advertisement


Business news
You are here: ninemsn > Money > Business news

Global food prices fall 1.5%: FAO data

By AAP
21:43 AEST Thu Dec 6 2012
Related articles

Global food prices fell 1.5 per cent in November to their lowest level since June, with sugar, oils and cereals seeing the sharpest drops, the UN's Food and Agriculture Organisation says.

The Rome-based FAO's Food Price Index averaged 211 points, down from 213 in October.

The index had risen by 1.4 per cent in September.

On a 12-month comparison, the index was down three per cent.

Sugar prices fell mainly due to increased export capacity from Brazil, while cereal prices dipped because the prospect of export restrictions by Ukraine receded even though there was concern over supply prospects in South America.

The sugar price index fell 4.8 per cent to 274 points, cereals dipped 1.5 per cent to 256 points and oils slid 2.6 per cent to 200 points.

The meat price index inched down just 0.7 per cent to 175 points as the sector's profit margins are squeezed by higher feed prices.

The dairy index also went down only 0.5 per cent to 195 points.