Food prices stable but UN urges action

World food prices stabilized in August at levels close to those reached in the food crisis of 2008, and global grain stocks are likely to shrink this year as cereal crop output falls short of what is needed, the United Nations food agency said on Thursday.

FAO Director-General Jose Graziano da Silva called for international action to calm markets but also said the August price index, which remained unchanged from July, provided some cause for optimism.

Earlier on Thursday, Russian Deputy Agriculture Minister Ilya Shestakov said G20 countries would hold a meeting on the grain market next month.