Global food prices climb to highest level since 2022 as supply risks intensify
The FAO Food Price Index rose 1.9% in August 2026 to 133.3 points, its highest level since November 2022. Cereals, vegetable oils, meat, dairy and sugar all increased, adding pressure on import-dependent markets including Syria.
Food index rises across every commodity group
International food commodity prices reached their highest level in nearly four years in August 2026 as weather disruptions, geopolitical tensions and uncertainty over major trade routes raised concerns about supplies. The Food and Agriculture Organization of the United Nations said its Food Price Index averaged 133.3 points, up 1.9% from the revised July level and 2.5% from a year earlier. The reading was the highest since November 2022, although it remained 16.8% below the March 2022 peak.
The index measures monthly changes in international prices for a basket of globally traded food commodities. All five groups covered by the benchmark—cereals, vegetable oils, meat, dairy and sugar—recorded increases in August. For import-dependent economies, the broad nature of the rise matters because higher costs are not confined to a single staple and can affect food processors, wholesalers and consumers across several categories.
Grains and sugar lead the increase
The FAO Cereal Price Index rose 2.2% from July to 116.3 points, its highest level since May 2024. Wheat prices increased 2.6% during the month and stood 15.0% above their year-earlier level. FAO linked the rise to disrupted Black Sea export logistics, weaker production prospects in parts of Europe after hot and dry weather, and a weaker United States dollar. Maize prices gained 2.5% amid crop concerns in the United States and the European Union, strong ethanol and feed demand, input disruptions associated with the closure of the Strait of Hormuz and constraints on Ukrainian exports.
Rice prices rose 0.5%, supported by purchases from Asian and African countries, while sorghum and barley gained 3.9% and 2.6%, respectively. Sugar recorded the sharpest monthly movement: its index jumped 11.9% to 106.4 points, the highest since June 2025. FAO cited weaker European Union sugar-beet yield expectations, El Niño-related risks in Asia, lower production in Brazil’s Center-South region and India’s announcement of duty-free raw sugar imports.
Oil, dairy and meat markets also strengthen
The Vegetable Oil Price Index increased 0.6% to 196.9 points, its third consecutive monthly gain and highest reading since June 2022. Strong import demand and concern about El Niño’s potential effect on Southeast Asian production lifted palm oil, while South American soy oil was supported by export demand. Sunflower and rapeseed oil quotations declined slightly because of subdued import demand and expectations of ample 2026/27 supplies.
Dairy prices rose 2.3%, driven by milk powder and cheese as hot, dry conditions tightened European Union milk supplies. Meat prices advanced 1.0%, with poultry, pig and ovine meat offsetting lower bovine quotations. FAO forecasts 2026 global cereal production at 2.980 billion tonnes, 2.0% below 2025 but still the second-largest crop on record. Trade is expected to ease to 509.3 million tonnes in 2026/27. Syria’s reliance on imported food leaves its processors, traders and households particularly exposed when international prices, freight risks and supply uncertainty rise together.
