December 26, 2003

China Targets 455 Million MT Grain Output in 2004

China has set its targeted grain output in 2004 at 455 million metric tons. To achieve that, China should protect arable land and raise average yields of grains, Du Qinglin, the country's agriculture minister, was quoted as saying at a national agricultural conference Thursday.

China's grain production in 2003 is estimated at a 10-year low of 435 million tons, according to earlier reports from state media.

Grain production and stocks have been falling every year since 2000, largely because of reduced grain acreage as farmers responded to market signals and government policies to plant less grains.

But nationwide rallies in the domestic grain and oils markets in October prompted Beijing to take more effective measures to curb the lower production trend.

Du's comments reaffirmed official targets made earlier. A few weeks ago, the China Daily quoted Ma Kai, minister of the State Development and Reform Commission, as saying the government is set to raise grain output to 455 million tons.

The SDRC is the top economic policy-making body of China's cabinet.