The Food and Agriculture Organization of the United Nations (FAO) has reported that global food prices reached an all-time high in February, led by vegetable oils and dairy products.
The war between Russia and Ukraine has also shaken global food prices. The total shares of the two countries in global wheat exports exceed the level of 25 percent. That is why wheat prices have risen to the highest level in the last 14 years.
The grain price index increased by 2 percent month-on-month and 14.8 percent year-on-year due to the impact of rising wheat and corn prices. The concern that Ukraine and Russia, the two major wheat exporters in the Black Sea region, being at war would restrict wheat and corn exports was instrumental in this increase.
The vegetable oil price index increased by 8.5 percent month-on-month due to the driving force of palm, soybean and sunflower prices. Ukraine and Russia provide about 80 percent of global sunflower oil exports.
