November 22, 2012

China to stockpile corn and soy at higher prices

China announces that it will stockpile locally-produced corn and soy at higher prices to aid farmers' incomes.

The government will pay CNY4,600 (US$737) per tonne of soy and up to CNY2,140 (US$343.22) per tonne of corn to farmers in northeastern provinces, the country's major corn area, the State Administration of Grain said.

Those prices are around 15% higher than offered last year, a source who had seen government documents on the step said in mid-November.

The stockpiling programme will end on April 30 next year, said the bureau, which requires state warehouses to accept as much as farmers can sell.