Chinese Agriculture Minister Du Qinglin said Wednesday the country's early rice output is expected to grow by more than 13 percent, or 4 million tons, year-on-year after seven consecutive years of dropping output.

Addressing a national meeting on agriculture, the minister attributed good early rice yields to the intervention from central authorities with economic incentives and higher grain prices.

The acreage under early rice is expected to increase by some 533,000 ha over last year, noted the minister

The good news followed a projected good wheat harvest, which output at an increase of 2.5 million tons over last year, or an envisaged 3 percent rise over wheat output for 2003, so that this year became the first good year after four consecutive declines over the past four years.

China's total area under grain would be 266,000 ha more than last year, Du said. That represents a major progress China would make in reversing declines in grain production and reach its grain production target if no widespread natural adversities occur in the coming several months.

Since last year, declining grain output, rising grain prices and concerns over food security in China, which has a population of 1.3 billion, have admonished Chinese leaders as well as the whole world.

China's per-capita share of water and farmland resources is farless than the world average, and its cropland acreage has been dwindling in the wake of industrial development.

Earlier this year, China set its annual grain output target at 455 million tons for the year, and total area under grain crops at more than 100 million ha

"Wheat makes up 90 percent of summer-reaped grain crops. A good wheat harvest means a good harvest of summer grain," Du added.

Statistics show that China's grain output has declined for five years running to reach 431 million tons in 2003, lower than the set warning line of 450 million tons.

Affected by the international grain market and decline of domestic grain output, the prices of major cereals, like rice and wheat, all went up by a large margin since last October.

To turn the tide, the central government issued a range of supportive policies, like direct subsidies and tax reduction for grain growers, early this year to encourage the world's greatest number of farmers to grow more grain.

In central China's Henan province, where one tenth of wheat is growing, wheat output is expected to reach 24.30 million tons this summer, 303,000 tons more than that in the record year of 1997.

Like other major grain-producing provincial areas, the province allocated 1.16 billion yuan (some 140 million US dollars) in direct subsidies, and grain growers can get 198 yuan (24 US dollars) in subsidies for a ha of grain crops.
Besides, Henan allocated 15 million yuan (1.8 million US dollars) to subsidize farmers to buy top-quality seeds and agricultural instruments and tools. The agricultural tax also decreased by 3 percent.

(Information source: xinhuanet))
2004/7/7