Friday, August 6, 2021

Global food prices ease slightly

World food prices eased for a second month in a row in July, reflecting declines for cereals, vegetable oils and dairy products.

But prices are still 31 per cent higher than a year ago.

The Food and Agriculture Organization's (FAO) food price index averaged 123.0 points last month compared with 124.6 in June.

FAO's cereal price index declined three per cent; corn declined by six per cent by prospects of good yields in Argentina and the United States and China’s cancellation of some contracts.

Wheat prices increased by 1.8 per cent to the highest level since mid-2014. to their highest since mid-2014. Mid-west drought in the United States and Canada, heavy rains in Europe and disappointing initial yields in Russia have reduced production estimates.

Vegetable oil prices declined  by 1.4 per cent from June to a five-month low, as a rebound in palm oil quotations was offset by lower levels for other oils.

The dairy price index declined by 2.8 per cent.