Beijing offers higher soy prices to farmers in new stockpile

The government of China will offer higher prices for soy purchases to farmers and will keep prices for corn unchanged for state stockpiling of this year's new harvest, traders said on Tuesday (November 17).

Soy prices were set at RMB3,740 (US$548) per tonne, 1 percent higher than last year and agreed to offer RMB100 to RMB200 per tonne in subsidies to buyers, traders said. The price was in accordance with market expectations.

Corn prices were unchanged at last year's RMB1,500 per tonne, with subsidies of RMB50 to RMB100 offered to large feed mills in six provinces in southern China.

Besides Sinograin, two other state-owned enterprises, including the country's largest grain trader, COFCO Co. Ltd, will join the stockpiling programme.

US$1 = RMB6.82 (Nov 18)