January 12, 2006

China buys 17.2 million tonnes of grain in 2005

China Grain Reserves Corp last year bought a total of 17.2 million tonnes of grains, as of Dec 15, the official Xinhua news agency said Wednesday.

The purchases served to stabilise prices in major producing areas and to help boost farmers' incomes, Xinhua said.

The national grain reserves manager bought 4.56 million tonnes of early season rice, 6.76 million tonnes of late rice and 5.91 million tonnes of wheat, according to the report.

Xinhua did not provide any 2004 data.

Quoting general manager Lin Jun, Xinhua said China Grain Reserves Corp will continue to buy grains in 2006 under the government's minimum price policy aimed to support market prices at specified levels.

The report did not state the minimum prices.