Food price index ends 2023 10% lower

Eases concerns over global food price inflation

LONDON:

The United Nations food agency’s world price index ended last year about 10% below its 2022 level, with values in December also down from the previous month, helping further ease concerns over global food price inflation.

The Food and Agriculture Organisation’s (FAO) price index, which tracks the most globally traded food commodities, averaged 118.5 points in December, down 1.5% from November and 10.1% below December 2022 levels.

For 2023 as a whole, the index averaged 13.7% below year earlier levels, with only sugar prices higher over the period. The FAO’s sugar price index did, however, decline 16.6% in December from November.

Read Food prices continue to soar

This was “mainly driven by the strong pace of production in Brazil, along with reduced use of sugarcane for ethanol production in India,” the UN agency said in a statement.

The FAO’s cereal price index rose 1.5% in December from November, as wheat, maize, rice and barley prices all rose amid hindered shipments from major exporting countries.

Published in The Express Tribune, January 7^th, 2024.

Like Business on Facebook, follow @TribuneBiz on Twitter to stay informed and join in the conversation.