Source: CCTV.com

03-31-2008 15:21

People should not expect to pay more for rice and wheat. This is according to authorities following moves twice so far this year to raise minimum prices for rice and wheat.

People should not expect to pay more for rice and wheat. This is according to authorities following moves twice so far this year to raise minimum prices for rice and wheat.

Officials at China's top economic planner say pushing up base prices should have no direct effect on actual costs. And this is because such a mechanism only kicks in when market prices fall below the minimum purchase price.

In fact, they say that raising minimum buying prices could stimulate supply, and stabilize the market. The National Development and Reform Commission is stressing that it is market forces that decide how much people should pay for grain.

 

Editor:Xiong Qu