China to buy soy, corn from December 1

China will start buying soy and corn from major producing areas in the northeast from December 1, according to a statement published on a government-related Web site Thursday.

The government will buy standard third-grade soy at RMB3,740 a tonne, and corn of the same grade at RMB1,480-RMB1,520/tonne in different areas, according to the statement published on China Oils Network, which is managed by China Grain Reserves Corp.

The government will also provide subsidies for soy and corn purchases, at RMB160/tonne and RMB70/tonne respectively if the purchase prices are higher than market prices.

The purchases will last until April 30, 2010.

US$1 = RMB6.82652 (Nov 26)