Global Food Prices Hit Three-year High

DanIndustry News Release

globalGlobal food prices reached a three-year high in July, according to the United Nations Food and Agriculture Organization. The FAO Food Price Index in July averaged 179.1 points in July 2017, up 2.3 percent from June and the third successive month of increases. The report says a combination of supply constraints and currency movements provided support to prices of most cereals, sugar, and dairy. Instead, meat values remained steady month-on-month, whereas the Vegetable Oil Index edged down. The latest rise put the Index nearly 10.2 percent above last year’s level and at its highest since January 2015. The Cereal Price Index averaged 162.2 points in July, up almost eight points from June. The Vegetable Oil Price Index averaged 160.4 points in July, down 1.8 points from June and marking the lowest level since August 2016. The Dairy Price Index averaged 216.6 points in July, up 7.6 points from June and 74.3 points, or 52 percent, above its value in July 2016. Despite this latest increase, the Index is still 21 percent below its peak reached in February 2014. The Meat Price Index averaged 175.1 points in July, virtually unchanged from June, and the Sugar Price Index averaged 207.5 points in July.

From the National Association of Farm Broadcasting News Service.