Food Prices Soar to Three-Year High Amid Supply Risks
Global food prices have reached their highest level since November 2022 due to supply risks exacerbated by extreme weather and war disruptions in key regions. According to the United Nations' Food and Agriculture Organization, the FAO Food Price Index averaged 133.3 points in August, up from July's revised reading of 130.8.
The index rose for all categories tracked by the FAO, including cereals, vegetable oils, sugar, meat, and dairy. The cereals price index increased 2.2% month-on-month to its highest since May 2024, while the vegetable oil index edged up 0.6% to its highest since June 2022.
The FAO's sugar benchmark jumped 11.9% to its highest since June 2025, driven by lower production in Brazil's crucial centre-south region and weather concerns in Europe and Asia.