Global Food Prices Rise Amid Weather Disruptions and Geopolitical Tensions
Global food prices rose 0.6% in July 2026 as wheat and vegetable oil prices increased amid weather disruptions, energy market volatility, and geopolitical tensions, according to the Food and Agriculture Organization of the United Nations (FAO). The FAO Cereal Price Index rose 3.4% month-on-month to 113.8 points.
The FAO attributed the increase in wheat prices to concerns over continued disruptions to grain exports through the Black Sea and damage to export infrastructure, compounded by heatwaves affecting crop yields in major producing countries. Global wheat prices climbed 5.8% in July and were 9.9% higher than a year earlier.
The FAO Vegetable Oil Price Index rose 2% to 195.7 points, its highest level since June 2022. Palm oil prices rose for the second consecutive month, supported by strong demand from Indonesia's biodiesel sector and higher crude oil prices.