The FAO Food Price Index averaged 127.4 points in October 2024, up 2% from its revised September value. Which represents its highest level since April 2023.
The prices of all products included in the index, with the exception of meat, increased, led by those of vegetable oils (7.3%). In October, relative to historical levels, the FAO Food Price Index was on average 5.5% higher than its value a year earlier, but down 20.5% from its record level of 160.2 points reached in March 2022.”
The FAO Cereal Price Index showed an average value of 114.4 points in October, 0.9 points (0.8% higher than in September, but below 10.3 points (8.3 %) compared to October 2023. Global wheat prices rose for the second consecutive month, mainly due to concerns over poor weather conditions affecting plantings for winter crops in several major exporting regions in the hemisphere north, notably the European Union, the Russian Federation and the United States of America.
According to the FAO, two factors also contributed to the rise in prices. These include the reestablishment of an unofficial floor price in the Russian Federation and growing tensions in the Black Sea region. World corn prices, for their part, continued their upward trend in October, partly driven by strong domestic demand in Brazil and transport difficulties in certain regions of the country due to low river levels. . Drought conditions which prevent sowing in Argentina and sustained demand for Ukrainian corn also explain the firming of prices.
“The FAO vegetable oil price index also posted an average value of 152.7 points in October, a jump of 10.4 points (7.3%) compared to September and its highest level for two years. “This increase is due to the strengthening of prices for palm, soybean, sunflower and rapeseed oils,” underlines the FAO.
International palm oil prices continued to rise for the fifth straight month in October, bringing the FAO Dairy Price Index to 139.1 points in October, up 2. 5 points (1.9%) more than in September and 24.5 points (21.4 percent) more than its value recorded a year ago. Oceania and weak import demand globally.
“The FAO Meat Price Index showed an average value of 120.4 points in October, down slightly (0.3%) from the revised September value, and up 8.4 points ( 7.5%) compared to its level a year ago. » The FAO Sugar Price Index recorded an average value of 129.6 points in October, 3.3 points (2.6%) higher than in September, marking the second consecutive monthly increase in this index. hint.
Persistent fears over Brazil’s 2024-25 production outlook, following a prolonged period of dry weather, pushed sugar prices higher in October. In addition, the increase in international crude oil prices, which encourages increased use of sugar cane to produce ethanol in Brazil, is another factor in increasing prices, explains the UN organization.
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