August 16, 2004

China Heilongjiang 2004 Wheat Output To Rise Sharply

Spring wheat output in China's Heilongjiang province is expected to rise 103% on year to 804,000 metric tons due to expanded acreage, state media reported Monday, citing a local government official.

Farmers planted 246,733 hectares of spring wheat this year, up 15.2% from last year, in a bid to profit from the rising domestic price of flour since late last year, reported Xinhua News Agency.

Acreage of spring wheat in the province had decreased for seven consecutive years after the "protective purchase price" set by the government was canceled, said the report. The protective purchase price was the minimum price at which the government promised to purchase wheat from farmers. The report didn't provide a reason for its cancellation.

Harvesting is expected to be completed around Aug. 20.

Spring wheat in the region is normally sown in April and harvested in August.

Wheat is a comparatively small crop in Heilongjiang province, where rice, corn and soybean output reached 8.43 million metric tons, 8.30 million tons and 5.60 million tons respectively in 2003, according to an analyst at China National Grain and Oil Information Center.

China has reported a good harvest in early rice this year. In past weeks, state media also reported increased grain acreage in major production regions such as Jiangxi, Hunan, Anhui, Hubei and Heilongjiang provinces.