Evans School Policy Analysis & Research Group (EPAR)

This report presents data on selected agricultural commodities for the fourth quarter of 2010 (October through December), with summaries of the entire year where available. It provides a summary of recent changes and price trends, demand, supply, and market conditions for key agricultural commodities. We find that the fourth quarter of 2010 was characterized by higher global commodity prices.  Food prices are coming out of a two-year period of relatively low price inflation due to the global recession, however increased global trade, some increased consumer demand, and higher energy and food production costs are likely to continue boosting prices as the world emerges from recession.  Grains, oilseeds and coffee lead in the gains in commodity prices.  Stocks generally remain low and severe weather including floods in Australia, drought in Russia, and bad weather in South America has contributed to several significant supply interruptions.  Current futures prices suggest that commodity prices will continue to rise in the short-term.