Food price index, published on Friday by the Food and Agriculture Organization (FAO) of the United Nations, in March rose by 12.6% to 159.3%. This is currently the highest level since the introduction of the index in 1990.
During the month, the price indices for five commodity groups grew, with the grain price index rising by 17.1%. The FAO said a major driver of this growth is that Russia and Ukraine are the top producers of wheat and all large grains, and their prices have risen sharply due to the conflict. Concerns about the health of crops in the United States were also a factor in the boost, according to the FAO. Rice prices, meanwhile, are largely unchanged from February.
Meanwhile, vegetable oil prices rose by 23.2% due to higher transport costs and reduced exports as a result of the Russian-Ukrainian conflict.
All other sub-indices rose, but less sharply. Dairy prices rose 2.6%, meat prices rose 4.8% and sugar prices rose 6.7%. The conflict and related challenges have also contributed to the rise in prices for these commodities, FAO said.
