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Home >> Business
UPDATED: 22:24, May 07, 2004
Commodity supply, demand moving to balance
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The demand for major commodities in China will be relieved and move to a balance with the supply during the second quarter of this year, said a report issued by the Ministry of Commerce.

The investment in some overheating industries such as real estate has slowed down, the report said.

The supply of major means of production has kept rising to meet the demand, it added.

The domestic output and import of steel will increase rapidly by the end of the second quarter, the report noted.

Fertilizer will see a steady growth of production and import but a dramatic drop in export, which is expected to meet the need of agriculture.

The country will manage to make a balance between the oil supply and demand with expanding oil exploitation, growing import and output of oil products.

Cotton and edible oil import will continue rising and grain storage keep reducing but remain in balance.

The output of coal will go on increasing with the export moving down to alleviate the market hunger.

But the electricity shortage will become tenser as the summer is drawing near, the report said.

Among the 600 categories of commodities the Ministry monitored, 138 have reached a balance between supply and demand, which accounted for 23 percent of the total, 8.5 percentage points higher than the same time last year, the report said.

The supply of 462 categories of commodities has exceeded the demand, accounting for 77 percent of the total, 8.5 percentage points lower than the previous same period.

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