Planet food stuff price index rises for tenth straight month in March

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World foods rate index rises for tenth straight thirty day period in March

09 April 2021

Phrase food price ranges rose for a tenth consecutive month in March according to FAO data, hitting their best level due to the fact June 2014.

Reuters reports that the gains had been led by jumps in costs for vegetable oils, meat and dairy goods.

The Food and Agriculture Organization’s food items selling price index, which actions every month improvements for a basket of cereals, oilseeds, dairy solutions, meat and sugar, averaged 118.5 details past month compared to a a bit revised 116.1 in February.

The February figure was beforehand offered as 116..

The Rome-primarily based FAO also explained in a assertion that around the globe cereal harvests remained on program to hit an yearly record in 2020, incorporating that early indications pointed to a even further increase in output this 12 months.

FAO’s cereal price index fell 1.7% thirty day period on month in March, ending eight months of consecutive gains, but even now 26.5% higher than the exact same period of time final month.

Amid main cereals, wheat export selling prices dropped the most, declining 2.4% on the thirty day period, reflecting great provides and encouraging generation prospects for the 2021 crops, FAO said.

FAO’s vegetable oil value index surged 8.% on the month to get to its maximum amount considering the fact that June 2011, lifted by higher charges for palm, soy, rape and sunflower oils.

Dairy rates rose for a tenth month operating, registering a 3.9% improve. FAO mentioned a single of the drivers in the sector was milk powder, which was boosted by a surge in imports in Asia, particularly China, owing to problems about shorter-time period provides.

The meat index climbed 2.3%, but as opposed to all the other indices, it was even now a bit down on a 12 months-on-calendar year foundation. FAO said poultry and pig meat quotations enhanced, underpinned by a quickly pace of imports by Asian countries, predominantly China.

Sugar rates dropped 4.% month on month, but was continue to up 30% on the calendar year. March’s decrease was fueled by potential clients of big exports from India, FAO mentioned.

FAO raised its forecast for the 2020 cereal time to 2.765 billion tonnes from a prior estimate of 2.761 billion, pointing to a 2.% maximize yr on calendar year.

Seeking forward, FAO mentioned it envisioned world cereal manufacturing to enhance for a 3rd consecutive yr in 2021.

Worldwide wheat generation was noticed hitting a new superior of 785 million tonnes this year, up 1.4% from 2020 ranges, pushed by an anticipated sharp rebound throughout most of Europe and expectations of a history harvest in India, FAO claimed.

Above-typical outputs have been also envisioned for maize, with a file harvest forecast for Brazil and a multi-12 months substantial predicted for South Africa.

For the present-day 2020/21 internet marketing year, global cereal utilization was forecast at 2.777 billion tonnes, 2.4% up on the preceding yr, pushed mostly by greater estimates of feed use of wheat and barley in China, exactly where the livestock sector is recovering from African swine fever.

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Resource: Reuters