FAO: Food Prices Still High in Poor Countries

Prices of staple foods in developing countries remain high despite a fall in international prices, making life harder for millions of poor people, according to the United Nations Food and Agriculture Organization (FAO). FAO in its latest Crop Prospects and Food Situation report said that the world cereals output is expected to fall 3.4 percent to 2.209 billion tons this year.

In 27 sub-Saharan Africa countries, FAO found that 80 to 90 percent of all cereal prices remain more than 25 percent higher than before the food price crisis two years ago. In Sudan for instance, the prices of sorghum recorded last month were three times higher than two years ago. The prices of maize in Ethiopia, Kenya and Uganda, on the other hand, have doubled compared to two years ago.

FAO listed reduced harvests, higher or delayed imports, civil conflict, strong demand in neighboring countries and regional trade flows, as the reasons for the high food prices. The UN agency further said that prospects for 2009 cereal crops is uncertain in parts of Western and Eastern Africa as well as in Asia because of an erratic start of the rainy season.

Read FAO's media release at http://www.fao.org/news/story/en/item/28797/icode/