Corn prices in the mainland hit a 6-year high, increased grain hoarding by traders

China’s Ministry of Agriculture and rural Affairs held a press conference in Beijing on Thursday (24) to introduce the market and production situation of grain and major agricultural products on the mainland during New Year’s Day and the New Year. Tang Ke, director of the Department of Marketing and Informatization at the Ministry of Agriculture and Rural Affairs, said that the gap between production and demand for corn has led to a significant increase in prices, with the current price level at a six-year high and increased capital speculation and grain hoarding by traders.

Tang Ke pointed out that corn prices continued to climb after the Chinese New Year this year, with the average wholesale price of 1.2 yuan (about HK$1.44) per half kilogram in corn-producing areas in November, up 29.7 percent from the same period last year and 31.8 percent from the beginning of the year.