China boosts financial support for farmers to strengthen food security
The aim is to stabilise prices for key agricultural products
27 December 2024
1 minute read
By: Chinese authorities on Friday called for increased financial support to stabilise key agricultural products, including grain, as part of broader efforts to ensure food security for China's 1.4 billion population, reported Reuters.
The government pledged to strengthen the use of monetary policy tools such as relending and rediscount facilities, and reserve requirement ratio, to support agriculture and small businesses, according to a joint statement from the central bank, the agriculture ministry and the financial regulator.
The government also urged expanding credit and pledge loans for agricultural assets and livestock, enhancing farmers' income through guarantee and small loans, and reinforcing the agricultural insurance system, particularly for grain planting.
In addition, the government pledged greater support for major agricultural research projects and leading firms.
In recent years, China has increased investments in farm machinery and seed technology to enhance production efficiency as part of efforts to reduce reliance on imports and strengthen food security.
The country's total grain production reached a record of more than 700 million metric tons in 2024, 1.6% higher than 2023's harvest of 695.41 million tons, the National Bureau of Statistics said earlier.
Despite efforts to boost domestic production, China remains reliant on imports of key agricultural products, especially soybeans and corn.
