March 6, 2008

China may not issue corn export quota before 08 harvest

China will continue to curb corn exports this year and may not issue fresh corn export quotas before the harvest season begins September, a senior government official said Thursday (March 6, 2008).

"China may not export corn this year. It will depend the harvest," said Nie Zhenbang, head of State Grain Administration, a department under the National Development and Reform Commission.

Speaking on the sidelines of the ongoing Chinese People's Political Consultative Conference, Nie said the country may not have to import grain this year as it has sufficient stocks to meet domestic demand.

"If we have a good harvest we can export a bit, but we need to first guarantee that domestic demand from the feedmeal and industrial sectors is met," he said.

Chinese grain trade is regulated through quota restrictions, with the government releasing import or export quotas from time to time based on domestic market conditions.

The State Grain Administration is responsible for managing the national grain reserves and providing policy guidance to the government.