Index Sugar Prices Dropped 2010-2012

Index of sugar prices dropped to 274.4 points from 288.2 points in October, to the lowest level since August 2010. The FAO dairy-price index rose to 195 points from 194 in October, the highest level since March, the data showed. The index for meat prices dropped to 174.7 points from 176.

World grain production may drop to 2.28 billion metric tons this year from 2.35 billion tons the previous season, the FAO wrote in a separate report. The outlook was cut by 2.3 million tons from a month ago on reduced estimates for the global wheat harvest.

Grain consumption is forecast to slip to 2.31 billion tons from 2.32 billion tons, while global grain stocks are predicted to fall to 494.7 million tons at the end of the 2012-13 season from 519.5 million tons a year earlier. The outlook for ending stocks was cut by 2.7 million tons.

Farmers across the world may harvest 659.4 million tons of wheat in 2012 from 699.4 million tons last year, the FAO said, cutting its estimate by 1.8 million tons.

The world crop of coarse grains, including corn and barley, may slip to 1.14 billion tons from 1.17 billion tons a year earlier, while rice production is expected to increase in 2012-13 to 486.8 million tons from 482.7 million tons.