Source: CCTV.com

04-03-2008 11:55

The international prices of rice have risen sharply in recent days. However, latest official figures show that China's domestic market has not been affected by the global price hikes.

The international prices of rice have risen sharply in recent days. However, latest official figures show that China's domestic market has not been affected by the global price hikes.

At a wholesale market in south China's Guangdong province, the current price of Thai rice is 6.6 yuan per kilo, up just 0.2 yuan from before the Spring Festival. In contrast, the international market price of Thai rice surged from 600 US dollars per ton to 1,000 US dollar per ton during the same period.

Market insiders say Thai rice only accounts for a very small part in the market. They add that prices of home grown rice has even fallen slightly in recent days, and explain why.

One wholesaler said "The prices were higher last year. This year we've received adequate supply from Heilongjiang province."

Ding Xuezheng, Wholesale Market Manager said "The rice output in northeast China is rising. So the supply in the market is steady."

Northeastern Heilongjiang province is a major rice producer of China. It contributes about 40 percent of the country's total rice production. With good harvest in recent years, the province has more than met both domestic and overseas demand. China's grain reserve is between 150 million to 200 million tons at present. Experts say that's enough to keep the market prices stable, for now.

Statistics from the Ministry of Commerce show that average grain price fell by 0.2 percent last week. Meanwhile, the price of edible oil was down 0.1 percent in the past week, the first decline since the Spring Festival.

Editor:Xiong Qu