FAO: world food prices are rising

World food prices rose in January for the fourth consecutive month, according to the food and agriculture organization of the UN (FAO).

the Index of food prices was in January at the level of 182,5, which is 0.7% higher than in December 2019, and 11.3% higher than in December 2018, increased world prices for vegetable oil, sugar and wheat. Price index from FAO reflects the monthly changes in world prices for most common types of food.

So, vegetable oil has risen in January by 7%, and prices were the highest in the last three years. Rose palm, soybean, sunflower and rapeseed oil. In addition, the second half of January, prices began to decline due to uncertainty in trade due to the possible impact of the outbreak of coronavirus and commercial tensions between India and Malaysia.

Sugar prices rose by 5.5%, experts expect a reduction in production in several major producing countries. The increase in world sugar prices softened by continued weakening of the Brazilian currency and lower oil prices, which increased demand for sugar cane for ethanol production.

World grain prices rose in January by 2.9% compared to the same period in December 2019, owing to increased wheat prices, followed by higher prices for corn and rice.

Dairy products rose in January by 0.9%, the world’s growing demand for butter, cheese and nonfat dry milk.

the World price for meat decreased by 4% due to the reduction of purchases in China and increase exports of pork and beef in some countries.