FAO's Global Food Price Index Falls Slightly

By CnAgri Print

The FAO Food Price Index fell one percent in October 2012, and for the first 10 months of the year food prices were on average eight percent lower than in the same period in 2011.

The Index dipped two points to 213 points from September's revised level of 215 points. The decline was largely due to lower international prices of cereals and oils and fats, which more than offset increases in dairy and sugar prices.

Meanwhile the FAO Food Outlook, a bi-annual global market report, noted that lower international prices and freight rates, together with lower cereal purchases, could push down the world food import bill in 2012.

Global expenditure on food imports was forecast at $1.14 trillion in 2012, 10 per cent lower than last year's record level.