FAO. World food prices have set a new record

  According to August data, global food prices set a new record and fell to the lowest level since March 2021. This is reported on the website of the United Nations Food and Agriculture Organization (FAO). The Food Product Price Index (FFPI) compiled by the organization fell to 121.4 points at the end of the last month of summer. The index reflects the dynamics of world market prices of 55 types of agricultural products and food. FFPI is considered an indicator of future depreciation in the food industry. The value of the index at the end of August decreased by 2.6 points (2.1 percent) from the index of July 2023.

Compared to its maximum indicator recorded in March 2022, it decreased by 38.3 points (24 percent). Such dynamics were largely due to the decrease in prices of dairy products, vegetable oils, meat and cereals, analysts note. Meanwhile, the rice price index has shown a sharp rise to a 15-year high after India imposed export restrictions on all types of rice except basmati. The sugar price index increased by 1.3 percent on a monthly basis in August and exceeded the index of the same period of 2022 by 34 percent. Market participants' concern over the impact of the El Niño natural phenomenon on global crops contributed to the growth.