Food prices in world are steadying: UN

Rome: World food prices are stabilizing after a long period of extreme volatility, the UN’s food agency said.
The increase in cereal production this year is due mainly to a recovery of maize crops in the United States and record wheat harvests in the former Soviet Union, FAO said, adding that world rice production would grow but more modestly.

FAO said its Food Price Index rose in October to 205.8 points — a 2.7-point rise from September — mainly thanks to an increase in sugar prices.

FAO forecast world sugar production would increase only slightly in 2013 and 2014 and mainly in Brazil, the world’s largest sugar producer.

Meanwhile world sugar consumption is expected to grow by about 2.0 percent in 2013-2014.