2012.07.0509:19:00UTC+00Global Food Prices Lowest Since September 2010: FAO

Global food prices declined for the third consecutive month in June and hit a twenty-one-month low, data from a survey by the Food and Agriculture Organization (FAO) showed Thursday.

The food price index, a measure of the monthly change in average international prices of a basket of food commodities, declined 1.8 percent month-on-month in June to the lowest level since September 2010. The latest fall in prices was the third in a row.

The average prices of all commodity groups were below May levels, with the largest drop registered for oils and fats, data showed.

Continued economic uncertainties and generally adequate food supply prospects kept the index down although growing concerns over dry weather sent prices of some crops higher toward the end of the month, the agency said.

FAO said that the overall supply and demand situation in 2012/13 remains adequate, helped by abundant supplies of rice and sufficient exportable supplies of wheat and coarse grains.