FAO experts have sharply reduced forecasts of grain consumption and stocks in 2022/23

Published 2022년 9월 5일

Tridge summary

The FAO Food Price Index experienced a 1.9% decrease in August, marking the fifth consecutive month of decline, although it remains higher than the previous year. The fall is largely due to a drop in world wheat prices, driven by predicted increased harvests in key countries like the USA, Canada, and Russia. However, feed prices have also risen by 0.2%, and there are concerns about grain production due to adverse weather conditions in the Northern Hemisphere, leading to reduced forecasts for global grain production and consumption. Despite these challenges, world grain trade is expected to increase by 2 million tons to 469.6 million tons, with Canada and the Russian Federation contributing to this growth.

Disclaimer:The above summary was generated by Tridge's proprietary AI model for informational purposes.

Original content

The average value of the FAO Food Price Index fell for the fifth month in a row. In August, it decreased compared to July by 1.9% or 2.7 points to 138 points, although it is 7.9% or 10.1 points higher than the same indicator last year. Thus, the average value of the FAO Cereal Price Index in August decreased compared to July by 1.4% or 2 points to 145.2 points, which is 11.4% or 14.8 points higher than in August 2021 . World wheat prices are falling for the third month in a row, and in August they fell by 5.1% (although they are still 10.6% higher than last year) on forecasts of increased harvests in the USA, Canada and the Russian Federation, a seasonal increase in offers from the Northern Hemisphere, where collection and resumption of exports from Ukrainian Black Sea ports after a 5-month break continues. At the same time, world feed prices increased by 0.2% and are 12.4% higher than last year. World corn prices rose by 1.5% due to drought-induced harvest cuts in the EU and the ...

Source: Graintrade