FAO: Sugar reached its highest price in the last 6 years in February

The world food price fell slightly in February for the eleventh consecutive month, according to the Food and Agriculture Organization of the United Nations (FAO). However, that of sugar reached its highest level in the last six years: it increased by up to 6.9%.

This would be its “highest level in six years, mainly due to a downward revision of production forecasts for 2022-23 in India, and a decline in international crude oil and ethanol prices in Brazil,” the organization said. .

Despite this, the general decrease in the prices of vegetable oils by 3.2% and dairy products by 2.7% offset the sharp rise in the costs —worldwide— of sugar during the second month of the year.

For its part, the international price index for a basket of basic products fell 0.6% from its January level. “Has come down a bit in recent months, food price inflation is reaching prohibitive levels in many countries,” particularly in Africa, the FAO said.

Likewise, the cost of cereals remained “virtually unchanged” in February, compared to January. However, the value of wheat increased slightly due to concerns about the drought in the United States, but “strong competition among exporting countries” limited the rise.

Similarly, the FAO forecasts a wheat harvest of about 784 million tons. This would be the second largest ever recorded and responds mainly to the expansion of area by US farmers, encouraged by the rise in cereal prices.