The
Food and Agriculture Organization's food price index, which
measures monthly changes for a basket of cereals, oilseeds,
dairy products, meat and sugar, averaged 94.2 points in July
versus a slightly revised June figure of 93.1 points.
"Similar to June, further increases in the prices of vegetable
oils, dairy products and sugar outweighed lower prices in the
meat markets amid overall steady value of the cereal price
index," the FAO said in a statement.
The agency's vegetable oil price index climbed 7.6% in July to
reach a five-month high.
Palm oil was buoyed by expected production slowdowns, revived
global demand and protracted migrant labour shortages, while
soyoil and rapeseed oil were underpinned, respectively, by
tightening supply in Brazil and fresh demand in Europe, it said.
Vegetable oil demand had been curbed earlier in the year by
lockdown measures to counter the novel coronavirus, dampening
restaurant and biofuel demand.
In dairy, all products tracked by the FAO rose last month,
helping the dairy price index rise 3.5% and climb back above the
pre-pandemic level, the agency said.
Milk powders rose due to strong import demand by Asian buyers
amid concern about export availabilities in Oceania. Butter and
cheese were supported by robust import demand but remained below
pre-pandemic levels, FAO said.
Average sugar prices rose 1.4%, with support from rising energy
prices and drought-reduced production in Thailand, partly offset
by strong sugar crush volumes in Brazil.
In contrast, the FAO's meat index slipped 1.8% and was 9.2%
below the year-earlier level, as global import demand continued
to lag availability despite coronavirus-linked disruptions to
slaughtering.
The cereal index was almost unchanged, with sharp gains for
maize (corn) and sorghum linked to Chinese purchases of U.S.
suppliers offset by weaker rice quotations and stable wheat
prices.
(Reporting by Gus Trompiz; editing by Jason Neely and Mark
Heinrich)
[© 2020 Thomson Reuters. All rights
reserved.] Copyright 2020 Reuters. All rights reserved. This material may not be published,
broadcast, rewritten or redistributed.
Thompson Reuters is solely responsible for this content.
|
|