The benchmark for global food commodity prices remained unchanged in June, as increases in international quotations for vegetable oils, sugar and dairy products offset a decline in those for cereals. This is reported in the monthly report of the Food and Agriculture Organization of the United Nations (FAO).

The FAO's food price index, which tracks monthly changes in international prices of a range of globally traded food commodities, averaged 120.6 points in June, the same revised figure as in May. The index is now 2.1% lower than the previous year's value and 24.8% lower than its March 2022 peak.

Compared to May, the FAO grain price index fell 3.0 percent, with prices for coarse grains, wheat and rice all falling, driven in part by improved production prospects in major exporting countries.

In contrast, the vegetable oil price index increased 3.1% since May, supported by the recovery in global demand for palm oil imports and strong demand from the biofuel sector in the Americas for soybean and coconut oils. sunflower.

A further increase in value is that relating to sugar, at +1.9% since May after three consecutive monthly drops, largely due to concerns about the probable impact of adverse weather conditions and monsoons on production in Brazil and India.

The dairy product price index also grew (+1.2%), with international butter prices reaching a 24-month high on the back of increased global demand for short-term deliveries amidst strong retail sales, seasonally declining milk deliveries in Western Europe and low supplies in Oceania.

The FAO Meat Price Index remained virtually unchanged in June, as slight increases in global sheep, pork and beef prices nearly offset a supply-driven decline in international poultry meat prices.