If you’re feeling the pinch when you carry out your weekly shop then it will come as no surprise to hear that global food prices rose sharply during June.
According to the UN Food and Agriculture Organisation, the price of sugar increased by 14 per cent last month largely due to high demand and lower production in Brazil. Overall, the organisation’s food price index reached 234 points in June – that’s close to February’s record level of 239.
Not so sweet
The sugar price increases fuelled most of the surge and cancelled out falls in prices of wheat, corn and soya.
Increasing food costs have been known to cause many disruptions on a world scale. For example, they were one of the factors that drove people on to the streets in Arab countries earlier this year and the global food crisis of 2008 prompted mass protests in developing countries.
According to the agency’s most recent bi-annual Food Outlook, spiralling demand means global food prices will remain high and volatile throughout the rest of the year and into next year despite record food production.
Price at the till
Supermarkets and other retailers may be forced to increase prices to reflect the rise in costs, meaning the emphasis is on the consumer to shop around for better deals.
Many bargains can be found online where supermarkets save money on overheads and offer many discounted prices. Shoppers should also look for voucher codes which can be applied at the shopping cart stage to reduce prices further.
