Skip to main content

Global food prices index down in December, but up from 2016

Global food prices index down in December, but up from 2016

FAO Food Price Index fell 3.3 percent in December but still averaged 8.2 percent higher in 2017 compared to 2016

Related Category:

Global food prices declined in December, led by sharp decreases for vegetable oils and dairy products, according to the latest Food Price Index issued today by Food and Agriculture Organization of the United Nations (FAO).

The index, a measure of the monthly change in international prices of a basket of food commodities, stood at 169.8 points in December 2017, down 3.3 percent from November.

Despite the late-year slide, the FAO Food Price Index averaged 174.6 points in 2017, up 8.2 percent from 2016 and reaching the highest annual average since 2014.

The FAO Dairy Price Index declined 9.7 percent in December, with high export supplies and subdued demand weighing on the international prices of skimmed and whole milk powders as well as cheese and butter. Still, the subindex was 31.5 percent higher over the whole of 2017 than the previous year.

The FAO Vegetable Oil Price Index declined by 5.6 percent from November, as palm oil prices tumbled amid swelling stocks in Malaysia and Indonesia. That in turn pressured down soy oil quotations. Over 2017, the subindex ran 3 percent higher than the prior year.

The FAO Sugar Price Index also declined, marking a 4.1 percent drop from November due to seasonal factors and expectations of a large surplus in the year ahead. Sugar prices were 11.2 percent lower, on average, in 2017 than in 2016, due largely to a bumper harvest in Brazil, the world's leading producer.

The FAO Cereal Price Index remained broadly stable for the third consecutive month, with international wheat prices weakening while those of maize and rice firming up. The Index was 3.2 percent higher over 2017 than in 2016, while still 37 percent below its 2011 peak.

The FAO Meat Price Index slipped slightly in December, with strong supply pressuring international prices for bovine meat down. For the year, the subindex registered a 9 percent increase from its 2016 level.

Votes with an average with

Related Story

OECD-FAO: Weakening global food demand declining prices
OECD-FAO: Weakening global food demand declining prices

Global agricultural production is growing steadily across most commodities, reaching record levels in 2017 for most cereals, meat types, dairy products and fish, while cereal stock levels have…

Maharashtra sugar mill delegation visits ICAR-IISR, Lucknow
Maharashtra sugar mill delegation visits ICAR-IISR, Lucknow

A 14-member delegation of Rena Sahkari Sakhar Karkhana, Latur led by Trimbakrao Bhise,, MLA, Maharashtra State Assembly visited ICAR-Indian Institute of Sugarcane Research (IISR), Lucknow to…

India to continue support to Nepal’s agriculture sector, Photo - Shutterstock
India to continue support to Nepal’s agriculture sector

Union Minister of Agriculture and Farmers’ Welfare Radha Mohan Singh met his Nepalese counterpart Chakra Pani Khanal, Minister for Agriculture, Land Management and Cooperatives in New Delhi on…