According to the latest report from the Food and Agriculture Organization (FAO), the Global Food Price Index (FFPI) averaged 127.1 points in February 2025, up 2 points (1.6%) from January 2025.
While the Meat Price Index remained stable, all other indices increased, led by sharp rises in sugar, dairy, and vegetable oils. The overall index was 9.7 points (8.2%) higher than in February 2024, yet still 33.1 points (20.7%) below its peak in March 2022.
Cereal Prices
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The Cereal Price Index averaged 112.6 points, up 0.8 points (0.7%) from January 2025 but down 1.2 points (1.1%)year-on-year.
Global wheat export prices increased due to tight supplies in Russia, which limited exports and redirected demand to alternative suppliers, adding upward pressure on world prices. Concerns over adverse crop conditions in parts of Europe, Russia, and the United States also supported price increases.
Global maize (corn) prices continued to rise, driven by reduced supplies in Brazil, worsening weather in Argentina, and stronger U.S. export demand. Prices of barley and sorghum also rose, while rice prices fell 6.8% due to abundant export supplies and weaker import demand.
Vegetable Oil Prices
The Vegetable Oil Price Index averaged 156 points, up 3 points (2%) from January 2025 and a remarkable 35.1 points (29.1%) above February 2024.
Prices for palm, soybean, rapeseed, and sunflower oils all rose. After a brief dip in January, international palm oil prices rebounded slightly and remained high due to lower production in Southeast Asia and stronger demand from Indonesia’s biofuel industry.
Meanwhile, soybean oil prices rose amid solid global demand, especially from the food sector. Sunflower and rapeseed oil prices climbed on concerns about tighter supplies in the coming months.
Meat Prices
The Meat Price Index averaged 118 points, down slightly by 0.1 points (0.1%) month-on-month but up 5.4 points (4.8%) year-on-year.
Poultry meat prices declined as Brazil’s ample supply offset the impact of avian flu outbreaks in other major producing countries. Pork prices fell due to lower EU prices, particularly in Germany, where trade restrictions following a foot-and-mouth disease outbreak limited exports.
Conversely, mutton prices rose amid stronger global demand, though higher slaughter rates in Australia helped cap gains. Beef prices increased on strong demand from the United States and reduced supply in Australia, while prices in Brazil dropped due to abundant availability.
Dairy Prices
The Dairy Price Index reached 148.7 points, up 5.7 points (4%) from January and 28 points (23.2%) higher than in February 2024, driven by price increases across all major dairy products.
Cheese prices rose for the third consecutive month (up 4.7%) due to strong import demand. Whole milk powder (WMP)prices increased 4.4%, supported by firm demand despite sluggish production in Oceania.
Butter prices rose 2.6% as milk production in Oceania declined while domestic and export demand remained strong. Skimmed milk powder (SMP) prices also rose 1.8%, with higher European output offset by lower production in Oceania.
Sugar Prices
The Sugar Price Index averaged 118.5 points, up 7.3 points (6.6%) from January after three consecutive months of decline.
However, the index was still 22.2 points (15.8%) lower than in February 2024.
The rise in global sugar prices reflected concerns about tighter supplies in the 2024/25 season, with reduced production prospects in India and dry weather in Brazil affecting crop yields.
Additionally, a stronger Brazilian real against the U.S. dollar made exports less attractive, further supporting international sugar prices.