The FAO Food Price Index decreased for a fourth consecutive month in July mainly due to a sharp decline in international prices for maize, wheat and certain oilseeds, reflecting ample supplies for these commodities.
The FAO Food Price Index was down for the second consecutive month in May, continuing its retreat from the 10-month high it experienced in March. Prices fell as generally ample supplies weighed on international prices for most commodities included in the Index.
The United Nation’s Food and Agriculture Organization’s (FAO) Food Price Index rose sharply in March, up 4.8 points, or 2.3%, to an average of 212.8, the highest level since May 2013.
FAO Food Price Index fell in January Release date: 06/02/2014
FAO Food Price Index nearly unchanged in November
The FAO Food Price Index dropped for the fourth month in a row in August reaching its lowest level since June 2012.
The index, which measures the monthly change in the international prices of a basket of food commodities, averaged 201.8 points in August 2013, nearly 4 points (1.9 percent) below its July value and 11 points (or 5.1 percent) less than in August 2012.
The FAO Food Price Index is a measure of the monthly change in international prices of a basket of food commodities. It consists of the average of five commodity group price indices (representing 55 quotations), weighted with the average export shares of each of the groups for 2002-2004.
Strong growth is expected for global wheat, coarse grains and rice production in 2013, according to early forecasts published in the May issue of FAO’s monthly Cereals Supply and Demand Brief.
The FAO Food Price Index (FPI) crept higher by one percent in March compared with a month before, driven mainly by an 11 percent increase in dairy. Dairy products carry a 17 percent weight among the various commodity prices included in the calculation of the overall FPI.