Rising food prices last year as a result of Russia’s invasion of Ukraine raised the food price index calculated by the UN Food Agency (FAO) to a historically high level, Reuters reports.

The food price index, which tracks international prices of the most traded food items, averaged 143.7 points, up 14.3% from 2021 and the highest since records began in 2021, according to FAO. in 1990.

The index has already increased by 28% in 2021 compared to the previous year as a result of the recovery of the global economy after the impact of the pandemic.

Food prices have risen since Russia’s invasion of Ukraine in February last year amid fears of trade disruptions in the Black Sea region.

Later, the increase was partially reduced, after the creation of a grain export channel from Ukraine with the support of the UN and the improvement of the prospects for supplies from producing countries.

In December, the basic index fell for the ninth month in a row to 132.4 points compared to the revised 135.00 points in November.

The November indicator was previously called at the level of 135.7 points.

“More moderate food prices are welcome after two very volatile years,” said FAO Chief Economist Maximo Torero.

The decline in the index in December was driven by a fall in global vegetable oil prices, as well as some declines in grain and meat prices, but was offset by slight increases in sugar and dairy prices, the FAO said.

Also during 2022, four of the five FAO food sub-indices – cereals, meat, dairy and vegetable oils – reached record highs, while the fifth, sugar, was at a 10-year high.

The FAO Cereals Price Index rose 17.9% in 2022 due to factors such as significant market disruptions, higher energy and resource costs, adverse weather conditions and continued high global demand for food, FAO said.

(source: news.ro / photo source: Dreamstime)