World food price index rises in March for 10th month running

World food price index rises in March for 10th month running

Early indications pointed to a further increase in production this year. Dairy prices rose for a 10th month running, registering a 3. 9 percent increase. FAO said one of the drivers in the sector was milk powder, which was boosted by a surge in imports in Asia, especially China, due to concerns over short-term supplies. The meat index climbed 2. 3 percent, but unlike all the other indices, it was still slightly down on a year-on-year basis. FAO said poultry and pig meat quotations increased, underpinned by a fast pace of imports by Asian countries, mainly China. Sugar prices dropped 4. 0 percent month on month, but was still up 30 percent on the year. March's decline was fueled by prospects of large exports from India, FAO said. FAO raised its forecast for the 2020 cereal season to 2. 765 billion tons from a previous estimate of 2. 761 billion, pointing to a 2. 0 percent increase year on year. Looking ahead, FAO said it expected global cereal production to increase for a third consecutive year in 2021. Global wheat production was seen hitting a new high of 785 million tons this year, up 1. 4 percent from 2020 levels,