China will lower the price of state wheat stocks beginning on April 18, the National Grain Trade Center said last week. The reduction in the minimum selling price is the first time in ten years.
The price range for wheat harvested from 2014 to 2016 is set at 2,350 yuan ($ 372.22) per ton, compared to the current 2,410 yuan. The announcement took place last Wednesday before a two-day holiday and is another signal that Beijing wants to accelerate the reduction of its huge grain stocks.
The price is slightly lower than the 2,360 yuan per ton paid for wheat in the three years from 2014 to 2016, underscoring the government's desire to reduce stocks, said Rosa Wang, analyst at Shanghai JC Intelligence.
