Food Price Index climbs 1.4%
Oct. 4, 2012
by Meat&Poultry Staff
ROME – The global Food Price Index gained three points, or 1.4 percent in September following two months of stability, according to the Food and Agriculture Organization (FAO) of the United Nations.
The index rose to 216 points in September, up from 213 points in August, according to the FAO. Stronger prices for meat and dairy, in addition to more contained prices for cereals, drove the increase. Prices for sugar and oils declined, FAO said.
The FAO Meat Price Index advanced 2.1 percent to average 175 points in September, up 4 points from August. Hog and poultry sectors recorded particularly strong gains of 6 percent and 2 percent respectively.
The FAO Dairy Price Index gained 7 percent to average 188 points in September, up 12 points, from August, according to FAO. This represents the sharpest monthly increase since January 2011. Prices increased for all the five dairy products FAO monitors. Firm global demand for milk products and increasing feed costs continues to support world prices, the agency said.
The FAO Index is 22 points below its peak of 238 points in February 2011, and 9 points below its level of 225 points in September 2011. The index is based on the prices of a basket of internationally traded food commodities.