Trade

Russia’s recent attacks on Greater Odesa port infrastructure and grain-carrying vessels in the Black Sea marked the most intense attacks on Ukraine’s agricultural infrastructure in over a year. In September, according to the United Nations, Russian attacks damaged grain infrastructure and six civilian vessels in Ukraine’s Black Sea ports. Russian ballistic missiles then struck foreign-flagged ships on October 6, October 7, October 9, and October 14, also damaging a grain warehouse and other port infrastructure with the October 14 strike.

The FAO Food Price Index rose 2 percent in October to reach its highest level since April 2023. However, the Index remained 20.5 percent below the record high seen in March 2022.

Over the past two months, India has removed several of its restrictions affecting rice exports, some in place since September 2022. This is welcome news for rice importing countries, which for the past year have had to seek alternative suppliers at significantly elevated prices.

In September, the FAO Food Price Index saw the largest month-on-month increase since May 2022, rising 3 percent from August. While the Index is 2 percent higher than its September 2023 level, it remains over 22 percent below its March 2022 peak.

The FAO Food Price Index declined slightly in August due to falling sugar, meat, and cereal prices. The Index was just over 1 percent lower than its August 2023 value and nearly 25 percent below the peak reached in March 2022.