World food prices reach historical maximum due to crisis in Ukraine
World food prices reached their highest level in the 61-year history of the Food Price Index of the United Nations Food and Agriculture Organization (FAO) due to problems in the supply chain and the crisis in Ukraine.
The monthly index, published on Friday by the FAO, stood at an average of 140.7 points in February. This is 3.9 percent higher than January, 24.1 percent higher than February 2021, and 2 percent higher than its previous record from February 2011.
The index measures prices since 1961 and uses the average of prices between 2014 and 2016 as the value of 100. It is also adjusted for inflation.
Four of the index's five subcategories rose, with the grains and cereals index, the index's largest component, rising 3.0 percent. Wheat prices rose on supply concerns as both Russia and Ukraine are major wheat exporters.
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Other sub-indices rose even more. The price of vegetable oil rose 8.5 percent compared to the previous month and the price of dairy increased 6.4 percent.
Meat prices rose a modest 1.1 percent.
The FAO Monthly Food Price Index is based on world prices for 23 staple food categories covering the prices of 73 different products compared to a base year.
