In 2024 the benchmark measure of world food commodity prices averaged 2.1 percent below its 2023 level
The benchmark for world food commodity prices declined in December compared to the previous month, led by a drop in international sugar quotations, the Food and Agriculture Organization of the United Nations (FAO) reported.
The FAO Food Price Index, which tracks monthly changes in the international prices of a set of globally traded food commodities, averaged 127.0 points in December, down 0.5 per cent from November and up 6.7 per cent from December 2023.
For 2024 as a whole, the index recorded 122.0 points, 2.1 per cent lower than the average value in 2023, offsetting significant decreases in quotations for cereals and sugar with smaller but not insignificant increases in prices for vegetable oils, dairy, and meats.
The FAO Cereal Price Index in December was relatively unchanged from November and 9.3 per cent below its year-earlier level, as a marginal uptick in maize quotations offset a drop in those for wheat. For 2024 as a whole, the FAO Cereal Price Index averaged 113.5 points, down 13.3 per cent from the 2023 level, marking a second annual decline from the 2022 record level. The FAO All Rice Price Index rose by 0.8 per cent from its average 2023 level, representing a 16-year high in nominal terms.
The FAO Vegetable Oil Price Index in December declined by 0.5 percent from November though still 33.5 percent higher than its year-earlier level. For 2024 as a whole, the FAO Vegetable Oil Price Index averaged 9.4 per cent higher than in 2023 amid tightening global supplies.
The FAO Meat Price Index, in contrast to other subindices, rose by 0.4 per cent in December from November, ending a three-month declining trend, and stood 7.1 per cent above its December 2023 value. In 2024 as a whole, the FAO Meat Price Index was 2.7 per cent above its 2023 average, with higher quotations for bovine, ovine, and poultry meats offsetting declining international prices for pig meat.
The FAO Dairy Price Index declined after seven consecutive months of increases, dipping by 0.7 per cent from November although still 17.0 per cent above its December 2023 value. For 2024 as a whole, the FAO Dairy Price Index averaged 4.7 per cent higher than in 2023, due mainly to surging butter prices.
The FAO Sugar Price Index led the monthly decline, dipping by 5.1 per cent from November amid improving sugarcane crop prospects in the main producing countries to stand 10.6 per cent below its December 2023 level. For 2024 as a whole, the FAO Sugar Price Index averaged 13.2 per cent lower than for 2023.