WORLD FOOD PRICE INDEX

WORLD FOOD PRICE INDEX

Subject : International Report

Context : World food prices rose for a seventh consecutive month in December, with all the major categories, barring sugar, posting gains last month, the United Nations food agency said.

Concept :

• The Food and Agriculture Organization’s (FAO) food price index averaged 107.5 points last month versus 105.2 in November.
• It consists of the average of five commodity group ( vegetable oil ,sugar, cereals,dairy and meat ) price indices weighted by the average export shares of each of the groups over 2014-2016.

Food and Agriculture Organisation (FAO)

• Established in 1945, the Food and Agriculture Organisation (FAO) has its headquarters in Rome, Italy.
• It was founded with a goal to provide food security for everyone and assure that people will have access to high-quality food in sufficient quantities to achieve a healthy lifestyle.
• Every year, the FAO publishes a number of major ‘State of the World’ reports related to food, agriculture, forestry, fisheries and natural resources.