Last updated on April 5, 2015
From an article in the Des Moines Register:
World food prices in March fell to their lowest level since 2010 as consumers benefited from a glut of commodities, the United Nations said this week.
The UN Food and Agriculture Organization (FAO) said the food price index, which measures monthly price changes in cereal, dairy, meat, sugar and oilseeds, fell 2.6 points in March to 173.8 points–the lowest since June 2010.
“Overall, except for a pause in October 2014, the index has been falling steadily since April 2014, on account of large global supplies for most commodities included in the index,” the UN said in its monthly report.
There is more here on the FAO’s webpage dedicated to the food price index:
The FAO Food Price Index averaged 173.8 points in March 2015, down 2.6 points (1.5 percent) from its revised February value and nearly 40 points (18.7 percent) below its level in March 2014. Sugar prices dipped particularly strongly in March, with more modest declines recorded by vegetable oils, cereals and meat. By contrast, dairy values rose for the second consecutive month, departing from the general negative trend that dominated the other commodity markets. Overall, except for a pause in October 2014, the Index has been falling steadily since April 2014, on account of large global supplies for most commodities included in the Index.
As far as I’m concerned, this is good news, because it means more of the world’s poor people are able to afford food, and it also means that the world should see fewer instances of social unrest and food riots.
When I started working on food prices four years ago, everyone was worried about high food prices. Never mind the fact that low food prices are good for consumers and that every single individual in the world is a consumer of food, I give it about six months before the media turns this nonstory into a story and goes nuts about low prices, and how those are a harbinger of doom because some the most inefficient food producers might go out of business.
ht: Janet.