FAO Warns of Rising Global Food Prices Due to Logistics Bottlenecks

Global food prices have hit nearly four-year highs in September, according to a report from the United Nations Food and Agriculture Organization (FAO). The FAO's Food Price Index averaged 136.0 points in September, up from 134.0 points in August, marking its highest level since November 2022.

The price increase is attributed to logistics bottlenecks and adverse weather concerns. Benchmark indices for cereal, sugar, and vegetable oil prices rose last month, while meat and dairy prices declined.

FAO Chief Economist Maximo Torero highlighted that shipping disruptions in the Strait of Hormuz and the Black Sea, coupled with climate shocks, are applying mounting pressure on energy, transportation, and essential food commodities.