November 23, 2010

China awaits record 2010 fall harvest

A record autumn harvest, which accounts for more than two-thirds of China's total grain harvest, is an inevitable conclusion, according to Zeng Liying, director of the State Administration of Grain.

China's grain production is being closely watched this year as the world's most populous nation seeks a seventh record harvest amid sharply higher domestic and global grain prices, rising demand, and less arable land.

The overall harvest this year will also top last year's, Zeng said. The total grain harvest reached 530.82 million tonnes in 2009, of which autumn grains accounted for 374.2 million tonnes. Corn, (rice) paddy and soy output will be higher than last year, she said.

Zeng acknowledged that there is more and more correlation between global and domestic grain markets, but she downplayed the effects of sharp global rallies on the domestic wheat, paddy and corn markets.