The Food and Agriculture Organisation (FAO) food price index for May published a week ago, averaged 130.8 points – which was down a fraction on the revised April figure but 2.9% higher than the same month last year.

While the impact of the Middle East conflict dominated the analysis, the ongoing increase in the beef index has largely gone unnoticed.

As can be seen in Figure 1, as recently as November 2020 the global beef price index was below 100 points.

Thereafter it increased, climbing sharply from April 2021 for the following year reaching 136.4 points in March 2022 from which it declined steadily, falling back to 108.8 points in April 2023.

Steady recovery

From there it began a steady recovery climbing to 124.3 points in April 2024 and in the year to April 2025 added a further 10 points, reaching 134.4 points.

In June 2025, it set a new record at 137.5 points and has continued the upward trend since, setting new records month on month to reach 156.2 points in May 2026.

Methodology

The FAO beef price index is based on three beef product quotations, the average weighted by fixed trade weights.

The products referred to are Australian 90cl export prices to the United States, US export unit value for beef and Brazilian export unit value for beef.

These are the top three beef exporting countries in the world, between them accounting for almost half the total beef traded.

Brazil and Australia are the countries where cattle prices are lowest among the major beef exporting countries, while in recent times the US has been amongst the highest prices for cattle, largely due to the scarcity of supply.

Irish and European prices in general tend to be well ahead of both Australia and Brazil, though in recent times, behind the United States. Therefore from an Irish perspective, the beef price index isn’t necessarily reflective of our beef price and has to be treated with some caution.

As Irish or EU prices aren’t included in the calculation of the index, there may be an inclination to dismiss its relevance.

However, given that it is calculated on what is happening in the three largest exporting countries accounting for almost half of all exports, then it should be monitored, especially as both Australia and Brazil have trade agreements now in place with the EU and both have been increasing market share in both the EU and UK.

It is also reasonable to assume that the exceptionally high cattle prices in the UK and EU over 2025 contributed to the increase in value of both Australian and Brazilian beef exports as both countries increased their market share in the EU and UK.

The absolute points value in the index may exclude European countries but it is well worthwhile for the EU beef industry to monitor its trends to get a global snapshot.