February 6, 2007

China's grain prices in 2006 up 4.15 percent in the fourth quarter

China's grain prices went up 4.15 percent in the fourth quarter last year to average RMB 1.56 per kilogramme, according to the latest report from the National Bureau of Statistics (NBS) on Feb. 5.

Grain prices fell 1.43 and 0.24 percent in the first two quarters, but rose 3.14 percent in the third quarter.

The government has pursued its minimum purchase price policy to strengthen control of grain production. Wheat was included for the first time in 2006.

The price of wheat went up 2.1 percent year on year in the fourth quarter. Soybean prices went up 2.1 percent and corn was up 7.5 percent, said the report.

The grain price increase also resulted in 1.4 percent growth in the price of farm produce.