Prices of 5 Global Food Commodities to Rise in March 2026, Sugar the Highest

Global food prices rose in March 2026, affected by rising energy prices due to the US-Israel war against Iran that broke out since the end of February 2026.

This is evident from the April 2026 edition of the World Food Situation report released by the Food and Agriculture Organization (FAO).

Every month, FAO routinely produces a Food Price Index to measure the average changes in the prices of staple foods globally.

Assuming a base year of 2014-2016 = 100 points, FAO found that the global food price index in March 2026 reached 128.5 points.

The index in March 2026 rose by 2.4% compared to the previous month (month-to-month/mtm), and it was the highest level since the beginning of the year.

“The price index across all commodity groups – namely cereals, meat, dairy products, vegetable oil, and sugar – rose at varying rates,” said FAO in its report.

“This not only reflects the fundamental conditions of the market, but also is a response to the rise in energy prices associated with the escalation of conflict in the Middle East,” it continued.

If broken down by commodity, the biggest increase occurred in sugar, whose price index rose by 7.2% (mtm) in March 2026.

“The increase in sugar prices in March was largely influenced by higher international crude oil prices, raising expectations that Brazil, the world’s largest sugar exporter, will rely more on sugarcane-based ethanol during the upcoming harvest,” said FAO.

“Additional pressure on rising sugar prices arises from concerns about the impact of the escalation of conflict in the Middle East on sugar trade flows,” it continued.

A significant increase also occurred in vegetable oil, whose price index rose by 5.1% (mtm) in March 2026. This index was driven by rising prices of palm oil, soybean oil, sunflower oil, and rapeseed oil.

“International palm oil prices reached their highest level since mid-2022 and surpassed soybean oil, largely reflecting the effects of a sharp increase in crude oil prices, coupled with lower-than-expected production forecasts for Malaysia,” said the FAO.

Meanwhile, the increase in the price index of other food commodities in March 2026 was relatively mild, with cereals rising by 1.5% (mtm), dairy products rising by 1.2% (mtm), and meat rising by 1% (mtm).