The international prices for major food commodities saw a modest decline in July, following five consecutive months of increases. The FAO Food Pice Index (FPI) averaged 161.9 points in July 2016, slipping 0.8 percent (1.3 points) below its level in June and 1.4 percent below its level of July 2015.
The FAO Food Price Index for March rose by 1.0% compared to February, as soaring sugar prices and continued increase in palm oil quotations more than offset plunging dairy product prices. The Index averaged 151.0 points in March, its highest level in 2016, but still some 12.0% below its level of a year earlier.
The FAO Food Price Index averaged nearly 162 points in October, up 3.9% from September, while still down 16% from a year earlier. FAO's latest Cereal supply and Demand Brief slightly trimmed its October 2015 forecast for global cereal production and now projects production at 2.53 billion tons, 1.1% below last year's record output
International food commodity prices continued to decline in August as ample supplies, a slump in energy prices and concerns over China's economic slowdown all contributed to the sharpest fall of the FAO Food Price Index in almost seven years.
The FAO Food Price Index averaged 179. 4 points in February 2015, down 1.8 points (1.0 percent) from its January value and 29 points (14.0 percent) below its level in February 2014. Prices of cereals, meat and, especially, sugar, dipped last month, while they remained steady in the case of oils and rebounded sharply in the case of dairy products. The index has been on a declining path since April 2014 and has now reached its lowest value since July 2010.
FAO's monthly Food Price Index declined in December after three months of stability. Continued large supplies and record stocks combined with a stronger U.S. dollar and falling oil prices contributed to the decline, which helped bring the 2014 overall Food Price Index down 3.7%.
FAO's monthly food price index was stable in November, as vegetable oil and grain prices inched up and offset ongoing declines in dairy prices. The Food Price Index averaged 192.6 points, marking the third consecutive month of stability. The Index now stands 13 points, 6.4 percent below its level in November 2013.
Weather-related events and increased demand came into play as the FAO Food Price Index registered its sharpest increase since mid-2012, averaging 208.1 points in February 2014. The new level is 5.2 points, or 2.6%, above a slightly revised index for January, but is still 2.1% lower than last year at the same time.
The FAO Food Price Index averaged 206.7 points in December 2013, nearly unchanged from November, as a sharp increase in dairy prices and firming meat values largely balanced out a steep decline in sugar quotations and lower cereal and oil prices.
Food commodity markets, in particular for cereals, are set to be more balanced in 2013/14, according to FAO Food Outlook report published on Thursday. World food imports in 2013 are tentatively forecast at 1.09 trillion dollars, close to last year's level, but 13% below the record of 2011, the biannual report on global food markets said.