Slight fall in food price index

Slight fall in food price index

Global food prices fell 1 per cent or two points in the October 2012 Food and Agriculture Organisation’s (FAO) Food Price Index released on October 7, 2012.

The index averaged 213 points, compared to September’s revised level of 215 points. According to the FAO, the decrease was mostly due to lower international prices of cereals and oils and fats, offsetting increases in dairy and sugar prices.

In the first 10 months of the year, food prices were on average eight per cent lower than the first 10 months last year, according to the Rome-based agency. Wheat and maize prices slightly decreased, while rice quotations were mostly stable, the index showed.

According to Yang Saing Koma, president of the Cambodian Center for Study and Development in Agriculture (CEDAC), changes in the global rice price affect the Cambodia market.

He said the price of regular rice in Cambodia has remained stable compared to last month and last year, because the rice price on the international market is relatively stable.

According to Yang Saing Koma, farmers have already sold most of their rice during harvest time so the price will not have as much of an effect for farmers than when the new harvest starts at the end of November.

The FAO food price index is a measure of the monthly change in international prices of a basket of food commodities.

phnom penh post