The FAO Food Price Index rose to 131.2 points in February 2026, the highest level in 18 months and the fifth consecutive monthly increase. The rise was led by cereals (wheat, rice, corn), vegetable oils (palm, sunflower), and dairy. The index measures monthly changes in international prices of a basket of food commodities.
Rice Crisis
Rice prices reached a 15-year high of $540 per tonne (Thai 5% broken), driven by India's export restrictions and weather disruptions in Southeast Asia. India, which accounts for approximately 40% of global rice exports, maintained export bans on white rice introduced in July 2023. El Nino conditions reduced yields in Thailand, Vietnam, and Indonesia during the 2025 growing season.
The impact has been felt most acutely in sub-Saharan Africa, where rice is a staple for hundreds of millions of people. Nigeria, the largest African rice importer, saw domestic rice prices double over two years, contributing to food inflation above 30%.
Vegetable Oils
Palm oil prices rose to approximately $1,100 per tonne on the Malaysia Derivatives Exchange, supported by lower output in Malaysia and Indonesia (the two countries produce 85% of global supply) due to a cycle of lower yields. Sunflower oil prices remained elevated due to the ongoing conflict in Ukraine, historically one of the world's largest exporters.
Price Transmission to Consumers
The relationship between international commodity prices and retail food prices is not always direct, as processing, transportation, and local factors play significant roles. However, in countries heavily dependent on food imports, the transmission is faster and more severe. The World Food Programme estimated that 309 million people faced acute food insecurity globally in 2025, up from 282 million in 2023.
For FAO Food Price Index data, visit FAO. For commodity market data, see World Bank Commodity Markets.