The food price index calculated by the Food and Agriculture Organization of the United Nations (FAO) fell 1.6% in October, reaching 126.4 points, due to the abundance of global supply, the agency reported this Friday, 7th.
In its monthly report, which records changes in international prices for a range of basic foods, it is stated that the price of cereals decreased by 1.3% compared to September, with falls in all the main cereals, and that world reserves are on track to reach an all-time high.
Meat prices decreased by 2%, mainly due to sharp declines in pork and poultry prices. However, beef prices continued to rise, driven by higher prices in Australia due to global demand.
In relation to dairy products, the price decreased by 3.4% in October, driven by a sharp drop in butter prices due to the wide availability of exports from the European Union and New Zealand, and that of sugar also decreased by 5.3% compared to the previous month, reaching its lowest level since December 2020, due to solid production trends in Brazil and higher productions expected in Thailand and India.
The FAO vegetable oil price index bucked the general downward trend, increasing 0.9% in October, reaching its highest level since July 2022.
Prices for palm, rapeseed, soybean and sunflower oils rose, due to a combination of factors, including biofuel regulations and harvest delays in the Black Sea region.
The FAO also published today updated forecasts for world cereal markets. World cereal production is expected to increase by 4.4% in 2025, reaching 2,990 million tonnes, a new record, with increases predicted in production of all major cereals.