In September 2025, global meat prices reached the highest level in history, while the cost of most other staple food items continued to decline. According to the United Nations Food and Agriculture Organization (FAO), the Food Price Index (FFPI) in September stood at 128.8 points, which is 0.7% lower than in August. The main reason for this decline was the drop in prices for grains, dairy products, sugar, and vegetable oils, which outweighed the rise in meat prices.
This is reported by Finway
Trends in Meat and Dairy Prices
The FAO meat price index reached 127.8 points in September, which is 0.7% higher than in August and 6.6% above last year’s figure. The main drivers of this increase were the rising prices of beef and lamb. In particular, beef prices surged to a historic high due to strong demand in the U.S. and limited domestic supplies. The cost of lamb increased amid steady demand and insufficient exports from Oceania.
In contrast, prices for pork and chicken remained stable, indicating a balance in the global market for these products.
“The FAO Food Price Index (FFPI) in September 2025 was 128.8 points. This is 0.7% lower than in August (129.7 points). The decline in prices for grains, dairy products, sugar, and vegetable oils outweighed the increase in meat costs.”
The FAO dairy price index in September was 148.3 points, which is 2.6% lower compared to August. However, on a year-on-year basis, it increased by nearly 9%. All major categories saw price reductions: the cost of butter fell by 7%, skim milk by 4.3%, and whole milk by 3.1%. Cheese prices changed slightly. The price drop is attributed to an increase in cream supply and reduced demand for ice cream in northern countries, as well as low demand and competition in export markets for milk powder.
Trends in the Vegetable Oils, Sugar, and Grains Markets
The FAO vegetable oils price index in September was 167.9 points, which is 0.7% lower than in August but 18% higher year-on-year. The decrease was driven by falling prices for palm and soybean oils. Specifically, palm oil prices declined due to large stocks in Malaysia, while soybean oil prices decreased for the second consecutive month amid increased supplies from Argentina. At the same time, sunflower and rapeseed oil prices rose due to supply shortages from the Black Sea region and Europe.
The FAO sugar price index in September fell to 99.4 points — 4.1% lower than in August and 21.3% lower compared to September last year. This figure dropped to its lowest level since March 2021. The reason was a record sugar supply from Brazil and an expansion of planting areas, leading to the largest price drop in four years.
The grains price index in September was 105 points — 0.6% lower than in August and 7.5% lower year-on-year. Wheat prices have been declining for the third consecutive month due to low demand in global markets and large harvests in Russia, Europe, and North America. Corn also saw price decreases amid forecasts of surplus supplies from the U.S. and Brazil. At the same time, barley and sorghum prices increased. Additionally, the rice price index fell by 0.5% — primarily due to the drop in the value of Indian rice.