World food-price index eases in October as sugar rises
FAO reports lower international food commodity prices in October, while sugar rose for a fourth consecutive month.
International food commodity prices eased in October as cheaper cereals, dairy products and meat outweighed increases in sugar and vegetable oils, the UN Food and Agriculture Organization said on Friday, 6 November.
The FAO Food Price Index averaged 133.9 points. Although lower than in September, it remained 5.9% above its level a year earlier.
The cereal index fell 4.5% over the month. FAO linked lower wheat quotations to subdued international demand and an improving production outlook, particularly in Argentina.
Sugar moved in the opposite direction, rising 6.6% for a fourth consecutive monthly increase. FAO cited rainfall-related disruption to harvesting and crushing in Brazil’s Centre-South region, alongside concerns about production elsewhere.
Dairy prices fell 1.1% and meat prices 1.2%, while vegetable oils edged up 0.3%.
The index measures international commodity prices, rather than South African supermarket prices. Its five commodity groups are weighted using their average shares of exports over 2014–2016.