November 2024: multidirectional trends in the food market and the impact of seasonal factors on sugar prices
Food costs showed mixed trends in November 2024, according to FAO data. According to the FAO Food Price Index (FPI), the average value increased by 0.5 per cent from October to 127.5 points, the highest level since April 2023. Dairy products and vegetable oils were the main contributors to the increase, slightly offsetting declines in meat, cereals and sugar. On an annualised basis, the CPIF increased by 5.7 per cent, but is still 20.4 per cent below the peak recorded in March 2022. As for the value of sugar, it fell 2.4 per cent year-on-year to 126.4 points in October. This is the lowest value since December 2022 and is down 21.7 per cent from November 2023. Several factors contributed to the decline in sugar prices, including the start of the refining season in India and Thailand, an improved crop outlook in Brazil and increased rainfall in the southern parts of the country. These rains had a positive impact on the preparation of the ground for the new crop, although they had an impact on the harvesting campaign. The depreciation of the Brazilian real and lower global oil prices also contributed to the decline in sugar prices. News source: https://sugar.ru