China produced less rice in the first harvest period of the year compared to 2016 due to decreases in planting area and yield, official data showed. The country produced 31.74 million tonnes of “early rice,” planted in spring and harvested in early summer. This was a decrease of more than 1 million tonnes, or 3.2 percent from a year earlier, the National Bureau of Statistics (NBS) said…Full Article: ECNS.cn Aug 2017

Key Point

  • From 2016 to 2017, China’s early rice cultivation area declined by -2.8% to 5.46 million hectares (ha) while its overall yield decreased by -0.4% to 5.81 MTs per ha. Poor climatic conditions were a contributing factor to the season’s lackluster output.

ChinaAg Comments

  • Chinese early-season rice is planted in early spring and harvested in during the mid-summer months (e.g. July). Early rice, Indica variety, is generally destined for state grain reserves as opposed to the open market. China’s top producers of early rice are the provinces of Zhejiang, Anhui, Fujian, Jiangxi, Hubei, Hunan, Guangdong, as well as Guangxi Region.
  • In July 2017, China agreed on a protocol to permit imports of American rice pending an audit of U.S. rice facilities,
  • In April 2017, China’s State Council decided to establish an agriculture insurance pilot program in 13 major grain-producing provinces such Heilongjiang, Henan, Shandong, Anhui, and Hubei (among others). The government-backed insurance would financially protect farmers from natural disasters.
  • In February 2017, Chinese government announced the cultivation of high-quality (i.e. better coloration, texture, and aroma) paddy rice will be priority. As a result, a number of provinces stated they would produce high-quality rice including Hunan (666,667 hectares of high-quality rice) and Sichuan (1 million ha), as well as Chongqing Municipality (300,000 ha). A rice farmer in Jiangxi Province noted he sells high-quality rice for CNY 3 (USD 0.44) per kg. One such high-quality rice breed is called “926”. During the same month, China’s NDRC announced it would lower the minimum price for japonica rice to from CNY 3.10 to CNY 3 (USD 0.44) per kg.
  • In 2015, China imported 3.4 million MTs of rice primarily from Vietnam, Thailand, and Pakistan. During the same year, Chinese cultivation of early rice on decreased to 5.72 million ha, a -1.4% year-on-year decline.
  • In October 1996, China’s State Council published a white paper setting a policy of 95% grain self-sufficiency for the country.

Hong Kong Trends

Spread the word. Share this post!