FAO: Global Food Price Index falls to new low in May

Economic Daily, United Nations, June 12 (Reporter Zhang Wei) The latest Food Price Index of the United Nations Food and Agriculture Organization shows that the global prices of major foods fell again in May, hitting a new low since September 2009. The main reason is that the prospects for this year's grain harvest are promising, and grain prices Will drop sharply.

Data show that the global food price index fell again in May, down 1.4 per cent from April and 20.75 per cent year-on-year; global wheat, coarse grains and rice are expected to increase, corn production in China and Mexico will increase, and wheat grown in Africa and North America will also have a bumper harvest. Global prices for cereals, dairy products and meat fell by 3.8 per cent, 2.9 per cent and 1 per cent, respectively, while the vegetable oil price index rose by 2.6 per cent in May, partly due to undue concern that El Niño could affect production in Southeast Asia, FAO said.

Karp, a senior economist at the United Nations Food and Agriculture Organization, pointed out that for many countries, climatic conditions will be a major factor in determining food prices. El Niño is forecast to appear this year, which is an important climate emergency. For some regions, this phenomenon will bring great danger. Southeast Asian countries such as Indonesia, the Philippines and Thailand will face dry weather, and Central America and northern South America will also be affected. These countries should be vigilant and monitor this. But the strength of this year's El Niño remains to be seen.

June 12, 2015 Author: Zhang Wei | Source: China Economic Net-Economic Daily

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