Global food prices drop by 2.1 percent in 2024

Global food prices were, on average, 2.1 percent lower in 2024 compared to 2023. This is evident from the FAO Food Price Index, which closed the year with an average of 122.0 points. It marks the second consecutive year of decline, following record highs in 2022. Grain prices played a significant role in the downward trend, while meat, dairy, and vegetable oils saw price increases.

Grain prices pull annual average down

The FAO Cereal Price Index, which tracks grain prices, dropped by 13.3 percent in 2024 compared to the previous year. This reflects a recovery in global production and a decline in demand for certain grains. However, there were variations within this category: rice prices, for instance, reached their highest level in 16 years.

December shows a mixed picture

The month of December ended the year with a slight 0.5 percent decrease in the overall food price index. Sugar prices saw a particularly sharp decline, falling by 5.1 percent compared to November. At the same time, meat prices recovered after three months of declines, and dairy prices remained relatively high.

Scarcity pushes up vegetable oil prices

Vegetable oils were an exception to the downward trend. This index rose by 9.4 percent over the whole of 2024, driven by tight global supplies. This highlights how fluctuations in supply and demand for individual product categories continue to have a significant impact on food prices.

Fao.org