Global Food Prices Surge 33.6% Year-on-Year in March 2022

Economics & Macro

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Viva Budy Kusnandar 20/04/2022 16:30 WIB

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According to FAO data, the global food price index reached 159.3 in March 2022, its highest level since 1990.

Monthly and Annual Global Food Price Index Increase (March 2022)

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Global Food Prices Surge 33.6% Year-on-Year in March 2022

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Monthly and Annual Global Food Price Index Increase (March 2022)

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Based on Food and Agriculture Organization (FAO) data, the global food price index reached 159.3 in March 2022. This is the highest level since 1990.

Compared to the end of last year, the global food price index has increased by 19.15% (year to date/ytd).

Compared to March 2021, the index has surged by 33.6% (year on year/yoy).

Of the five components of the global food price index, the commodity experiencing the highest increase in March 2022 was vegetable oil, at 39.27% (ytd) or 56.05% (yoy).

The next highest increase was recorded by cereals, at 21.09% (ytd) or 37.3% (yoy).

This was followed by dairy products, which increased by 12.58% (ytd) or 23.6% (yoy).

Sugar prices this year have only increased by 1.27% (ytd), but compared to a year ago, they have risen by 22.57% (yoy).

Meanwhile, meat prices have increased by 8.03% (ytd) or 19.04% (yoy).

How about Indonesia?

Although still relatively controlled, the prices of food, beverages, and tobacco in Indonesia have also shown an increase.

This increase is reflected in the food, beverage, and tobacco inflation in March 2022, which reached 1.79% (ytd) or 3.59% (yoy).

This figure is higher than the general inflation rate, which was only 1.2% (ytd) or 2.64% (yoy).

Before this food inflation occurred, Indonesia's food security was already weakening. This is reflected in the decline of Indonesia's Global Food Security Index (GFSI) score, which weakened from 61.4 in 2020 to 59.2 in 2021.

According to the GFSI assessment, throughout 2021, food prices in Indonesia were quite affordable, and the supply was sufficient compared to other countries.

However, Indonesia's food agricultural infrastructure is still below the global average. Nutritional standards and the diversity of staple foods are also considered low.

The GFSI also assesses that Indonesia's natural resources have poor resilience due to a lack of strong political policies and are vulnerable to disasters related to climate change, extreme weather, and environmental pollution.

Editor : Adi Ahdiat

"Disclosure: This is an AI-generated translation of the original article. We strive for accuracy, but please note that automated translations may contain errors or slight inconsistencies."

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Global Food Prices Surge 33.6% Year-on-Year in March 2022

Global Food Prices Surge 33.6% Year-on-Year in March 2022

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