vegetable Oil Price Index decreased by 3.3% from July, reaching a level slightly below that of August 2021.
“Dairy Price Index diminished by 2% in August, while Meat Price Index declined by 1.5% from July. International quotations for poultry meat fell in August amid elevated global export availabilities, while world bovine meat prices declined on weak domestic demand in some leading exporting countries,” the report said.
The FAO Sugar Price Index increased by 2.1% to its lowest level since July 2021, driven mainly by high export caps in India and lower ethanol prices in Brazil.