FAO Food Price Index Remains Steady in June

According to data published on Friday by the Food and Agriculture Organization of the United Nations (FAO), the basic indicator of world food prices has not changed by the end of June: The decrease in grain prices offset the increase in prices for vegetable oils, sugar and dairy products.

In June, the average value of the FAO Food Price Index, which tracks the dynamic
of world food prices monthly, was 120.6 points, remaining at the level of the revised indicator for May. Now its value is 2.5% lower than the corresponding indicator a year ago and 24.8% lower than its peak value, which it reached in March 2022.

The meat price index averaged 116.9 points in June, virtually unchanged from May and 1.8% below its value from a year earlier. Lower international poultry meat prices were nearly offset by moderate increases in ovine, pork, and bovine meat prices. Poultry meat prices fell primarily due to ample supply from major producing countries. In contrast, ovine meat prices rose significantly due to strong import demand despite ample export supplies, as farmers began culling herds in response to unusually dry conditions in parts of Australia. Pork prices increased slightly due to steady import demand, supported by seasonal domestic sales, particularly in North America. Beef prices remained mostly stable, reflecting a good overall balance between global supply and demand.