FAO: World Food Price Index Climbs in April, Highest Level in 7 years


World food prices increased for an 11th consecutive month in April, hitting their highest level since May 2014, with sugar leading a rise in all the main indices, the United Nations food agency said on Thursday.

The Food and Agriculture Organization’s food price index, which measures monthly changes for a basket of cereals, oilseeds, dairy products, meat and sugar, averaged 120.9 points last month versus a revised 118.9 in March.

The Rome-based organization said in a statement that the new forecasts indicate growth in the production of both wheat and corn globally next season.

FAO’s cereal price index rose 1.2% in April month-on-month and 26% year-on-year. Worries about crop conditions in Argentina, Brazil and the United States pushed maize prices up 5.7% last month, while wheat prices held largely steady. By contrast, international rice prices slipped, FAO said.

FAO’s vegetable oil price index rose 1.8% on the month, pushed higher by rising soy, rapeseed and palm oil quotations, which offset lower sunflower oil values.

Dairy prices rose 1.2%, with butter, skim milk powder and cheese all lifted by good demand from Asia, while the meat index climbed 1.7%. FAO said both bovine and ovine meat quotations rose, supported by “solid demand” from East Asia. 

Sources:

  • http://www.fao.org/news/story/en/item/1397812/icode/