Global Food Prices Rise in April for the First Time in A Year, UN Says
TEHRAN (Tasnim) – The Food and Agriculture Organization (FAO) of the United Nations says global food prices grew in April for the first time in a year.
The FAO Food Price Index (FFPI) averaged 127.2 points in April, compared to 126.5 in March. The FAO said that the sugar price index led the rise with a steep increase, along with an upturn in the meat price index, while the cereals, dairy and vegetable oil price indices continued to drop.
The sugar price index saw a 17.6% increase from March, hitting its highest level since October 2011. The FAO linked the rise to concerns over tighter supplies following revisions to production forecasts for India and China, alongside lower-than-expected output in Thailand and the European Union. The meat price index was up 1.3% from March, while dairy prices fell 1.7%. Vegetable oil prices fell 1.3%, marking the fifth consecutive monthly decline.
The cereal price index dropped 1.7%, with a decline in world prices of all major grains outweighing an increase in rice prices. FAO Chief Economist Maximo Torero said that “the increase in rice prices is extremely worrisome and it is essential that the Black Sea initiative is renewed to avoid any other spikes in wheat and maize.”
FAO report revealed that international wheat prices declined by 2.3% in April, with large exportable availabilities in Russia and Australia, leading the way to the lowest level since July 2021.
Favorable crop conditions in Europe, and an agreement allowing Ukrainian grains to transit through European Union countries that had imposed import restrictions earlier in the month also contributed to the “overall softer tone in markets." Torero projected that food prices would rise as global economies recover from significant slowdowns and demand increases.
