FAO food price index increased in April

The FAO food price index, which tracks monthly changes in the prices of the most important food commodities in international trade, rose by 1% compared to March and is 7.6% higher than a year ago.

The cereal price index rose by 1.2% compared to March. Wheat prices rose somewhat due to a decline in Russian export stocks, while the rice index was driven by stronger demand for aromatic varieties. Corn prices rose on international markets due to a seasonal decline in US stocks. Currency fluctuations also affected movements in world markets, while changes in customs tariffs increased market uncertainty.

The FAO Meat Price Index rose by 3.2% in April compared with March, with quotations rising across all categories, led by pork. Beef prices also strengthened, particularly in Australia and Brazil, amid robust global import demand and limited export opportunities.

The FAO Dairy Price Index rose by 2.4% in April from the previous month, to 22.9% higher than a year earlier. The increase was driven by higher international butter prices, which hit a new record high as European stocks fell.

In contrast, vegetable oil prices fell by 2.3%, although they were 20.7% higher than a year earlier. Palm oil prices fell significantly due to seasonally higher output in major Southeast Asian producing countries, while world prices of soybean and rapeseed oil rose on strong global import demand. Sunflower oil prices remained largely stable.

The FAO Sugar Price Index fell by 3.5% compared to March, mainly due to concerns about the uncertain global economic outlook and its potential impact on demand from the beverage and food processing sectors, which together account for the bulk of global sugar consumption.