World food prices in October dipped by 0.5% from September and were 10.9% lower than a year ago. continuing a downward trend.
FAO’s Food Price Index, which measures the global prices of commodities such as meats, dairy and vegetable oils, fell to 120.6 points in October, down from 119.9 the month prior and lower than 2022’s 143.7.
This subtle decrease was driven by declines in the price indices for sugar, cereals, vegetable oils, and meat, offset by a rebound in dairy product prices.
Cereal prices fell by 1% compared to September and a substantial 17.9% from last year.
Wheat prices slid by 1.9% due to abundant supplies in the United States, whereas coarse grains saw a marginal rise, and maize prices suffered upward pressure due to supply issues in Argentina.
Vegetable oil prices witnessed a third consecutive monthly decline, down 0.7% from September helped by lower palm oil prices, which offset the rise in soy, sunflower, and rapeseed oils.
Meanwhile, the FAO Dairy Price Index rose by 2.2%, marking a significant increase after nine months of declines, primarily due to surges in milk powder prices, led by heightened import demand, especially from Northeast Asia.
In the meat sector, the index saw a minor decrease of 0.6%, led by declining international pork prices.
Poultry meat prices rebounded slightly due to avian influenza impacting supplies, while bovine and ovine meat prices increased marginally due to robust import demand.
Sugar prices dropped 2.2% from September, driven by robust production in Brazil but capped by concerns over a tighter global supply outlook.