Global food commodity prices edged lower in June, as declines in cereal, sugar and dairy prices outweighed increases in vegetable oils and meat, the UN Food and Agriculture Organization (FAO) said on Friday.
The FAO Food Price Index, which tracks monthly changes in international prices of a basket of food commodities, averaged 130.3 points, down 0.3% from May.
The index remained 1.7% above its level a year earlier, though it was still 18.7% below its March 2022 peak.
The FAO Cereal Price Index fell 3.5% month-on-month to 110.2 points, as world wheat prices declined 4.4% on rapid harvest progress and improved supply prospects in the Black Sea region.
Maize prices also dropped, pressured by expectations of ample supplies in South America and lower crude oil prices weighing on biofuel demand.
The Sugar Price Index decreased 5.7% from May to 89.7 points, its fourth consecutive monthly fall. FAO said lower domestic ethanol prices in Brazil encouraged more sugarcane to be directed to sugar production, adding downward pressure on international sugar prices.
Meanwhile, the Dairy Price Index fell 1.5% month-on-month to 117.4 points, with prices declining across all dairy products.
By contrast, the Vegetable Oil Price Index rose 3.8% to 192 points, standing 23.3% above its level a year earlier, driven mainly by higher palm and rapeseed oil prices.
The Meat Price Index increased 0.4% from May and 4% year-on-year to 131 points, reaching a new record high, led by higher poultry and ovine meat prices.
FAO also updated its cereal outlook, forecasting global cereal production in 2026 at 2.98 billion tons, down 1.9% from last year’s record but still the second-highest level on record.
The agency said 41 countries, including 31 in Africa, continue to require external assistance for food, as conflict, insecurity, weather shocks and high food prices keep acute food insecurity elevated.
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