FAO Food Price Index Continues Rising for Third Straight Month, Driven by Vegetable Oils

The benchmark index of global food commodity prices rose in April for the third consecutive month, amid higher energy costs and disruptions caused by conflicts in the Middle East, according to the latest report from the Food and Agriculture Organization of the United Nations (FAO).

The FAO Food Price Index, which tracks monthly changes in international prices for a basket of globally traded food commodities, averaged 130.7 points in April, up 1.6% from its revised March level and 2.0% higher than a year earlier.

Sharp Increase in Vegetable Oils

The FAO Vegetable Oil Price Index jumped by 5.9% compared with March, reaching its highest level since July 2022.

The increase was driven by higher prices for palm, soybean, sunflower, and rapeseed oils. International palm oil prices rose for the fifth consecutive month because of strong demand from the biofuel sector and concerns over lower production in Southeast Asia.