Trade

The FAO Food Price Index fell for the third consecutive month in April as global markets continue to see the effects of COVID-19. The 3.4-percent decrease brought the Index to the lowest point seen since January 2019.

The FAO Food Price Index fell for the third consecutive month in April as global markets continue to see the effects of COVID-19. The 3.4-percent decrease brought the Index to the lowest point seen since January 2019.

Inclusive, sustainable food systems are crucial for long-term economic and food security, particularly in light of the new challenges presented by COVID-19.

The novel coronavirus (COVID-19) continues to spread rapidly. So far, more than 116,000 cases and over 4,000 deaths have been reported worldwide. Since its start in China in December, the outbreak has spread to over 100 countries in less than three months. To contain the pandemic, entire cities and regions in Asia and Europe have been by and large shut down, putting a halt to much economic activity, quarantining workers and idling factories and many service activities. Major sports events are being cancelled and, around the world, international travel is being curtailed. In an unprecedented move, the IMF and World Bank have decided to hold their spring meetings virtually to avoid a large gathering of people in Washington, D.C., that might become a breeding ground for the virus to spread.

The FAO Food Price Index continued to rise in January for the fourth consecutive month. While the month-on-month increase from December was marginal (0.7 percent), the Index reached 11.3 percent higher than its January 2019 levels. The increase was driven mainly by vegetable oil prices, although cereal prices also played a role to a lesser extent.