Global food price index hits highest level in 3 years in August: FAO

The Food and Agriculture Organization of the United Nations (FAO) Food Price Index averaged 133.3 points in August, up 1.9 percent from July and 2.5 percent from a year earlier, reaching its highest level since the end of 2022, the FAO said Friday.

The increase was broad-based, with all five commodity group indices rising. The FAO said extreme weather, geopolitical tensions, and disruptions to trade and logistics are exacerbating supply risks for major global agricultural products.

"The FAO released its monthly food price index, as we've been warning food prices are climbing again and the weather is driving much of that. FAO says the benchmark index for world food commodity prices edged up in August as high temperatures and other weather related risks raised concern over supply," said Stephane Dujarric, spokesman for United Nations secretary-general, at a press conference at the UN Headquarters.

The FAO Sugar Price Index recorded the biggest increase, surging 11.9 percent month-on-month to its highest level since June 2025, amid growing concerns over global sugar supplies in the 2026/27 season. Hot and dry weather in the European Union and parts of Asia, lower sugar production in Brazil, and India's decision to allow duty-free raw sugar imports contributed to the rise.

The FAO Cereal Price Index rose 2.2 percent in August to its highest level since May 2024. Wheat prices increased 2.6 percent, supported by continued disruptions to Black Sea export logistics, lower production prospects in parts of Europe due to hot and dry weather, and a weaker U.S. dollar. Maize prices climbed 2.5 percent amid concerns over crop yields in parts of the United States and the European Union, strong demand from the ethanol and feed sectors, and disruptions to Ukrainian exports.

The Vegetable Oil Price Index rose 0.6 percent to its highest level since June 2022, marking its third consecutive monthly increase. The Meat Price Index increased 1.0 percent, driven by higher poultry, pig and ovine meat prices, while the Dairy Price Index rose 2.3 percent, its first increase in four months.

Despite the August rise, the FAO Food Price Index remained 16.8 percent below its record high reached in March 2022, the FAO said.

The FAO also lowered its 2026 global cereal production forecast by 3.4 million tons from its July forecast. Global cereal stocks are projected to reach 947.20 million tons at the end of 2026-2027 period, a 1.1 percent decrease from the previous forecast.

"Looking ahead, FAO forecast global cereal production this year to be a 2.98 billion metric tons. That's still the second largest harvest on record, but down 2 percent from last year," Dujarric said.

Although global grain production is expected to remain at a historically high level, the FAO warns that factors such as climate risks, regional conflicts, and transportation disruptions are increasing uncertainty in the international food market.

Global food price index hits highest level in 3 years in August: FAO

A quake-damaged primary school in Maru Township, southwest China's Xizang Autonomous Region, has set up more than 30 tents on the playground to serve as temporary shelters for the teaching staff and their families.

The 7.0-magnitude quake struck Baqen County of Nagqu City at 22:33 Beijing time (1433 GMT) on Thursday.

Maru Township was among the areas hit hardest by the quake. The township's only primary school, Maru Township Primary School, was damaged heavily.

Two teaching buildings showed varying degrees of destruction, including visible wall cracks, shattered windows, and some structural collapses. The dormitories for the teaching staff and the students were also affected. Fortunately, all the students and teachers were safely evacuated.

Many of the students were sleeping in their dormitories when the quake occurred. Following the earthquake, the teachers immediately evacuated the students to safety.

"We went to the dormitories right away. Some students were still sleeping, so we woke them up and got them out," a teacher said.

While some teachers were injured in the quake, no students were hurt.

The school's sports field has now been converted into a centralized shelter, where over 30 thick, cotton tents have been set up for the teaching staff, their families, and logistics workers.

Supplies inside the tents are plentiful, including thick quilts, food, snacks, and local specialty tea. Power was restored the day after the earthquake, and logistics staff are ensuring three meals a day for everyone.

One child living in the shelter said six people share a tent, and the quilts distributed to them are quite thick.

"It feels like home because my family is here, and I have my meals here in the morning, at noon, and in the evening," the child said.

Since the winter vacation has not yet begun, the school is actively working out a plan to address the students' schooling, including online teaching or transferring students to nearby safe schools.

To cope with the winter cold, the school has applied to local authorities for prefabricated housing units, which are expected to arrive in the next two days. These units will replace the tents and serve as temporary classrooms.

Quake-damaged school in Xizang sets up tents on playground to shelter teaching staff, their families