Grain Crisis Reported from China's Central Province

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Last updated at: (Beijing Time) Friday, June 28, 2002

Grain Crisis Reported from China's Central Province

Grains form the basis of social development and security. Hunan's grain sector will face more fierce competition after China's accession into the WTO. Currently Hunan's grain sector is suffering from a series of problems like weak foundation and small-scale production, which are likely to give rise to a strained situation in Hunan's grain supply if no remedial measures should be taken in time.

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Hunan province, famous for its achievements in agriculture all long, boasts 3.02 percent of the total farmlands and provides 6 percent of China's grains. The land of rice seems never having to worry about grains.

Home to China's rice production, Hunan has always on the way supplying a large quantity of grains for outside. The grains it sent out for other provinces from 1950 to 1994 reached 356 billion tons at an average of 8.1 billion tons of grains a year. Also it had sold an annual amount of 50.5 billion tons to an average 1.12 billion tons of export grains abroad.

Grain crisis ahead if no remedial measures taken

However, a newly released report by the provincial Statistical Bureau raised the problem causing people's concern in China.

The quality of grains is the biggest pressure Hunan province is facing after China's entry into the WTO. As known, 90 percent of grains produced in Hunan are of paddy species. Early in 1984, Hunan took the lead in cultivating high quality paddy around the country. Eighteen years have passed it hasn't developed its own famous brand though high quality paddy it has cultivated.

The fact that 90 percent of its grains are paddy ends up with the state of affairs in which grains have to be carried in from other provinces every year.

Statistics show during the period of the 6th to 8th Five-year Plan period as Hunan sent out a large quantity of grains, an increasing amount of grains were also carried in, particularly the forage, which accounts for 65 percent of the carried grains.

Currently Hunan has stored grains of 43 to 66 billion tons for commercial circulation. Apart from a necessary reserve amount, it can distribute only 10 billion tons. Therefore, it's easy for the province to be found in a difficult situation where it's hard to either buy or sell grains, leading to price fluctuation.

Grains form the basis of social development and security. Hunan's grain sector will face more fierce competition after China's accession into the WTO. Currently Hunan's grain sector is suffering from a series of problems like weak foundation and small-scale production, which are likely to give rise to a strained situation in Hunan's grain supply if no remedial measures should be taken in time.

By PD Online Staff Yang Ruoqian

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