Food prices fell in April thanks to the drop in the price of vegetable oils and corn, although they are still almost 30% higher compared to the same month of 2021, the United Nations Food and Agriculture Organization reported today. Agriculture (FAO).
Specifically, the food price index of this Rome-based organization stood at 158.4 points in April, 0.8% less than the previous month, when a historical record since 1990 was registered.
The main cause for this slight decrease was the decrease in the prices of vegetable oils, which fell by 5.7% compared to March, thanks to the rationing of demand, which lowered the prices of palm, sunflower and soy.
“The small decline in the index is a welcome relief, particularly for low-income food-deficit countries, but still food prices remain close to their recent highs,” said Fao Chief Economist Máximo Bullfighter Cullen.
The high prices, which continue a situation of global food insecurity, reflect continued market shortages and uncertainty in exports, such as that affecting Indonesia, the world’s leading exporter of palm oil.
For its part, the 3% drop in corn prices allowed a slight reduction in the world price of the cereal, although limited by the continuous blockade of wheat at ports in Ukraine, one of the main producers of this cereal in the world. , as well as bad harvests in the United States.
Despite these reductions, the price of rice rose again due to strong demand from China, as well as the price of sugar, which increased by a further 3.2% due to slow sugar harvests in Brazil, the world’s leading sugar exporter. .
The price of meat again set a new record in April, after a 2.2% increase, caused by poultry meat prices, which rose due to the interruption of exports from Ukraine and the increase in outbreaks. of bird flu.
Dairy and butter prices also rose due to persistent global supply tightness.