World food prices dip in October, but remain higher than a year ago

World food ‌prices edged ​lower in October as weaker import demand contributed to monthly declines in cereal, dairy and meat prices, but were still nearly 6% higher ‌than a year earlier, the United Nations' Food and Agriculture Organization said on Friday. The FAO Food Price Index, which tracks monthly changes in international prices for a basket of food commodities, averaged 133.9 points ‌in October, down from a revised 135.6 in September.

The index was 5.9% higher than ‌a year earlier, but remained 16.4% below its March 2022 peak. FAO's cereal price index fell 4.5% from September and was 12.6% lower than a year ago, as wheat and maize quotations declined. Wheat prices eased on weak import demand ⁠and ​improved production prospects, especially in ⁠Argentina.

"Expectations of easing constraints on Black Sea export flows added to the downward pressure on prices, although continued disruptions to ⁠Black Sea logistics limited the decline," FAO said in a statement. Maize prices also eased after reaching a three-year ​high in September, pressured by the US harvest, expectations of ample supplies in South America ⁠and renewed prospects of easing tensions in the Black Sea region.

Vegetable oil prices edged up 0.3%, as higher soybean and sunflower ⁠oil ​prices more than offset a fall in rapeseed oil prices. Sugar prices rose 6.6%, their fourth straight monthly increase, to the highest level since December 2024, after rainfall disrupted harvesting in Brazil. ⁠They were now 28.8% above a year ago.

The dairy index fell 1.1%, as lower butter and ⁠cheese prices linked to ample ⁠supplies and subdued demand outweighed gains in milk powder. The meat index declined 1.2%, while still slightly above its year-earlier level, as pig, ovine and ‌bovine meat ‌prices fell.