August 30, 2010

 

China's legislature probes grain safety issues

China's top legislature held an inquiry Friday (Aug 27) into the government's report on grain safety in an effort to improve the legislative supervisory role.

 

Entrusted by the State Council, or China's Cabinet, senior officials from nine government agencies, such as the National Development and Reform Commission (NDRC), attended the inquiry to answer questions raised by lawmakers at a bimonthly session of the Standing Committee of the National People's Congress (NPC), the country's top legislature.

 

Such inquiries are believed to be a concrete and important step for the top legislature to exercise and improve supervision of the government.

 

Responding to a question on the impact of frequent natural disasters including drought, freezing weather and floods on this year's harvest, Vice Agriculture Minister Chen Xiaohua admitted that grain production has been negatively impacted.

 

However, the grain crops harvested in the summer maintained the same level as in previous years as the central authority had introduced preferential policies in a timely manner, he said.

 

He was optimistic about the harvest in autumn, which accounts for more than 70% of the country's grain output because the seeded area has been increased and the growth of the crops was good at present.

 

When asked whether the influx of foreign capital affected China's grain safety, the NDRC's vice minister, Peng Sen, said foreign companies mainly invest in the processing of cooking oil, feed, and grain in China.

 

He added, however, that the government would take measures, which are in line with World Trade Organisation rules, to step up management on foreign investment in the industry to create fair competition and healthy development.

 

Responding to a question on whether China's grain prices would experience major fluctuations in the future amid a marked rise in farm produce prices in the international market, the NDRC's vice minister, Zhang Xiaoqiang, said that the country has enough grain in storage to head off any problems.

 

In addition, China's imported wheat, corn and rice only account for less than 1% of its respective output, so the international price hike would have little impact on domestic prices.

 

Responding to lawmakers' concerns about the diminishing cultivated land area in China, Vice Land and Resources Minister Wang Shiyuan said, though the government has successfully curbed the decrease in cultivated areas, the situation was still "grave."

 

China's cultivated land area decreased by 123 million mu (about 8.2 million hectares) from 1997 to 2009, he said.

 

The government would enhance control and supervision on the planning of land use and improve specific laws to ensure the demand of cultivated land for the country's grain security, he added.