Quotes: US MENA   Enter Symbol: NewsLetter: Search: advanced

Jordan- Food prices expected to hike due to drought in producing countries  Join our daily free Newsletter

MENAFN - Jordan Times - 14/08/2012

No. of Ratings : 0
Add to Mixx!


 


Shoppers buy food items at a supermarket in Amman. According to President of Foodstuff Traders Association, food prices in the local market are set to rise in the coming weeks due to drought in major producing countries (Photo by Raad Adayleh)
(MENAFN - Jordan Times) Domestic food prices are set to soar in the weeks to come as a result of dry weather in major staple food producing countries.

President of the Foodstuff Traders Association Samer Jawabreh said prices of essential commodities on the local market are expected to remain volatile in the coming few weeks, indicating that prices of several staple food products are set to see sharp increases during the last quarter of the year.

"We at the association expect the coming period to be very difficult in regards to food prices," Jawabreh said, blaming unfavourable weather conditions in the US and Russia for the anticipated rise in the prices of essential food products, particularly cereals.

The Food and Agriculture Organisation (FAO) Index, which measures monthly price changes for a food basket of cereals, oilseeds, dairy, meat and sugar, averaged 213 points in July, up 6 per cent from 201 points in June.

According to the FAO, the rise, which followed three months of declines, was driven mainly by a surge in grain and sugar prices.

The organisation said in its monthly index update that the US drought, which is the worst to hit the Midwest in 56 years, had pushed up corn prices by almost 23 per cent in July, and international wheat prices had followed, rising about 19 per cent amid worsening output prospects.

The US is the world's largest corn producer, with nearly 40 per cent of world production, according to Jawabreh, who noted that the deterioration in maize crop will affect fodder and oils.

"As fodder prices are also expected to surge, meat and poultry prices will automatically go up," the sector leader said.

He told The Jordan Times over the phone on Monday that the drought in Russia and Ukraine may put pressure on the international grain market.

According to the FAO Index, sugar prices were up by 12 per cent in July from June, ending the steady fall initiated in March.

The upturn was triggered by untimely rains in Brazil, the world's largest sugar exporter, which hampered sugarcane harvesting in July.

Concerns over delayed monsoon in India and poor precipitation in Australia also contributed to the price increase, according to FAO.

 






  MENA News Headlines


 
Click to Apply






Google

 
 

Middle East North Africa - Financial Network

MENAFN News Market Data Countries Tools Section  
 

Middle East North Africa - Financial Network
Arabic MENAFN

Main News
News By Industry
News By Country
Marketwatch News
UPI News
Comtex News

IPO News
Islamic Finance News
Private Equity News

How-To Guides
Technology Section

Travel Section

Search News

Market Indices
Quotes & Charts

Global Indices
Arab Indices

US Markets Details

Commodoties

Oil & Energy

Currencies Cross Rates
Currencies Updates
Currency Converter

USA Stocks
Arab Stocks
 

Algeria 
Bahrain 
Egypt 
Iraq
Jordan 
Kuwait 
Lebanon
Morocco 
Oman 
Palestine
Qatar 
Saudi Arabia 
Syria
Tunisia 
UAE 
Yemen

Weather
Investment Game
Economic Calendar
Financial Glossary

My MENAFN
Portfolio Tracker

Voting

Financial Calculators

RSS Feeds [XML]

Corporate Monitor

Events

Real Estate
Submit Your Property

Arab Research
Buy a Research

Press Releases
Submit your PR

Join Newsletters


 
© 2000 menafn.com All Rights Reserved.  Terms of Service | Privacy Policy | Contact Us | Advertise | About MENAFN | Career Opportunities | Feedback | Help