Global food prices increased by 4.3% in 2025, with a decrease of 0.6% recorded in December compared to November, according to FAO (Food and Agriculture Organization of the United Nations).
"By the end of 2025, the average value of the FAO food price index reached 127.2 points, which is 5.2 points (4.3%) higher than the figures for 2024," the FAO monthly report states.
In December 2025, compared to November, the food price index decreased due to falling prices for dairy products, meat, and vegetable oils, which more than offset the increase in the price index for grains and sugar, the document notes. Year-on-year, December prices were 2.3% lower and 22.4% below the peak level recorded in March 2022.
The grain price index in December increased by 1.7% compared to November. Experts note that concerns about potential disruptions to export supplies from the Black Sea region supported wheat prices. The increase in corn prices was driven by strong export demand and a surge in ethanol production in both Brazil and the United States.
By the end of 2025, the grain price index fell by 4.9%, reaching the lowest annual average since 2020.
By the end of 2025, the meat price index rose by 5.1%, attributed to strong global import demand and increased uncertainty in the markets due to outbreaks of animal diseases and geopolitical tensions.
The dairy price index in December decreased by 4.4% compared to November. Butter prices sharply declined, partly due to a seasonal increase in cream supply in Europe. Prices for whole milk powder also fell, linked to the peak of seasonal milk production in Oceania and reduced demand from major importing regions. Meanwhile, prices for skimmed milk powder and cheese declined less significantly.
At the same time, for the year, the dairy price index increased by 13.2%, attributed to a significant rise in prices in the first half of the year.
The sugar price index in December increased by 2.4% compared to November. The increase was recorded after three months of decline. However, year-on-year, the December figure was 24% lower.
By the end of 2025, the sugar price index fell by 17% and became the lowest since 2020. The main factor for the decline was sufficient export supply, the report explains.
The FAO food price index is a weighted average indicator that tracks the dynamics of international prices for five major food commodity groups.
