The average food price index of the Food and Agriculture Organization (FAO) of the United Nations, which allows monthly tracking of fluctuations in world prices for the most salable goods, amounted to 125.7 points at the end of 2021, which is 28.1% more than in 2020. reported on the website of the organization.
“Under normal conditions, high prices lead to an increase in production volumes, however, rising prices for inputs, the ongoing global pandemic and increasingly unpredictable weather conditions leave little hope for the stabilization of the market situation in 2022,” warned FAO Senior Economist Abdulreza Abbassian …
In general, the indicator of 2021 has reached its maximum level in the last 10 years, the organization noted. This happened despite the decline in the index in December by 0.9% compared with November. The fact is that in annual terms the indicator increased by 23.1%.
The average value of the index for cereals in monthly terms decreased by 0.6%, for vegetable oils – by 3.3%, for sugar – by 3.1%, to a minimum in five months. The growth was shown only by the index for dairy products, which increased by 1.8% against the background of the rise in prices for international quotations of butter and milk powder due to a decrease in production in Western Europe and Oceania, the FAO explained.
According to preliminary estimates of Rosstat, inflation in Russia at the end of 2021 amounted to 8.39%, while the Central Bank’s target of 4%. Food products for the year rose by 10.62% after 3.91% last year. The cost of non-food products increased by 8.58%, and services – by 4.98%. In 2020, these indicators were 3.32 and 2.72%, respectively.