China expects 511M tons of grain output

BEIJING, Sept. 2 (UPI) -- China's grain information center says grain output this year is expected to top 511 million tons, marking the fifth consecutive year of increased production.

"We estimate that this year's harvest will be 511.5 million tons, up more than 10 million tons from 2007," Yang Weilu, the center's vice director, told the China Securities Journal, the China Daily reported Tuesday.

Of the total, rice production was predicted at nearly 185.5 million tons, up 1.01 million tons from last year. Wheat output was forecast at 109.86 million tons, up 2.64 million tons from last year. Corn harvest was calculated at 151.83 million, up 4.17 million tons.

Yang said he didn't think there would be major swings in the grain prices.

"More grain reserves led by the expected production increase and state price controls will ensure stable grain prices," he said.

Since last year, the Chinese government has instituted various measures to stabilize grain prices and increase production, including curbs on grain exports, raising subsidies for farmers and tackling fertilizer price increases, the report said.