In a video interview with CGTN America, Joseph Glauber, Research Fellow Emeritus at IFPRI, explains the dynamics of global food prices. He emphasizes that the FAO Food Price Index measures commodity prices (e.g., grains, meat, vegetable oils) rather than retail food prices. Although commodity prices have generally decreased since their 2022 peaks, retail prices remain high due to inflationary pressures on processing, labor, and energy costs.
Glauber points out that, while food price inflation has slowed, retail prices continue to rise slightly, and a return to pre-pandemic price trends may take years. Speaking about the impact on consumers, Glauber notes that lower-income households are hit hardest, especially by rising vegetable oil prices, driven partly by its use in biodiesel, which is a worrying trend. Climate change is another force destabilizing food prices, because increasing temperature variability leads to unpredictable agricultural yields.
Watch the interview: