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Farmers’ ability to access reliable and inclusive systems of finance is critical for agricultural growth and economic development. Proper financing enables farmers to make long-term productive investments and to overcome short-term crises. In 2008, the world experienced the worst global financial crisis in decades (information on the relationship between food prices and financial activity, as well as agriculture and financial policies can be found in these recent blog posts from IFPRI and the Food Security Portal ).

Pulses are an essential source of protein and minerals for much of the global population, to reflect this the UN has named 2016 as the ‘’International Year of Pulses.’ However, despite increasing demand, global pulse productivity remains low at around a quarter of global cereal yields per hectare, according to IFPRI.

The FAO’s monthly report on food price trends was released on July 11. The bulletin reports on recent food price developments at the global, regional, and country levels, with a focus on developing countries and provides early warnings for high country-level food prices that may negatively affect food security.

The FAO Food Price Index rose again in June for the fifth consecutive month, based largely on surging sugar prices and more moderate increases for cereals, dairy, and meat. The 6.6 point increase represents the largest monthly movement in the last four years.

The Cereals Index rose 4.4 points from May, but remains 3.9 percent below June 2015 levels. Strengthened maize prices drove most of this month's increases, as tightening export supplies in Brazil caused prices to rise.

The June FAO Monthly Report on Food Price Trends saw mixed trends for international wheat prices in May, but prices generally remained lower than May 2015. The benchmark US wheat price averaged USD 193 per tonne in May; this was down four percent from April and 17 percent below its May 2015 level. The report cites that this drop in price is due mainly to improved global 2016-2017 production prospects. Prices for EU (France), Black Sea, and Argentina wheat all rose slightly in May (by 2.3, 4, and 1.6 percent, respectively), but as noted, remain well below May 2015 levels.