China sets minimum prices for protective rice purchases
BEIJING - China has set minimum prices for state procurement of rice products in 2017 to protect the interests of growers, according to the top economic planner.
The National Development and Reform Commission said in a statement that the minimum price for japonica rice will be three yuan (44 U.S. cents) per kg, down from 3.1 yuan per kg in 2016.
Government procurement prices for other kinds of rice are also slightly lowered from 2016, the statement said, adding that the adjustments have taken into account production costs, market demand and supply, as well as prices at home and abroad.
China's grain output dropped 0.8 percent year on year to about 616 million tonnes in 2016, ending a 12-year rising streak, but still the second highest year on record.
China has set minimum procurement prices for certain grain products since 2004 to protect the industry.
