Food price index of the United Nations Food and Agriculture Organization dropped slightly in October

China News Service, Beijing, November 6 (Reporter Liu Liang) The Food and Agriculture Organization of the United Nations announced on the 6th that the FAO price index averaged 133.9 points in October, down 1.2% from the revised value in September. In October, the price index for cereals, dairy products and meat all fell compared with the previous month, the price index for vegetable oil increased slightly, and the price index for sugar increased significantly. The food price index rose 5.9% year-on-year in October.

The grain price index fell 4.5% month-on-month in October and 12.6% year-on-year. World wheat prices fell after four consecutive months of gains, mainly reflecting sluggish international demand and improving production prospects. International corn quotations also fell after rising to the highest level in three years in September, due to price pressures brought about by the U.S. harvest season, expectations of sufficient supplies from major South American exporters, and the renewed prospect of easing tensions in the Black Sea region. In terms of other coarse grains, barley and sorghum prices fell in line with wheat and corn.

The vegetable oil price index rose slightly by 0.3% month-on-month in October. The slight increase in the index was mainly driven by higher quotations for soybean oil and sunflower oil, which offset and exceeded the impact of falling rapeseed oil prices, while palm oil prices were basically unchanged. The meat price index fell 1.2% month-on-month in October, but was still slightly higher than the same period last year. Prices for pigs, sheep and beef all fell, while poultry prices remained basically stable.

The dairy price index fell 1.1% month-on-month in October, continuing the slight decline last month. Compared with the same period last year, the dairy product price index fell by 16.9% overall, the prices of butter and cheese fell by 31.1% and 29.3% respectively, the price of skimmed milk powder was 45.8% higher than the same period last year, and the price of whole milk powder was basically the same. The decline in the October index was mainly driven by lower international butter and cheese quotations.

The sugar price index rose 6.6% month-on-month in October and 28.8% year-on-year, rising for the fourth consecutive month to the highest level since December 2024. The rise in sugar prices is mainly due to rainfall in the main producing areas of central and southern Brazil that hinders sugar cane harvesting and crushing operations.