Th e Food and Agricultural Organisations (FAO) Food Price Index, monthly tradeweighted index tracking international market prices of fi ve major food commodity groups, released recently has revealed that that global food commodity prices rose in June, led by wheat and meat prices. It further stated that the averaged 175.2 points in June, up 1.4 percent from May and 7.0 percent from a year earlier. “Th e FAO Cereal Price Index rose by 4.2 percent in the month, amid surging prices of high-protein wheat due to deteriorating crop conditions in the United States of America. Maize prices, by contrast, declined amid record harvests in South America.
” It stated that the price indices for meat and dairy products also rose, while those for vegetable oils and sugar dropped. Cereal stocks on course to hit new record despite tightening supply conditions for highprotein wheat, global cereal supplies are likely to remain abundant in the coming year, according to FAO’s latest Cereal Supply and Demand Brief, also released today. FAO revised down its June forecast for global wheat output in 2017, while raising those of maize and rice. Global cereal production this year is likely to total 2 593 million tons, some 0.6 percent below that of 2016. World cereal stocks are expected to expand further to a new record high of around 704 million tons
