The Food and Agriculture Organization (FAO), a United Nations agency, reported that its global food price index rose in July from its lowest level in two years, influenced by Russia’s decision to reject the extension of an agreement for exporting Ukrainian grain through the Black Sea and concerns about global production.
The organization stated today that its index, which tracks the most traded food commodities globally, averaged 123.9 points in July, up from 122.4 points after adjustment in the previous month.
The reading for July was nearly 12 percent lower than it was a year ago and 22 percent lower than its all-time high in March 2022, following the start of the Russian military operation in Ukraine.
The FAO also noted that its index for vegetable oil prices jumped 12 percent in July compared to June after seven consecutive monthly declines.
On July 17th of the past year, Russia withdrew from the grain export agreement through the Black Sea, which was signed in Istanbul, Turkey, on July 22, 2022, between Russia and Ukraine with the mediation of Turkey and the United Nations. Russia refused to extend the agreement due to what it considered “non-compliance” with commitments to remove obstacles to its food and fertilizer exports.
Source: Qatar News Agency