Global prices for agricultural commodities fell in January due to a sharp decline in sugar and vegetable oil prices, reported the Food and Agriculture Organization (FAO) on Friday.
According to a report published in Geneva, the index of prices for agricultural commodities, which serves as a benchmark for global prices for agricultural products, decreased in January by 1.6% compared to December, primarily due to a significant drop in international prices for vegetable oils and sugar. At the same time, the overall index is 6.2% higher than a year ago, but still remains 22.0% lower than its peak, reached in March 2022.
FAO noted that the sugar price index fell by 6.8% compared to December and by 18.5% compared to last year due to improving global supply, caused by the overall favorable weather conditions in Brazil and the Indian government's decision to revive sugar exports.
The index of prices for vegetable oils decreased by 5.6% in January compared to the previous month, but remains 24.9% higher compared to last year primarily due to a decline in global prices for palm and rapeseed oils, while prices for soy and sunflower remained stable.
The meat price index fell by 1.7% in January, while the grain price index rose by 0.3% compared to December, but remains 6.9% lower than the corresponding indicator for January 2024 due to forecasts of decreased production and stocks of corn in the United States.
The rice price index fell by 4.7% in January due to excess export supplies, while the milk price index rose by 2.4% compared to December and by 20.4% compared to January 2024.
