The United Nations‘ world food price index surged in September, according to data released on Friday, recording its largest increase in 18 months due to rising sugar prices.
The͏͏ price͏͏ index,͏͏ created͏͏ by͏͏ the͏͏ U.N.͏͏ Food͏͏ and͏͏ Agriculture͏͏ Organization͏͏ to͏͏ monitor͏͏ the͏͏ most͏͏ traded͏͏ food͏͏ commodities͏͏ globally,͏͏ increased͏͏ to͏͏ 124.4͏͏ points͏͏ last͏͏ month͏͏ from͏͏ 120.7͏͏ in͏͏ August.͏͏ This͏͏ represents͏͏ the͏͏ highest͏͏ level͏͏ since͏͏ July͏͏ 2023͏͏ and͏͏ reflects͏͏ a͏͏ 2.1%͏͏ rise͏͏ compared͏͏ to͏͏ the͏͏ previous͏͏ year.
The͏͏ sugar͏͏ index͏͏ jumped͏͏ 10.4%͏͏ month-on-month,͏͏ influenced͏͏ by͏͏ deteriorating͏͏ crop͏͏ forecasts͏͏ in͏͏ Brazil͏͏ and͏͏ worries͏͏ that͏͏ India’s͏͏ choice͏͏ to͏͏ lift͏͏ restrictions͏͏ on͏͏ sugarcane͏͏ use͏͏ for͏͏ ethanol͏͏ production͏͏ could͏͏ impact͏͏ the͏͏ country’s͏͏ export͏͏ availability,͏͏ according͏͏ to͏͏ the͏͏ FAO.
Cereal͏͏ Prices͏͏ Rise:
The͏͏ cereal͏͏ price͏͏ index͏͏ rose͏͏ by͏͏ 3.0%,͏͏ driven͏͏ by͏͏ higher͏͏ export͏͏ prices͏͏ for͏͏ wheat͏͏ and͏͏ maize,͏͏ while͏͏ rice͏͏ prices͏͏ fell͏͏ by͏͏ 0.7%.
Continue͏͏ Exploring:͏͏ World͏͏ food prices remain͏͏ steady͏͏ in͏͏ August:͏͏ FAO
Vegetable͏͏ Oil͏͏ Prices͏͏ Experience͏͏ Notable͏͏ Rise:
Vegetable͏͏ oil͏͏ prices͏͏ increased͏͏ by͏͏ 4.6%͏͏ for͏͏ the͏͏ month,͏͏ with͏͏ higher͏͏ prices͏͏ observed͏͏ for͏͏ palm,͏͏ soy,͏͏ sunflower,͏͏ and͏͏ rapeseed͏͏ oils.
Dairy͏͏ and͏͏ Meat͏͏ Prices͏͏ Show͏͏ Mixed͏͏ Trends:
Dairy͏͏ prices͏͏ increased͏͏ by͏͏ 3.8%͏͏ in͏͏ September,͏͏ driven͏͏ by͏͏ higher͏͏ prices͏͏ for͏͏ whole͏͏ milk͏͏ powder,͏͏ skim͏͏ milk͏͏ powder,͏͏ butter,͏͏ and͏͏ cheese,͏͏ while͏͏ meat͏͏ prices͏͏ saw͏͏ a͏͏ slight͏͏ rise͏͏ of͏͏ 0.4%.
In͏͏ a͏͏ separate͏͏ report,͏͏ the͏͏ FAO͏͏ slightly͏͏ raised͏͏ its͏͏ forecast͏͏ for͏͏ global͏͏ cereal͏͏ production͏͏ in͏͏ 2024͏͏ to͏͏ 2.853͏͏ billion͏͏ tonnes,͏͏ up͏͏ from͏͏ the͏͏ previous͏͏ estimate͏͏ of͏͏ 2.851͏͏ billion͏͏ tonnes.
The͏͏ increase͏͏ was͏͏ attributed͏͏ to͏͏ upward͏͏ adjustments͏͏ in͏͏ rice͏͏ and͏͏ wheat͏͏ outputs͏͏ that͏͏ more͏͏ than͏͏ compensated͏͏ for͏͏ a͏͏ slight͏͏ decrease͏͏ in͏͏ global͏͏ coarse͏͏ grains͏͏ production,͏͏ according͏͏ to͏͏ the͏͏ FAO.
Global͏͏ cereal͏͏ utilization͏͏ is͏͏ expected͏͏ to͏͏ rise͏͏ by͏͏ 12.4͏͏ million͏͏ tonnes͏͏ in͏͏ 2024/25,͏͏ reaching͏͏ 2.853͏͏ billion͏͏ tonnes.͏͏ In͏͏ contrast,͏͏ the͏͏ agency͏͏ reduced͏͏ its͏͏ forecast͏͏ for͏͏ world͏͏ cereal͏͏ stocks͏͏ at͏͏ the͏͏ end͏͏ of͏͏ the͏͏ 2025͏͏ season͏͏ by͏͏ 1.7͏͏ million͏͏ tonnes,͏͏ bringing͏͏ the͏͏ total͏͏ to͏͏ 888.1͏͏ million͏͏ tonnes.
