Title: China Accelerates Autumn Grain Procurement, Exceeding 80% Purchase Rate
The National Grain and Material Reserves Bureau has reported that over 80% of China’s autumn grain has been purchased, totaling more than 170 million tons. The country is currently experiencing an acceleration in autumn grain procurement, with various regions increasing purchasing efforts.
In Huanglong, Shaanxi, Pukou, Jiangsu, Wucheng, Shandong, Yanting, Sichuan, and other locations, grain reserve companies are ramping up their storage efforts. Additionally, grain and oil processing and trading companies are expanding their inventories. Digital control systems are being utilized at grain depots to streamline the procurement process.
The China Grain Reserves Corporation has launched the acquisition of 136 storage points, increasing corn reserves purchases in Heilongjiang, Jilin, Liaoning, and Inner Mongolia. This initiative is driving multiple market entities to participate in acquisitions, facilitating the sale of farmers’ surplus grain for spring plowing production.
Efforts are being made to address the issue of farmers queuing to sell grain during peak sales periods by extending warehouse hours and guiding farmers to use digital platforms to make reservations for sales.
Furthermore, the State Administration of Grain and Material Reserves is encouraging a seamless connection between production and sales, aiming to conclude autumn grain procurement by the end of April. The current stability and rebound in corn purchase prices reflect an active market environment.
“Operation Iron Fist” has been launched to crackdown on grain-related violations, enhancing supervision and ensuring the integrity of the grain reserves system. This initiative will focus on various aspects of grain procurement, storage, transportation, and policy enforcement activities throughout the year.
China’s “sunshine trade” of grain reserves is accelerating through the adoption of modern technology, facilitating efficient and transparent transactions. The country aims to exceed 40 million tons in local grain reserve transactions through the national trading platform in 2023, reflecting a significant increase from previous years.