China government to allocate 5.77 million tonnes corn to local companies

The Chinese government will allocate 5.77 million tonnes of reserve corn to industrial processors in major producing areas in the north and northeast, an official at a local grain administration said Thursday (August 27).

The corn will only be sold to industrial processors with an annual capacity of at least 100,000 tonnes, said the official, declining to be identified.

Although the corn will be sold at the same price as the ongoing weekly auctions, the government will provide a subsidy of around RMB150 (US$21.94)/tonne to these buyers, the official said.

US$1= RMB6.83 (August 27)