BAKU, Azerbaijan, June 10
By Fidan Babayeva - Trend:
China will begin to control global food prices, Trend reports citing the Bloomberg trading system.
"These include corn, wheat, pork, vegetable oil and vegetables. In addition, China is considering the possibility of introducing control over coal prices for power plants," the trading system.
“On June 9, China’s National Development and Reform Commission (NDRC) promised to begin control over the prices of corn, wheat, pork, vegetable oil and vegetables. This happened minutes after the publication of data on manufacturing inflation for May, which reached a record high since 2008 (an increase of 9 percent against the forecast of 8.5 percent),” the message said.
At the same time, industrial inflation exceeded consumer inflation by a record value, the message said.
“China, which is the world's largest pork producer and consumer, plans to increase stocks to buy meat when prices fall and sell when prices rise. To this end, Beijing (China’s capital) will create a temporary pork reserve alongside its regular government stocks. The size of these reserves is unknown, but they should increase significantly compared to previous years,” Bloomberg stated.
Moreover, China is considering introducing controls on coal prices for power plants ahead of a seasonal peak in demand.
