BAKU, Azerbaijan, May 18. The UN Food and Agriculture Organization (FAO) Food Price Index (FFPI) averaged 128.3 points in April 2025.
The food price index increased by one percent compared to this March and by 7.6 percent year on year.
The data obtained by Trend from an insider source claimed that the prices of grains, meat and dairy products grew, while, and vegetable oils and sugar products decreased during this period.
Grains
The price index for grains averaged 111 in April of this year, reflecting:
- A growth of 1.3 points (1.2 percent) compared to this March;
- A decline of 0.6 points (0.5 percent) year on year.
The key reasons for the growth in the grain price index include:
• Growth in wheat prices amid a tightening export situation in Russia and a steady export pace for some major exporters, including a weakening of the US dollar against the euro;
• Growth in corn prices amid adjustments to US import tariff policy, including the exemption of Mexico, a leading importer of US corn, and a 90-day break on import tariffs above 10 percent for a number of other trading partners;
• Sorghum, barley and rice price growth
Vegetable Oils
The price index for vegetable oils averaged 158 points in the reporting month, reflecting:
- A decrease of 3.7 points (2.3 percent) compared to March;
- An increase of 27.1 points (20.7 percent) compared to April of last year.
The main reasons for the reduction in the vegetable oil price index include:
• Drop in global palm oil prices amid high supply in major producing countries in Southeast Asia
Meat Products
The price index for dairy products averaged 121.6 points in April 2025, showing:
- A rise of 3.7 points (3.2 percent) compared to March;
- An increase of five points (4.3 percent) year on year.
The key reasons for the decrease in the meat price index include:
• Following the restoration of Germany's FMD-free status and the lifting of restrictions by importers, the meat price index increased due to increased seasonal demand around Easter;
• Increased poultry prices due to high demand in Brazil;
• Increased pork prices
Dairy Products
The price index for dairy products averaged 152.1 points in April, reflecting:
- A 3.5-point (2.4 percent) increase in monthly terms;
- A rise of 28.4 points (22.9 percent) compared to April 2024.
The main factors contributing to the increase in dairy prices include:
• Growth in global butter prices since March, peaking amid high European prices supported by reduced inventories and strong demand for buttermilk;
• Increase in global prices of milk powders (SMP and WMP) amid stable domestic demand and a shift in export interest from Europe – where a stronger euro has reduced competitiveness – to Oceania;
• Cheese price increase
Sugar
The price index for sugar averaged 11.8 points this April, reflecting:
- A decrease of 4.1 points (3.5 percent) compared to March;
- A decline of 13.8 points (10.9 percent) compared to April of last year.
The main factors behind the decrease in sugar prices include:
• Global sugar prices' fall amid higher-than-expected sugar production in Brazil in the second half of March;
• Global sugar prices' fall amid depreciation of the Brazilian real against the US dollar and lower international crude oil prices
To note, the Central Bank of Azerbaijan data shows that the annual inflation rate in the country has remained within the target range of 4±2% since the last meeting. In March 2025, the 12-month inflation rate was 5.9 percent, which is in line with the inflation forecast. During this period, the annual price increase for food products was 6.5 percent, for non-food products was 2.8 percent, and for services was 7.5 percent. The annual core inflation rate was 4.5 percent.
Additionally, the State Statistical Committee data shows that the Consumer Price Index (CPI) in April of this year was 106.3 percent compared to April 2024.
Furthermore, the CPI for food products, alcoholic beverages, and tobacco products was 107.6 percent, for non-food products was 102.7 percent, and for paid services provided to the population was 107.6 percent.
In April of this year, the CPI was 100.3 percent compared to the previous month, and from January through April, it was 105.8 percent compared to the same period last year.
In April 2025, the CPI for food products, alcoholic beverages, and tobacco products was 100.6 percent compared to the previous month, and from January through April, it was 106.2 percent compared to the same period last year.
