Global food prices fall for third straight month as FAO Index slides in November

GLOBAL food prices declined for a third consecutive month in November, driven by lower international prices for most major food commodities, according to the latest Food Price Index released by the Food and Agriculture Organisation (FAO) of the United Nations.

- YOGASHEN PILLAY

FAO said the Food Price Index averaged 125.1 points in November, representing a 1.2% decline from its revised October level. The index now stands 2.1% lower than in November 2024 and is 21.9% below its peak reached in March 2022.

The overall decline was led by lower prices for vegetable oils, meat, dairy and sugar, while cereals were the only major category to record an increase during the month.

FAO added that the Cereal Price Index increased by 1.3 percent during the month.

“Despite a generally comfortable global supply outlook and reports of good harvests in Argentina and Australia, global wheat prices rose by 2.5% in November, supported by potential Chinese interest in supplies from the United States of America, continuing hostilities in the Black Sea region, and expectations of reduced plantings for the 2026 harvest in the Russian Federation,” it said.