Fao: cereals and vegetable oils push food prices down
[ad_1]
World food prices fell in May on the back of a “significant” drop in the price of grains and vegetable oils. This was announced by the FAO, whose food price index – which tracks changes in international prices for a basket of raw materials – fell by 2.6% compared to April.
Corn cost down 10%
In detail, the FAO cereal price index fell 4.8% on a monthly basis, led by maize, whose cost fell by about 10%, “due to favorable production prospects and weak demand for imports”.
Wheat prices down 3.5%
In particular, the prices of wheat, whose reserves are also abundant, decreased by 3.5%, mainly due to the renewal of the Ukrainian maritime grain corridor in mid-May for a period of two months. Vegetable oils fell even more sharply, falling 8.7% in a month, averaging 48.2% below its year-ago level. Brazil’s “buzz” soybean harvest, plentiful supply of rapeseed and sunflower, and increased production of hard-to-export palm oil clearly weighed on prices.
Declining global sugar supplies
The Sugar Price Index rose 5.5% in May and posted its fourth consecutive monthly rise. It is well above the level of a year ago (+31%). Global supplies of sugar are “decreasing”, notes the FAO, while worries about the impact of the El Nino climate phenomenon on next season’s crops.
[ad_2]
Source link
