National Development and Reform Commission: expand soybean and oil production

Recently, the national development and Reform Commission issued the notice on further improving the work related to important Shenzhen Agricultural Products Group Co.Ltd(000061) production such as grain and soybean (hereinafter referred to as the notice).

The notice points out that 2022 is the year of connecting the preceding and the following in the implementation of the 14th five year plan and the key year for the comprehensive promotion of Rural Revitalization. It is of great significance to ensure the effective supply of grain and important agricultural and sideline products. The development and reform departments should cooperate with relevant departments to comprehensively grasp the work related to agricultural production, refine and decompose the task requirements, and ensure that the sown area of grain is stable and the grain output is maintained at more than 1.3 trillion kg.

vigorously expand soybean and oil production

The notice made it clear that efforts should be made to stabilize the sown area and yield of grain. The circular mentioned that the main production areas should continuously improve the comprehensive grain production capacity, the main sales areas should effectively stabilize and improve the grain self-sufficiency rate, and the production and marketing balance areas should ensure the basic grain self-sufficiency. Implement the deployment of the plan for the layout and structural adjustment of agricultural productivity (20212030) and the overall plan for the construction of national food security industrial belt, strive to adjust and optimize the agricultural industrial structure and improve the development quality of food industry.

The main winter wheat producing areas such as Huang Huai Hai should focus on dealing with the adverse effects of late sowing of wheat, cooperate with relevant departments to strengthen field management in spring and promote the transformation of weak seedlings into strong ones. The main double cropping rice producing areas should vigorously carry out socialized services such as centralized seedling raising, machine transplanting and machine sowing, and effectively stabilize the area of early rice.

Northeast China should handle the relationship between soybean and corn as a whole, scientifically arrange the planting structure, and give full play to the role of "ballast" for national food security. Southwest China should strive to tap the potential of abandoned land and strive to expand the planting area of corn. The northwest region should strive to stabilize and expand the area of spring wheat and increase grain output.

Zhang Xiaoshan, member of the academic department of the Chinese Academy of Social Sciences, said in an interview with the daily economic news that under the current situation, the "absolute safety of rations" should be guaranteed. The implementation of the national food security strategy should pay more attention to the security of feed grain, especially to increase the demand for feed grain represented by corn and soybean.

The notice also clearly proposes to vigorously expand the production of soybeans and oil plants. In order to support all localities to expand soybean and oil production, starting this year, the national development and Reform Commission has supported the construction of soybean and oil production bases in some regions in combination with high-standard farmland construction fund channels, and will take the lead in carrying out pilot projects for the comprehensive utilization of saline alkali land and other reserve resources in areas with basic guidance conditions from relevant departments.

In addition, the grain and oil-bearing committees at all levels should further coordinate the implementation of grain and oil-bearing projects, and take the initiative to support the rational development of soybeans. We will vigorously promote belt planting of corn and soybean and promote the compatible development of corn and soybean.

ensure the price stability of "vegetable basket"

In terms of efforts to ensure the production and effective supply of "vegetable basket" products, the notice mentioned that we should strengthen the implementation of the mayor responsibility system of "vegetable basket", and take the stable production and supply of "vegetable basket" products as an important political task to ensure sufficient supply and stable price of "vegetable basket" products.

The notice emphasizes that we should pay close attention to the study and judgment of the supply and demand situation of pigs and the evolution of pig cycle in this region, timely take targeted measures such as government collection and storage, stabilize long-term support policies for pig production, stabilize basic production capacity and prevent ups and downs of production. We will accelerate the expansion of beef, mutton and dairy production, and do a good job in the pilot demonstration of the transformation and upgrading of grassland animal husbandry.

The reporter noted that pork prices have continued to fall for some time. According to the data of the Ministry of agriculture and rural areas, in the 10th week of this year (i.e. from March 7 to March 11), the weekly average value of the total ex factory price index of lean white strip pork in 16 provinces (municipalities directly under the central government) was 15.96 yuan per kilogram, down 1.2% month on month and 54.1% year-on-year, 0.9 percentage points lower than that of last week.

Xia CHENFENG, a pig industry analyst at rural credit Internet, told the daily economic news that since this year, pig prices have been in a process of continuous decline. As of March 18, the average selling price of pigs across the country has fallen below 12 yuan / kg, reaching the lowest price this year. "Although the price is slightly higher than that at the bottom of last year, it has been falling for a long time this year."

Xia CHENFENG analyzed that the reasons for the decline in pig prices are reflected in both supply and demand. From the supply side, it is mainly due to the recovery and increase of the whole fertile sow stock last year, which leads to a continuous growth of pig supply this year. Although the number of fertile sows has been reduced slightly since July last year, it is reflected that the whole pig stock still has an inertial growth and release process in March this year.

Turning to the late trend of pig prices, Xia CHENFENG said that from the perspective of the changes in the stock of fertile sows, it is expected that March to May this year should be a bottoming process. Specifically, there will be a rebound in April, may or June, and it is also necessary to track the marketing rhythm of the breeding end of the market.

Xia CHENFENG said that according to the observation, the enthusiasm of the breeding end has also been relatively high in the past two weeks, but because there is still too much supply, the pig price will still be in a downward process in March. April is also in the off-season of consumption. The weight released in March has increased slightly. The supply is expected to be guaranteed in April, so there may be hope of rebound until May.

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