The newest edition of the FEWS Net Monthly Price Watch was released last week, citing continuing high international maize and wheat prices. While maize prices saw drastic spikes in June and July 2012 due to drought conditions in the US, they leveled off, although at high levels, later in the year as more information regarding US crop conditions and global supplies became available. Wheat prices, on the other hand, rose steadily between May and November before leveling out in December. The stable maize and wheat prices seen in December are due in part to slightly reduced demand estimates and slightly increased production and stock estimates. 2013 global rice production is expected to surpass last year's record harvest, and ample rice stocks are still available from the 2011-2012 bumper crop. Soybean prices also continue to decline due to good prospects from several key exporting countries in South America. The International Grains Council is reporting that grains consumption for 2013 is expected to contract for the first time in 14 years, but global grain stocks are expected to reach a six-year low.
Regionally, food prices were stable or declined in West Africa in December as the marketing season continued. East Africa also saw seasonal declines, although these were slowed in Sudan, South Sudan, Uganda, Kenya, and Rwanda due to poor weather conditions and ongoing conflict. Southern Africa saw increased prices as the lean season continued.