FAO Food Price Index posts first rise in five months

The FAO Food Price Index* (FFPI) averaged 125.3 points in February 2026, up 1.1 points (0.9 percent) from its revised January level. Increases in the price indices for cereals, meats and vegetable oils more than offset declines in dairy and sugar, resulting in the first rise of the index after five consecutive monthly decreases. Compared to historical levels, the FFPI stood 1.3 points (1.0 percent) below its value a year ago and as much as 34.9 points (21.8 percent) down from the peak reached in March 2022.

» The FAO Cereal Price Index averaged 108.6 points in February, up 1.1 points (1.1 percent) from January but still 4.0 points (3.5 percent) below its level a year earlier. World wheat prices rose by 1.8 percent in February, underpinned by reports of frosts and heightened winterkill risks in parts of Europe and the United States of America. Logistical disruptions in the Russian Federation and continuing tensions in the Black Sea region also contributed to the increase. International coarse grain prices also rose, albeit more moderately. World maize prices remained broadly steady, while barley quotations continued to firm on sustained demand from China for Australian supplies and purchases by North African buyers sourcing from Europe. Prices of sorghum also increased on strong international demand. The FAO All Rice Price Index edged up by 0.4 percent in February, supported by sustained demand for basmati and Japonica varieties.

» The FAO Vegetable Oil Price Index averaged 174.2 points in February, up 5.6 points (3.3 percent) month-on-month, reaching the highest level since June 2022. The increase was driven by higher prices of palm, soy and rapeseed oils, more than offsetting lower sunflower oil quotations. International palm oil prices rose for the third consecutive month, underpinned by firm global import demand and seasonally lower outputs in Southeast Asia. World soyoil prices increased on expectations of supportive biofuel policy measures in the United States of America, while rapeseed oil prices rebounded amid prospects for stronger import demand for Canadian supplies. By contrast, sunflower oil prices eased moderately, reflecting subdued import demand due to elevated prices and rising export supplies from Argentina, but they remained well above their year-earlier levels.

» The FAO Meat Price Index averaged 126.2 points in February, up 1.0 points (0.8 percent) from its revised January value and 9.4 points (8.0 percent) above its level a year earlier. The increase was largely driven by higher world bovine and ovine meat prices, while poultry and pig meat quotations registered only marginal upticks. Ovine meat prices climbed to a new record high, underpinned by limited exportable supplies from Oceania – the main source of global exports – amid steady global demand. Bovine meat quotations also increased, supported by robust buying interest from China and the United States of America, which sustained export prices in leading suppliers, notably Australia and Brazil. Pig meat prices edged up slightly in the month. Higher quotations in the United States of America, reflecting firm international demand, were partially offset by lower export prices in Brazil due to ample supplies. In the European Union, prices stabilized as earlier holiday-related slaughter backlogs that contributed to a sharp decline in the previous month were largely cleared. Poultry meat prices rose marginally, with firm import demand in several markets partly counterbalanced by ample supplies in key producing countries, limiting upward price pressure.

» The FAO Dairy Price Index averaged 119.3 points in February, down 1.4 points (1.2 percent) from January and 28.4 points (19.2 percent) below its level a year earlier. The February decline extends the downward trend that began in July 2025. The easing was mainly driven by a continued decline in cheese prices, particularly in the European Union, driven by improved milk availability, softer demand from key export markets, and intensified international competition.  By contrast, international quotations for both skim milk and whole milk powders increased notably, supported by a pick-up in import demand, particularly from North Africa, the Near East and Southeast Asia, alongside a seasonal slowdown in milk supply growth in New Zealand. World butter prices registered their first monthly rise since reaching an all-time high in June 2025, underpinned by firmer international demand and tightening supply growth prospects in Oceania, although the increases were capped by softer quotations in the European Union amid ample cream availability.

» The FAO Sugar Price Index averaged 86.2 points in February, down 3.7 points (4.1 percent) from January and as much as 32.4 points (27.3 percent) from a year ago, marking its second consecutive monthly decline and its lowest level since October 2020. Expectations of ample global supplies in the current season continued to exert downward pressure on world sugar prices. Overall favourable production prospects, including forecasts of a record output in the United States of America, more than offset upward price pressure stemming from the downward revision to India’s production forecast and the seasonal decline in output in Brazil.

Tags: prices, FAO