FAO Reports Global Food Prices Decline for the Second Consecutive Month
Global food prices experienced a slight decline in September, continuing their downward trend for the second consecutive month, according to a report by the Food and Agriculture Organization (FAO) of the United Nations.
The organization noted that the food price index stabilized at 128.8 points, down from 129.7 in August, mainly driven by a drop in sugar and dairy product prices, while meat prices showed a slight increase.
According to the report, the cereal price index fell by 0.6%, due to a third consecutive month of declining wheat prices amid abundant production and reduced global demand, while rice prices decreased by about 0.5% due to improved supplies from major producing countries.
Meanwhile, vegetable oil prices recorded a decrease of 0.7%, influenced by lower prices of palm oil and soybean oil in global markets.
In contrast, meat prices continued their upward trajectory, rising by 0.7% compared to August, reaching a new record high, up 6.6% from a year ago, fueled by increased prices of beef and sheep meat, while poultry prices remained relatively stable.
Regarding dairy products, the FAO revealed a 2.6% decline in September, attributed to a roughly 7% drop in butter prices, along with decreases in milk powder and cheese prices.
Sugar prices saw a significant decline of 4.1% compared to August, reaching their lowest levels since March 2021, driven by improved global production forecasts and reduced import costs.
This slight decrease in the overall index reflects a trend towards relative stability in markets after two years of sharp fluctuations that have affected supply chains and international prices of essential commodities.
