Food prices remain stable and rise slightly

At the beginning of this year, a large area of continuous low temperature weather occurred in China, which adversely affected the growth of early rice in Hunan and Hubei, as well as rice and corn in Northeast China.

After entering the summer, some of these major grain producing areas have suffered from floods. Autumn grain accounts for 70% of the total annual grain production. under the circumstances of great changes in international grain prices, will China's autumn grain production decline as a result of natural disasters, leading to sharp fluctuations in prices?

A good harvest is expected for the whole year.

Zhou Wangjun, deputy director of the Price Department of the National Development and Reform Commission, said: this year's summer grain harvest is basically the same as that of last year, and winter wheat has increased for seven consecutive years, laying a solid foundation for winning a bumper harvest for the whole year. Although the yield of early rice has been reduced, it accounts for only about 6% of the annual grain output and less than 20% of the annual rice output, with little overall impact.

He said: at present, the production of autumn grain, which accounts for more than 70 percent of the annual grain output, is in a good situation.If there are no large-scale natural disasters in the later stage, a good harvest is expected for the whole year.

The food supply is fully guaranteed.

He believes that under the condition that China has had a bumper grain harvest for six consecutive years and abundant stocks, the current ratio of domestic grain inventory to consumption far exceeds the internationally recognized safety level of 17-18 percent, and the supply of grain in the market is completely guaranteed. Under the regulation and control of national policies, domestic grain prices will continue to rise moderately and there will be no major ups and downs. It can not only ensure the interests of grain farmers, but also ensure that the cost of living of urban residents will not rise too much.

He said: under the circumstances that rising labor costs push up the cost of growing grain, and the income from growing grain and the income from going out to work are further increased, a moderate increase in grain prices can make growing grain profitable and arouse the enthusiasm of farmers to grow grain.

He believes that since the mid-1990s, China's grain prices have been low for a long time, and grain prices in 2006 are basically the same as those in 1996, it is difficult for grain farmers to increase their income, and grain production is stagnant.

In recent years, the state has implemented the minimum grain purchase price policy and raised the minimum purchase price level for three consecutive years, implemented temporary procurement and storage measures for corn and soybeans, and strengthened the regulation and control of the grain market, so that grain prices have maintained a good trend of steady rise. grain production has also achieved good harvests for six consecutive years.