World food prices rose for a sixth month running in November, hitting almost a six year high with the index posting its biggest monthly increase since July 2012, the United Nations food agency said on Thursday.
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 105.0 points last month, versus a slightly revised 101.0 in October.
The October figure was previously given as 100.9.
The Rome-based FAO also said in a statement that worldwide cereal harvests remained on course to hit an annual record in 2020, even though it trimmed its forecast for a third month running.
Vegetable oil prices led the upward charge in the overall index, surging 14.5 per cent month-on-month, thanks largely to a rally in palm oil prices tied to a sharp fall in global inventories.
The cereal price index posted a more modest 2.5 per cent rise in November from the month before, some 19.9 per cent above its value a year earlier. Wheat export prices were pushed higher as a result of “reduced harvest prospects” in Argentina, while maize prices were lifted partly by lower crop forecasts in the United States and Ukraine. Rice prices held steady.