World food prices rose in September
World food prices climbed in September, with droughts in the US, Europe and Asia to blame for poor yields.
World food prices climbed in September by 1.4 per cent, according to the United Nations Food and Agricultural Organization (FAO).
This increase follows a two-month period where values were steady, but overall 2012 has been a concerning year for the appreciation of foodstuffs, as droughts have damaged yields in the US farming belt, Europe and central Asia.
The FAO has predicted that global cereal production will decline, forecasting a 2.6 per cent fall in production after 2011's record crop.
In 2012, the body now expects 2.286 billion tonnes of cereal to be harvested, which is a downward revision from the original 2.295 billion tonnes anticipated a month ago.
Senior economist at the FAO Abdolreza Abbasian told Reuters that matters may not improve in the near future.
"Volatility is not going to go away, if anything, it may even intensify further in coming months," he stated.
At 11:45 BST, most of the commodities listed on the Euronext LIFFE Futures index were higher, with milling wheat climbing 1.2 per cent to €261.00 per metric tonne and corn futures appreciating by 0.5 per cent to €238.25 per metric tonne.
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