Why the auction of early Indica Rice in Linchu is so low

On October 13, the National temporary Storage of early Indica Rice auction Fair was auctioned for the first time three months later, but the result was not very satisfactory. On the same day, it is planned to sell 492310 tons of early indica rice in 2013, but the actual transaction is only 516 tons, with a yield of 0.10% and an average price of 2640 yuan per ton. The auction of early indica rice held again on October 20 was even more unsuccessful. First, the acquisition of supporting the market is over, and the supply of food in the market is still relatively abundant. Although the output of early indica rice has declined this year, due to the lack of market demand, enterprises are more cautious in purchasing, and the trend is still low. Second, the temporary storage scale of early indica rice is expanding, and the market pressure is increasing unabated. Third, the impact of imported rice is not reduced, and early indica rice is the most injured. Fourth, the demand for rice has declined, with the largest decline in early indica rice.

Under the circumstances that the food supply of early indica rice market is more abundant than that of the same period last year, the import pressure of rice increases and the demand for early indica rice decreases, it is expected that the auction of early indica rice will continue to be light, and it is not surprising that the auction will fail.