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      Market to play bigger role in agri-product pricing

      2014-02-07 08:08 Xinhua Web Editor: qindexing
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      China's top economic planning agency said Thursday that it would let the market play a more decisive role in the pricing mechanism of agricultural products in 2014.

      The National Development and Reform Commission (NDRC) said it would "explore and try to push forward" reforms that would "decouple" the pricing regime of agricultural products from government subsidies.

      China will set up a target price system for agricultural products in which low-income consumers would be subsidized when prices are too high and producers would receive subsidies when prices are too low, the NDRC said.

      Currently, the government resorts to stockpiling and a "minimum purchase price" supported by government subsidies to regulate pricing.

      The country will let the market play a "more decisive" role in the pricing of agricultural products "under the precondition that the benefits of farmers are protected," it added.

      The NDRC will select products and regions in 2014 to carry out the reforms on a pilot basis.

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