Different types of food index -FAO

Different types of food index -FAO

Subject: Economy

Section: External sector

Context: Global food prices rising

Concept:

The Food Price Index (FFPI) 

• By the Food and Agriculture Organisation (FAO) on a monthly basis.
• First introduced in 1996.
• Purpose: To track the developments in the global agricultural commodity markets, and to keep an eye on the world food situation.
• Base period: 2014-16
• The FAO Food Price Index (FFPI) records the monthly fluctuations in the international food prices for a basket of five commodities:

• • Cereals– The FAO Cereal Price Index
  • Vegetable oil-The FAO Vegetable Oil Price Index
  • Dairy products-The FAO Dairy Price Index
  • Meat-The FAO Meat Price Index
  • Sugar– The FAO Sugar Price Index

Unlike for other commodity groups, most prices utilized in the calculation of the FAO Meat Price Index are not available when the FAO Food Price Index is computed and published; therefore, the value of the Meat Price Index for the most recent months is derived from a mixture of projected and observed prices. This can, at times, require significant revisions in the final value of the FAO Meat Price Index which could in turn influence the value of the FAO Food Price Index.

Other Publication of FAO

• The State of World Fisheries and Aquaculture (SOFIA).
• The State of the World’s Forests (SOFO).
• The State of Food Security and Nutrition in the World (SOFI).
• The State of Food and Agriculture (SOFA).
• The State of Agricultural Commodity Markets (SOCO).