November 4, 2010

China sets soy minimum purchase price at RMB3,800/tonne

China will extend its floor price purchase programme for soy, offering RMB3,800 (US$569) a tonne as a minimum purchase price for the 2010 oilseed crop, the State Administration of Grain said.

The move, fully in line with market expectations reported since October, is to protect farmers' interests, the administration said.

The programme began Monday (Nov 1) and will be effective through April 30, it said.

Farmers had been pushing for the higher floor price, up RMB60 (US$8.99) from last year, citing higher production costs and a global agricultural market rally.