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One-off subsidies for farmers to handle price hikes

By WANG KEJU | CHINA DAILY | Updated: 2021-06-19 07:52
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A farmer shows newly-harvested wheat at Huangfanqu farm, a national modern agriculture demonstration farm, in Central China's Henan province, June 2, 2020. [Photo/Xinhua]

China will give one-off subsidies to shield agricultural workers from sharp price increases of farming supplies this year, the State Council's Executive Meeting chaired by Premier Li Keqiang decided on Friday.

Agriculture is a sector that helps maintain public confidence and ensures China's stability. The Communist Party of China Central Committee and the State Council place high importance on grain production and food security. The price surge of commodities this year has notably driven up prices of products like fertilizers and diesel.

To keep farmers motivated, the meeting decided that based on China's realities as a developing country, the central government will earmark 20 billion yuan ($3.1 billion) in funds for one-off subsidies for farmers growing crops. This is due to the higher costs of farming supplies for major grain crops and is meant to keep incomes stable. Measures will also be taken to better regulate the agricultural supply market and guide enterprises to beef up supply to the domestic market.

"Now is a crucial time for summer harvesting and planting, which forms the bulk of the country's grain output. Subsidies should be issued as soon as possible to keep up with the summer farming schedule," Li said.

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