The global food industry experienced a year of volatility in 2024, with food commodity prices rising by 6.7 percent in December compared to the same month in 2023, according to the latest Food and Agriculture Organization (FAO) Food Price Index. However, the year overall showed a decline in average prices, with the index falling 2.1 percent compared to 2023.

The FAO Food Price Index, a trade-weighted index that tracks monthly changes in prices of five major food commodity groups on international markets, averaged 127 points in December and 122 points for the entire year. While this marks a slight annual decrease, individual food categories displayed varied trajectories, reflecting complex dynamics in global markets.

Sugar and cereal prices decline

Sugar prices played a significant role in the monthly dip, with the FAO Sugar Price Index falling by 5.1 percent from November to December due to improved sugarcane crop prospects in key producing regions. Over the year, sugar prices declined by 13.2 percent, providing relief to industries dependent on this critical input.