SCIO press conference on China's economic performance in 2021
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E-mail China.org.cn, January 20, 2022
Chen Wenjun:
The press conference has been going on for 85 minutes and the journalists are still eager to raise questions. We will take the last three questions.
CNR:
We have also noted that China's grain output hit a new high in 2021. Will China's agricultural production be consolidated amid new developments in 2022 and what are the main reasons? In addition, we also see that international grain prices rose sharply in 2021 and many countries faced significant inflation. How has China's food security been affected? Can we guarantee the food supply? Thank you.
Ning Jizhe:
Agriculture is the foundation of every industry and food is the basis of our survival. The statistics just released show that grain output in 2021 reached a new level and we had a bumper harvest of agricultural production. Regarding the complicated and changing situation in 2022, such as the rising international prices of some grains you mentioned just now, relevant departments have conducted careful analyses in this regard, the CPC Central Committee has made clear arrangements, and the State Council has introduced related policies as well. As long as the Party continues to prioritize addressing issues related to agriculture, rural areas and rural people, as well as gaining control over our own food supply, we can consolidate the fundamental position of agriculture and ensure the food supply.
In 2021, China's grain and agricultural production gained momentum and the features were as follows:
First, the output of summer grain, early rice and autumn grain increased to 291.9 billion jin (1 kg=2 jin), 56 billion jin and 1,017.8 billion jin, respectively, up 6.2 billion jin, 1.4 billion jin and 19.1 billion jin. This helped total annual grain output reach 1,365.7 billion jin, an increase of 26.7 billion jin over the previous year.
Second, the yield of rice, wheat, corn and tuber rose to 425.7 billion jin, 273.9 billion jin, 545.1 billion jin and 60.9 billion jin, respectively, up 2 billion jin, 5.4 billion jin, 23.8 billion jin and 1.1 billion jin over the previous year.
Third, both sown areas and per unit yields increased. China's total sown grain area hit 1.764 billion mu (117.6 million hectares) in 2021, an increase of 12.95 million mu over the previous year, signaling two consecutive years of growth. Per unit yields of grain reached 387 kilograms per mu, an increase of 4.8 kilograms over the previous year, up 1.2% year on year.
Fourth, the primary, secondary and tertiary industries in rural areas as well as the industries of farming, forestry, animal husbandry and fishery were comprehensively developed. In 2021, the value added from farming, forestry, animal husbandry and fishery industries reached 8.7 trillion yuan, up 7.1% year on year. The National Bureau of Statistics and the Ministry of Agriculture and Rural Affairs released the first set of statistics for value added from agriculture and related industries. According to the data, in 2020, the value added of agriculture and related industries hit 16.69 trillion yuan, accounting for 16.47% of the national GDP. The figure is nearly twice that of the farming, forestry, animal husbandry and fishery industries. Many enterprises representing secondary and tertiary industries provide services directly to the agricultural sector. For instance, specialized plant protection services and seed services have been categorized in the service industry. Therefore, we decided to work with the Ministry of Agriculture and Rural Affairs to conduct a relevant statistical monitoring project.
This year's grain supplies can be guaranteed, based on the following factors.
First, successive years of increased production have laid a solid foundation. We have seen bumper grain harvests for 18 years in a row. The annual total grain output exceeded 500 billion kg, 550 billion kg, and 600 billion kg between 2007 and 2009, 2010 and 2011, and 2012 and 2014, respectively. This figure has remained above 650 billion kg for seven consecutive years beginning 2015, ensuring basic supplies for the grain market.
Second, we have an adequate stock of grain. At present, the country has sufficient grain reserves, with the two major staples of wheat and rice accounting for more than 70% of the total inventory. The stock of wheat can meet consumption demands for a year and a half. As the inventory of commodities noticeably grew, the stock of wheat and rice increased by more than 50% year on year.
Third, the sown area has likewise expanded in consecutive years. As part of the efforts to enlarge acreage, we have implemented stringent measures to protect farmland and safeguard the "red line" of 1.8 billion mu (120 million hectares) of farmland, strengthened control and regulation of purposes for arable land, and curbed non-agricultural or non-grain-related use of farmland. The sown area of grain across the country in 2021 went up by 0.7% compared to 2020, signaling two consecutive years of growth. In 2020, the multiple cropping index was 1.31. As the double cropping system keeps improving, the efficient utilization of farmland has increased accordingly.
Fourth, per unit yield enjoy huge potential. Although there is still some way to go compared with agriculturally advanced countries, the constant development of agricultural technologies represented by breeding techniques means there is enormous potential for China to increase its per unit yield. According to the survey conducted in 2019, farmland with medium- and low-yield accounted for more than two-thirds of the total. By implementing a strategy of sustainable farmland use and innovative application of agricultural technology, promoting the transformation of farmland with medium- and low-yield, accelerating the cultivation of high-quality farmland and stepping up efforts to develop protected agriculture, our per unit yield will enjoy even greater potential.
Fifth, we have established solid policy mechanisms. The central rural work conference has affirmed the active role of the system in which both CPC committees and governments assume responsibility for safeguarding grain security, and emphasized the importance of ensuring acreage and output in main grain producing and marketing areas,, as well as areas with a balance between production and marketing. With more agricultural-specific policies delivered, farmers are growing more enthusiastic about production. Noticeably, these efforts will help us better respond to various risks and changes at home and abroad. International commodity prices will affect China's domestic markets in the form of imported inflation through the import and export of grain and other raw materials. Additionally, global natural disasters will impact the output, prices and markets as well. The top priority is to run our own affairs well, hold our rice bowls firmly in our own hands and take concrete measures to ensure food security. Thank you.
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