China has set the annual grain output capacity to more than 550 million tonnes as of 2020, an increase of 50 million tonnes over the coming 12 years to guarantee grain security.

The plan was approved by the country's State Council, or the Cabinet, at a meeting on Wednesday, presided over by Premier Wen Jiabao.

The government urged efforts to ensure a minimum of 1.8 billion mu (120 million hectares) of arable land, 1.56 billion mu of prime farmland, and 1.58 billion mu of grain sown area by 2020. Grain yield should reach 350 kg per mu.

As of April 1 this year, the total area of arable land stood at about 1.826 billion mu. The amount of arable land must be kept at 1.8 billion mu, a base line that must not be broken, according to country's Eleventh Five-Year Plan.

The State Council agreed that grain security for the country's 1.3 billion people plays a fundamental role in boosting domestic demand and tackling the current financial crisis.

However, growing population and improved living standards push up demand, which poses grim challenges in grain security, the meeting was told.

Efforts should be made to increase grain output, including upgrading low-yield farmland, promoting key technologies, enhancing agricultural mechanization and strengthening prevention of diseases and insect pests. Agriculture infrastructure and water facilities should also be improved.

Governments should ramp up spending on grain security and encourage financial institutions, agricultural enterprises and farmers to increase input.

China produced about 528.5 million tonnes of grain in 2008, up 5.4 percent or 26.9 million tonnes from a year earlier. It was the fifth consecutive bumper harvest, the first such run of harvests during the four decades, according to the Ministry of Agriculture.

(Xinhua News Agency April 8, 2009)