October 30, 2008
China to purchase 4 million tonnes of new grain
State-owned China Grain Reserves Corporation will buy 4 million tonnes of grain from northeast China to stabilise the nation's grain market.
China Grain Reserves Corporation is in charge of purchase and storage in the region where the grain concentrates as the nation's grain reservoir. The nation is expected to buy 2.4 million tonnes grain from Heilongjiang, 1.2 million tonnes from Jilin, and 400,000 tonnes from Liaoning.
Requirements for the grains are that they are all produced in 2008, quality above Class III in terms of the country's standard, and japonica grains. The purchase prices in Heilongjiang, Jilin, and Liaoning are RMB0.46 per kg, RMB0.465 per kg, and RMB0.47 per kg, respectively.
The price difference in the adjacent class of grain is RMB0.01 per kg. The purchasing will be finished at the end of March 2009.
RMB1 = US$0.146 (Oct 30, 2008)