The FAO food price index for cereals and sugar fell, while meat and milk rose
In the March FAO report, the average the price index for food products remained at 167 n, which is 3.6% below the corresponding period last year and nearly matches the record high in August 2018. The growth of prices for meat and milk was offset by a decrease in the cost of sugar, grain and oil.
In comparison with February 2019 major price indexes have changed as follows:
plant oils – dropped by 4.4% or 5.9 p to 127.6 p thanks to falling prices for palm, soy and rapeseed oil after the previous three-month growth;
meat – grew by 0.4% or 0.6 p to of 162.5 p, which corresponds to the trend of recent months relatively moderate price fluctuations for these products, and the increase in meat imports by China (due to ASF) has been offset by increased supply from the key suppliers;
dairy products – grew by 6.2% or 11.9 p to p 204,3 due to the increase in demand for butter, milk and cheese in the background of the probable seasonal reduction proposals from Oceania;
sugar – dropped by 2.1% or 3.8 p to of 180.4 p due to higher-than-expected harvest in major producing countries. India will increase production by 8% and will move Brazil in the ranking of the largest sugar producers. Additional pressure on world prices led to a sharp devaluation of the Brazilian real.
- grains fell by 2.2% or 3.7 p to 164,8 p, primarily due to falling prices for wheat and corn, which did not cover a slight rise in price of rice;