Agricultural Prices

Agricultural prices increased 0.7% month on month in March, following February’s 0.9% fall.

The agricultural complex posted modest gains in March, largely supported by rebounding prices for corn and soybeans. Corn traded higher on stronger demand and weaker expected planted acreages in 2024 versus 2023, while soybean prices rose as unfavorable weather in Argentina sparked supply concerns. Skyrocketing cocoa prices also contributed to March’s uptick, as a record supply crunch amid a disastrous harvest in West Africa led to a near 30% jump in average prices from February. On the flipside, wheat saw the largest drop in prices among the group of commodities tracked by our analysts due to a vast supply of cheap Russian grain and China’s cancellation of previous orders. Sugar prices also retreated on softening demand and rising production from Brazil.