Global Food Prices Continue to Fall

The United Nations FAO Food Index has continued its decline for the fifth month in a row due to seasonal supply effects and decreasing demand for some products.

The United Nations Food and Agriculture Organization Index was announced. Global food prices fell for the fifth month in a row due to a seasonal increase in supply and lower demand for some crops. Grain shipments from Ukrainian ports increased, while wheat harvests in the northern hemisphere helped ease supply constraints. The United Nations FAO Index released on Friday showed that global food costs fell 1.9 percent in August compared to the previous month. The index continues to hover at its lowest level since January. Falling food prices may provide some relief to consumers struggling with a deepening cost of living crisis, but the decline was smaller than in July, the biggest drop since 2008, and prices were higher than a year ago. Food prices show no signs of easing in many countries as high energy prices drive up the cost of processing. It is also noted that harvests may fall in the long run as farmers reduce fertilizer use. Follow Global Economic Developments on Social Media! Click here to follow Ieconomy official Facebook account! Click here to follow Ieconomy official Instagram account! Click here to follow Ieconomy official Twitter account!