The Food and Agriculture Organization (FAO) reported today that the international price index for a basket of globally traded food commodities reached 125.1 points in November, a decrease of 1.2% from October.
The index has fallen for three consecutive months, standing 2.1% below the November 2024 level and 21.9% lower than the peak in March 2022.
Despite the general decline, the FAO’s cereal price index rose by 1.3% in November, driven by ongoing hostilities in the Black Sea region and expected reductions in plantings for the 2026 harvest in the Russian Federation.
International maize prices also increased, buoyed by strong demand for Brazilian production inputs, while the FAO’s rice price index for all types decreased due to moderate import demand for index and aromatic rice varieties, the report notes.
The FAO’s vegetable oil price index fell by 2.6% from October, as declines in palm, rapeseed, and sunflower oil prices more than offset a modest rise in soybean oil prices, spurred by strong biodiesel sector demand, particularly in Brazil.
The meat price index fell by 0.8% compared to October’s level. Global poultry meat prices decreased due to an abundance of exportable supply and intensified global competition, partly reflecting Brazil’s efforts to regain market share following the lifting of avian flu-related trade bans.
Pork prices also declined, mainly due to abundant supply in the European Union and moderate demand from China following the introduction of import tariffs.
International beef quotations remained virtually stable, while sheep meat prices rose.
The dairy price index dropped by 3.1% in November, owing to a decrease in the butter and whole milk powder quotations.
The FAO sugar prices decreased by 5.9% from October, influenced by expectations of a plentiful global supply in the current harvest and strong production trends in Brazil, India, and Thailand.
The FAO also released updated forecasts for global cereal markets in 2025.
Thanks to larger-than-expected wheat harvests, especially in Argentina, global cereal production is anticipated to surpass three billion tonnes for the first time in history, increasing by 4.9% to reach three trillion tonnes.
