The food price index on global markets of the UN food agency has been declining for the fifth consecutive month in August as the continuation of grain exports from Ukrainian ports has contributed to better supply prospects.
The Food and Agriculture Organization (FAO) announced on Friday that its price index, which tracks the most traded food products globally, averaged 138 points last month compared to a revised 140.7 for July. The index has fallen from a record 159.7 in March, recorded after the Russian invasion of Ukraine.
The FAO’s grain price index fell by 1.4 percent month-on-month in August. Ukrainian Black Sea ports have reopened under a diplomatic agreement, and favorable prospects for the harvest of wheat in North America and Russia have been reported by the agency.
However, the corn price index rose by 1.5 percent last month as hot and dry weather reduced production prospects in Europe and the United States, it added. Prices of vegetable oils, sugar, dairy products, and meat have fallen, partly due to increased stocks.
In a separate assessment of grain supply and demand, the FAO has lowered its forecast for global grain production in 2022 from 2.792 billion tons to 2.774 billion tons.
