UNITED NATIONS, Feb 08 : Global food commodity prices fell in January, led by sharp declines in sugar and vegetable oils, the Food and Agriculture Organization (FAO), a Rome-based UN agency, said Friday.<\/p>\n
The FAO Food Price Index, which tracks monthly changes in a basket of internationally traded food commodities, averaged 124.9 points in January against 127.0 in December. Despite the monthly decline, the index remained 6.2% higher than a year earlier but was still 22% below its March 2022 peak.<\/p>\n
Sugar prices fell 6.8% from the previous month and 18.5% on the year. The drop was largely attributed to improved global supply prospects, thanks in part to favourable weather in Brazil and India resuming sugar exports.<\/p>\n
Vegetable oil prices declined 5.6% last month, as global palm and rapeseed oil prices dropped while soy and sunflower oil quotations remained stable. Despite the January fall, the index was still up 24.9% on the year.<\/p>\n
Meat prices also fell, shedding 1.7% in January.<\/p>\n
By contrast, cereal prices saw a slight uptick, climbing 0.3% from December, but remained 6.9% lower than in January 2024. While wheat export prices fell slightly, maize prices increased due to revised lower production and stock forecasts in the United States. Rice prices dropped 4.7%, reflecting ample export supplies.<\/p>\n
Dairy prices rose 2.4% month-on-month and 20.4% year-on-year, led by a monthly surge in cheese quotations, which outweighed declines in butter and milk powder prices.<\/p>\n
The FAO also trimmed its forecast for global cereal production in 2024 to 2.840 billion against a previously given 2.841 billion. The revision was due primarily to the cut in estimates for U.S. maize production.<\/p>\n
The winter wheat planting season in the northern hemisphere concluded in January, with increased sowings in France, Germany and the United Kingdom, while Russia saw a decline due to weather conditions, FAO said.<\/p>\n
Maize harvests in the southern hemisphere will begin in the second quarter, with improved yields expected in Argentina and Brazil. High maize prices have driven increased plantings in South Africa.<\/p>\n
FAO raised its forecast for world cereal utilization in 2024\/25 by 0.9% to 2.869 billion tonnes, while global cereal stocks were expected to decline 2.2% by the close of seasons in 2025, hit by the contraction in U.S. maize stocks.<\/p>\n
International trade in cereals in 2024\/25 is forecast to contract by 5.6% compared to the previous year to 483.5 million tonnes, largely due to lower demand from China for barley, maize and wheat.<\/p>\n","protected":false},"excerpt":{"rendered":"
UNITED NATIONS, Feb 08 : Global food commodity prices fell in January, led by sharp declines in sugar and vegetable oils, the Food and Agriculture Organization (FAO), a Rome-based UN agency, said Friday. The FAO Food Price Index, which tracks monthly changes in a basket […]<\/p>\n
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