MARKET UPDATE - FAO

Published on: 26/04/2023

The FAO Food Price Index rose for the first time in a year to 127.2 points in April 2023 from a downwardly revised 126.5 points in March. Sugar prices jumped 17.6%, a third consecutive increase and reached their highest level since October 2011, on fears of tightening global availability following further downward revisions to production forecasts in India and China, along with lower-than-expected outputs in Thailand and the European Union.

Meanwhile, meat prices rose 1.3% as international pork prices rose further as import purchases by Asian countries increased, and supply constraints continued in major exporters due to higher production costs and animal health issues. On the other hand, the cost of cereals decreased by 1.7% as the decline in global prices for all major grains outweighed the increase in rice prices. The cost of vegetable oils decreased by 1.3% due to stable global palm oil prices and lower soybean, rapeseed and sunflower oil prices.