MySheen

In the middle of this year, some people asked: what will be the development trend of grain prices next year?

Published: 2024-12-22 Author: mysheen
Last Updated: 2024/12/22, Can grain prices rise next year? This problem is really a bit wide. As far as grain is concerned, there are rice, wheat, corn, soybeans, sorghum, millet and so on.

Can grain prices rise next year? This problem is indeed quite wide. As far as grain is concerned, there are rice, wheat, corn, soybeans, sorghum, millet and so on. So many kinds of grain cannot be generalized. I believe that there will always be increases, but there will also be declines.

2018 is only halfway past, and it is still early next year. I hope it will be helpful for you to make a general analysis from a macro point of view.

Judging from the general trend of the policy, the pressure on grain destocking is still relatively great, and in December 2017, Chen Xiwen, director of a certain economic department of the Ministry of Rural Agriculture, made a grand discussion on the food problem, saying that future grain prices should adopt the strategy of government subsidy and market pricing, that is, the so-called "market pricing, price-compensation separation", that is, to bring China's grain prices back to market pricing and in line with international standards! At that time, many media predicted that the grain bottom purchase strategy might be cancelled, but the bottom prices of rice and wheat announced in January 2018 were only lowered, and now the 2018 wheat has also been on the market. With the reduction of the bottom price, the opening price of wheat is also depressed this year.

Judging from the position of the upper echelons, it is also a high probability time for grain prices to return to the market in the future, and now, for example, corn and soybeans are gradually in line with international grain prices, but judging from the current grain prices, China's grain prices are still much higher than those of international prices. if the policy is further implemented next year, grain prices will probably be lowered again by then.

This is not alarmist talk, but is gradually becoming a reality, and the benefits of international integration of food are also obvious. Due to high grain prices, agricultural products processing enterprises have to choose to import foreign grain, if there is no way to sell domestic grain, it is the domestic farmers who will eventually be injured.

Especially after China's accession to the WTO, it is imperative to strengthen the role in international trade. Trade barriers have not helped to revive China's agriculture, but have made many agricultural products processing enterprises import agricultural products on a large scale. For example, due to the high price of domestic soybeans, most agricultural products processing enterprises continue to increase the import of foreign soybeans. So far, many soybean farmers cannot sell their soybeans.

What I want to say here is that for farmers, do not be pessimistic, because while food prices fall, subsidies will gradually increase. The problem of food security in our country should still be in our own hands, and the strategy to ensure the enthusiasm of Chinese farmers to grow grain will not change, and the strategy of industry to feed agriculture has been put forward for a long time. This is by no means an official word.

Here is science to promote agriculture, welcome to add attention, with you to grow knowledge.

 
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