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ROME - The United Nations food agency's world price index was largely stable in September, as declines in the indices for vegetable oils, dairy and meat offset a surge in sugar and maize prices.
FAO's cereal index rose 1.0% from the previous month, with maize prices surging 7%, pushed up by strong demand for Brazilian supplies, slower selling in Argentina and increased barge freight rates in the United States. The sugar index jumped 9.8% from August, hitting its highest level since November 2010 amid growing concerns over a tighter global supply outlook in the upcoming season, tied to worries about the impact of the El Nino weather pattern on production.
In a separate report on cereal supply and demand, the FAO forecast world cereal production this year at 2.819 billion tonnes, up slightly from a previous estimate of 2.815 billion and some 0.9% higher than 2022 levels, the FAO said.
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