Global Food Prices Soar to Near Four-Year High Amid Logistics Disruptions and Climate Shocks
Global food prices rose significantly in September to their highest level in nearly four years. According to the United Nations' Food and Agriculture Organisation (FAO), the FAO Food Price Index, which tracks monthly changes in international prices for a basket of food commodities, averaged 136.0 points last month.
This is up from a revised 134.0 points in August and marks the highest reading since November 2022. The increase was driven by various factors, including logistics disruptions, weather concerns, and the impact of climate shocks on energy, transport, and food commodities.
FAO's sugar price index jumped 6.1% from August to an 18-month high due to adverse weather conditions that threaten to curb supply in major production zones.
The agency's cereal price benchmark rose 5.1%, with reduced yield prospects for US corn adding pressure from disruptions to Black Sea grain trade.