January 5, 2021
China to expand area sown with corn this year
China's Minister of Agriculture and Rural Affairs said the country will boost its corn acreage this year, after years of decreasing acreage and in response to a shortfall in the commodity, Reuters reported.
Newly appointed Minister of Agriculture and Rural Affairs, Tang Renjian, said the plan is part of the country's strategy to ensure food security.
In an interview with China state media Xinhua, Tang said corn acreage will expand northeast of the country, as well as areas along the Yellow, Huai and Hai rivers.
The announcement comes after corn prices in China increased to record levels after state reserves of the commodity close to cleared out at auctions. Record numbers of corn have been imported to address the corn shortage.
Meng Jinhui, a senior analyst with Shengda Futures, said corn acreage and production is projected to recover and increase, with prices for the commodity to drop over the coming years.
China has been decreasing area sown with corn in the last few years to shrink its massive corn state stockpiles and increase production of other crops such as soybeans.
According to China's National Bureau of Statistics, 41.264 million hectares of corn were planted last year, with output at 260.67 million tonnes.