June 1, 2011
China's pork prices up 3% on holiday, drought
Pork prices rose 2.9% in the week of May 23-29, nearly double the previous week's 1.5% rise as demand was lifted by a holiday and by a severe drought in some provinces, the commerce ministry said Tuesday (May 31).
Food prices, which account for about a third of China's consumer price index, have risen more quickly recently, especially in areas hit by drought or power shortages.
Food inflation ran at 11.5% in April, pushing the headline consumer price index up 5.3% that month.
With inflation elevated, Beijing will likely stay bent on taming inflation even though economic growth is moderating.
