This year’s Government Work Report proposed grain production. 1.4 An expected target of around one trillion jin. Faced with a complex and challenging domestic and international situation, experts believe it is essential to strengthen the resilience of grain price stability and supply assurance, ensuring that this year’s grain production target is met and laying a solid foundation for driving sustained economic recovery and improvement.

Grain prices are gradually returning to reasonable levels.

According to data from the National Food and Strategic Reserves Administration, as of now, the cumulative procurement volume of autumn grain nationwide has exceeded... 3 100 million tons, equivalent to the autumn grain yield. 60% Looking at rice grains, the peak procurement season for medium- and late-season rice has already begun. 2 The end of the month concluded successfully, with a total acquisition of... 1.05 Hundreds of millions of tons—the market prices remained generally stable, with a clear trend of higher prices for superior quality products.

Over the past two years, affected by various domestic and international factors, prices of major grain varieties have remained weak. With the exception of rice, which has remained relatively stable, corn, wheat, and soybeans have all experienced significant declines, impacting farmers’ incomes from grain production. A relevant official from the National Food and Strategic Reserves Administration stated that since the autumn grain harvest last year, the administration has actively implemented the minimum purchase price policy for rice, stepped up efforts to procure and store corn, promoted the sale and processing of soybeans, focused on strengthening the linkage between production and sales, boosted market vitality, helped keep grain prices at a reasonable level, and firmly safeguarded farmers’ interests. “ Grain can be sold at a good price. ” The bottom line.

Looking at corn, after the Spring Festival, as measures for procurement, storage, and regulation continue to be implemented, market confidence has steadily recovered, leading to a moderate increase in corn prices. As for soybeans, with businesses resuming work and schools reopening, demand for restocking from various market participants has risen, strengthening the bullish sentiment in the market. Traders have become more active in purchasing, continuously raising their acquisition prices.

Famous “ Agriculture, Rural Areas, and Farmers ” Qiu Huanguang, an expert on agricultural issues and vice president of Liaoning University, stated that the import of low-priced grains is a major factor contributing to the decline in domestic grain prices. 2024 This year, China's grain imports reached as high as 1.58 With production and trade imbalances resulting in ample domestic supply and lower grain prices, farmers’ income and enthusiasm for grain cultivation have been adversely affected. There is an urgent need to improve the coordination mechanism between agricultural product trade and production, control the pace and scale of grain imports, keep prices of grains and other key agricultural products at reasonable levels, stabilize market supply and demand, and prevent low grain prices from harming farmers.

Imposing additional tariffs does not hinder food security.

Recently, in response to the additional tariffs imposed by the United States and Canada, China has imposed additional tariffs on certain imported goods originating from the U.S., including additional tariffs on wheat and corn. 15% Tariffs imposed on sorghum and soybeans. 10% Tariffs; additional tariffs imposed on rapeseed oil, oilcake, and peas originating from Canada. 100% Tariffs. Wang Liaowei, a senior economist at the National Grain and Oil Information Center, stated that the imposition of additional tariffs on certain agricultural products from the United States and Canada will not affect China’s stable supply of grain.

2024 This year, China's grain production exceeded [a certain level] for the first time. 1.4 Trillions of jin—per capita grain availability reaches 1000 The inventory levels are at historically high levels. Wang Liaowei stated that after the tariff increase, the cost of imported grains has risen, which will help mitigate the impact of low-priced imports on the domestic market, boost consumption of domestically produced grains, and drive up prices of domestically grown corn, soybeans, rapeseed, and other crops—thus safeguarding the interests of grain farmers.

In recent years, China has actively broadened the range of countries from which it imports agricultural products, gradually establishing a diversified import structure that effectively mitigates the risks associated with over-reliance on a single supply channel. “ China’s reliance on a single market for grain imports has significantly decreased, enabling it to effectively cope with the shocks brought about by uncertainties in the global food situation. ” Wang Liaowei said.

Qiu Huanguang stated that China’s imposition of additional tariffs on certain agricultural products from the United States and Canada is a countermeasure taken in response to these two countries’ unilateral provocations of trade tensions, and it aims to safeguard China’s industrial security and farmers’ interests. At the same time, China remains firmly committed to its basic national policy of opening up to the outside world and continues to grant zero-tariff treatment to all products originating from the least developed countries that have established diplomatic relations with China, thereby supporting their economic development and improving the livelihoods of their people.

Ensure that the projected grain production target is achieved.

Ensuring stable and abundant grain production has always been the fundamental cornerstone of food security. Qiu Huanguang stated that we should strengthen agricultural science and technology as well as equipment support, develop new forms of agricultural productivity tailored to local conditions, give agriculture the wings of technology, and fully unleash its potential for increased yields and efficiency. We must also intensify the modernization of agricultural infrastructure, promote high-standard farmland construction with high quality, comprehensively enhance agriculture’s capacity for disaster prevention and mitigation, break away from reliance on favorable weather conditions, and achieve stable harvests regardless of drought or flood.

Zhang Xuebiao, a researcher at the Institute of Agricultural Information, Chinese Academy of Agricultural Sciences, and Director of the International Intelligence Office, stated that to achieve the projected grain production targets, it is essential to further strengthen policy support aimed at bolstering agriculture, benefiting farmers, and enriching rural areas. This includes implementing the minimum purchase price policies for rice and wheat, refining subsidy policies for corn and soybean producers as well as rice subsidies, and maintaining stable subsidies for protecting arable land fertility. In response to the issue of fiscal imbalances faced by major grain-producing counties, it is necessary to reduce the county-level premium subsidy burden for agricultural insurance in these counties and promote the expansion of coverage under full-cost insurance and income insurance for rice, wheat, corn, and soybeans. Furthermore, we should improve the reward and subsidy incentive system for key grain-producing regions and increase support for major grain-producing counties.

Low profitability in grain cultivation and low added value of grain-processing products are major contributing factors. Qiu Huanguang stated that it is essential to enhance the overall efficiency and competitiveness of the grain industry by adhering to market-oriented and quality-oriented approaches and fully tapping into the potential of rural areas. “ Local specialties ” Resources should be leveraged to strengthen the deep processing of grain products and the fine processing of food, making the most of every opportunity. “ Farmers at the head, workers at the tail “” Grain at the head, food at the tail ” The article aims to enhance the overall level of the entire industrial chain, cultivate a group of regionally distinctive “village brands” and “local brands,” and thereby boost farmers’ incomes.

( Source: Economic Daily)