Global food prices continue slow decline

The United Nations said its September food price index has shown little change from August.

Dairy prices dipped by 2.3 per cent which put them 23.9 per cent below a year ago.

Meat prices edged down by one per cent from August and cereal prices also one per cent from August, but 14.6 below a year ago.

Sugar prices went up by 10 per cent, influencing the overall index.

Fonterra hiked its upcoming price for milk, but cautioned that demand forecasts remain very tentative and “it is not yet clear whether the stronger demand from China will be sustained.”