1170. World Food Price Index for December 2024　

The Food and Agriculture Organization of the United Nations (FAO) released its World Food Price Trends on January 3. The average value in December 2024 was 127.50 points, down 0.5% from November, reflecting lower sugar, vegetable oil, and grain prices that offset the rise in meat prices. This figure was 6.7% higher than last year, but 20.7% lower than the all-time high in March 2022. The price indicator for the entire period of 2024 was 122.0 points, which was 2.1% lower than the 2023 average.

The grain price index was 111.3 points in December, almost unchanged from the previous month and 9.3% lower than the previous year. Global wheat export prices remained stable, with subdued international demand and seasonal downward pressure from Argentina and Australia counteracting upward price pressures reflecting poor winter crop conditions in Russia. Maize prices rose slightly due to increased demand for Ukrainian maize and tight exports and supply from the United States. On the other hand, the rice price index fell 1.2%, reflecting weak demand for indica and fragrant rice. Throughout 2024, the grain price indicator was 113.5 points, 13.3% below the 2023 level.

The vegetable oil price index fell 0.5% month-on-month, but was 33.5% higher year-on-year. This month's slight price decline reflects the decline in soybean, rapeseed, and sunflower oil prices that offset the rise in palm oil prices. For the entire 2024 period, the oil crop price index rose by 9.4% year-on-year amid tight global supply.

Sugar prices were 5.1% lower than the previous month and 10.6% lower than in December 2023. The decline reflected a stronger-than-expected harvest in Brazil, a weaker Brazilian currency, and expectations for the Brazilian harvest in April 2025 and the current juicing in India and Thailand. Throughout 2024, the sugar price index was 13.2% lower than in 2023, reflecting record exports from Brazil and market expectations for the 2024-25 financial year.

Contributor: IIYAMA Miyuki, Information Program