Source: CCTV.com

11-12-2008 11:09

A finance official says the country will provide more subsidies to the agricultural sector to encourage farmers to boost output.

A finance official says the country will provide more subsidies to the agricultural sector to encourage farmers to boost output.

Prices of agricultural inputs, like fertilizer, have risen dramatically this year. So the government announced three new rounds of subsidies this year, injecting an additional 71 billion yuan into the agricultural industry.

Add to that the grain subsidies from before, and total agricultural subsidies for the year are at 86 billion yuan. This has led to 2008 being the year with the highest level of agricultural subsidies in China ever.

Wang Baoan, Official of Ministry of Finance said "The government has continuously proposed new subsidies for the agricultural sector in recent years. It will set a good foundation for the national economy and social stability. Especially the grain production subsidies, which can stimulate farmer's interests, raise their income, raise their consumption levels and narrow the gap between the urban and rural areas. It will encourage domestic consumption and boost the economy."

According to the ministry official, the government will take more measures to stabilize the grain market and protect farmers' incomes next year. It will announce more grain subsidies and raise the government's grain purchasing price. It will also be more flexible in grain storage, imports and exports to control supplies and prices. In addition, it will take measures to raise the efficiency of the grain process, from production through to sales.

 

Editor:Xiong Qu