Food prices spike after slowdown, UN report says
Food and Agriculture Organization director Jose' Graziano da Silva reads a document at Rome's International Fund for Agricultural Development headquarters, during a meeting Thursday, March 8, 2012. (AP / Alessandra Tarantino)
Published Thursday, March 8, 2012 6:31AM EST
ROME - A UN agency says food prices have risen for the second time in two months, blaming bad weather in major exporting countries among other factors that have reversed downward price trends.
On the positive side, the Food and Agriculture Organization is forecasting near record wheat production this year, expected to reach 690 million tons or just below the record 2011 harvest.
The Rome-based agency said Thursday its price index rose one per cent from January to February. The index had climbed nearly 2 per cent in January, its first increase in six months.
The increase was mostly caused by higher prices of sugar, oils, and cereals.