April 26, 2004

China Grain Prices Up 20.7% In First Quarter

China's grain and oilseeds prices continued to rally in the first quarter of 2004, following smaller grain, cotton and oilseeds output in 2003, China's National Bureau of Statistics reported Monday.

The consumer price index, or CPI, rose by 2.8% in the first quarter of this year from the level during January-March 2003, according to the NBS website.

Grain prices rose by 20.7% on year in the first quarter of 2004, contributing to a rise of 0.64% in first quarter CPI.

Among grains, wheat prices were up 24.4% in the first quarter of this year, while corn prices rose 12.9% in the same period.

Prices of paddy rice rose 29.6% and that of soybeans rose 23.9% in the first quarter of 2004, driven by consistent strong demand, said the report.

Cotton prices rose sharply in the first quarter, going up by as much as 36.5% on year.

Among other commodities, oilseeds prices rose 20.3%; live hog prices rose 20.0%; cattle prices rose 1.9%; egg prices rose 6.7%; and live chicken prices rose 5.5% on the year, the report said.