The policy of minimum purchase price will continue to be implemented in major wheat producing areas in 2015.
The reporter learned from the National Development and Reform Commission on the 16th that the state continued to implement the minimum purchase price policy in major wheat producing areas in 2015, with the minimum purchase price of wheat (third-class) produced in 2015 at 118 yuan per 50 kg, keeping the 2014 level unchanged.
A person in charge of the Development and Reform Commission said that in order to protect the interests of farmers and prevent "cheap grain from harming farmers", the state continued to implement the minimum purchase price policy in major wheat producing areas in 2015. Taking into account the cost of grain production, market supply and demand, comparative efficiency, international market prices and the development of the grain industry, with the approval of the State Council, the minimum purchase price of wheat (third-class) produced in 2015 will remain unchanged at the 2014 level.
It is understood that in 2004, China fully liberalized the grain purchase market and the purchase price, and the grain price was formed by the market. Since 2004 and 2006, the state has implemented the minimum purchase price policy for two key grain varieties, rice and wheat, respectively in the main producing areas. Since 2008, in view of the rapid rise in grain production costs, the state has raised the minimum grain purchase price for six consecutive years.
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