May 21, 2008

China starts minimum purchase price programme for wheat

China will start its minimum purchase price programme for wheat Wednesday (May 21, 2008) in six major wheat-producing provinces, the country's economic planner said.

The programme will run until Sept. 30 and the government's grain reserve houses will buy wheat at the minimum purchase price if wheat prices fall below that price during this period.

The joint statement was issued from government departments including the National Development and Reform Commission.

The minimum purchase price for white wheat is RMB1,540 a tonne, while it is RMB1,440/tonne for red wheat and mixed wheat.