Global Food Prices Continue to Fall for the Past Six Months

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Adi Ahdiat 10/10/2022 11:20 WIB

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The FAO reports that the World Food Price Index fell again in September 2022, continuing a downward trend observed over the past six months.

FAO World Food Price Index (January 2019-September 2022)

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Global Food Prices Continue to Fall for the Past Six Months

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FAO World Food Price Index (January 2019-September 2022)

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The Food and Agriculture Organization (FAO) reports that the World Food Price Index has been steadily declining for the past six months, specifically from April to September 2022.

However, the global food price index in September 2022 remained at 136.3 points, still higher than in previous years, as shown in the graph.

The FAO World Food Price Index measures changes in the international prices of major food commodities, including cereals, vegetable oils, dairy products, meat, and sugar.

The decrease in the price index in September 2022 was driven by the weakening price of vegetable oils compared to previous months.

"In September, international palm oil prices fell for the sixth consecutive month due to increased supply coinciding with seasonal production increases in Southeast Asia," explained the FAO in its official statement on Friday, October 7, 2022.

The decline in the food price index in September 2022 was also fueled by weakening dairy prices.

"Concerns about market uncertainty related to tight milk production, high energy costs, and labor shortages, particularly in Europe, coupled with the gloomy outlook for global economic growth, also weighed on international dairy prices," said the FAO.

Meanwhile, international beef prices generally fell due to high export supply availability from Brazil. Chicken prices decreased due to weakening import demand, while pork prices rose due to increased demand from Europe.

International sugar prices also decreased, mainly influenced by Brazil.

"The decline in the sugar price index in September is largely related to good production prospects in Brazil, the world's largest sugar exporter," explained the FAO.

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 Continue to Fall for the Past Six Months

Global Food Prices Continue to Fall for the Past Six Months

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