February 5, 2009
China to purchase 1.25 million tonnes of soy
China will buy 1.25 million tonnes of soy for reserve in Heilongjiang Province, the largest soy producer in northeast areas, by the end of April 2009, according to the Grain Administration of Heilongjiang.
The new purchase plan aims to absorb the soy in the crop year of 2008-09 and stabilise grain prices.
This is another round of soy reserve plan, apart from the earlier 2.03 million tonnes of reserves in Heilongjiang.
Related authorities will formulate subsequent reserve plans according to the purchase progress and market conditions.
On the other hand, unnamed sources stated that the Grain Administration of Heilongjiang plans to buy an additional 2.5 million tonnes of local soy before the end of April 2009, also to help stabilise domestic soy prices.
The sources said the province plans to hold soy stock totally 4.53 million tonnes, while the state-owned Heilongjiang branch of Sinograin will be in charge of procurement and ensuring that the soy stock contains only newly produced soy.
