Corn Can't Become the Second "Soybean" -- Interview with Relevant Experts on the Market-oriented Acquisition of Corn

Abstract:

After the cancellation of the temporary purchase and storage policy of corn for 9 years, how to establish a new mechanism for the separation of price and compensation? How to guarantee the farmers' income? For this reason, our reporter interviewed relevant experts.

"If the upstream water injection is too high, the downstream industry cannot develop. The reform of the corn purchasing and storage system is good news for the entire industrial chain." Ni Guohua, director of the Economics Department of Beijing Technology and Business University, analyzed that corn prices have been in the world's "highlands" for a long time, distorting markets including corn processing and the pig industry, and also affecting the consumer price index.

After invigorating the entire corn industry chain through market-oriented reforms, it will not only expand the overall demand of the society, but also squeeze out some producers who do not have competitive advantages, so that growers with real advantages will stay in the market, which will help enhance the corn industry. Competitiveness.

According to Li Guoxiang, a researcher at the Institute of Rural Development of the Chinese Academy of Social Sciences, the important goal of the reform is to form a market formation mechanism for corn prices. Through the market mechanism to guide farmers to adjust the planting structure, he estimated that the reduction of corn planting area will form a relatively clear trend after the 2016 corn season.

However, the decline in corn prices is a factor that cannot be ignored for farmers' income and national food security.

"Northeast corn follows the international market price, and the price of corn may drop to the range of 0.7-0.8 yuan." Li Guoxiang predicted that in this case, corn growers will inevitably have to bear some of the losses. "Corn prices have to go down." Wang Xiudong, a researcher at the Institute of Agricultural Economics and Development of the Chinese Academy of Agricultural Sciences, also holds the same judgment.

"The important thing is to give farmers an export and give them more choices." Li Guoxiang reminded that full consideration should be given to what to plant after not planting corn. At the same time, it is also necessary to prevent the impact of multiple fluctuations such as international price fluctuations and low-temperature natural disasters on national food security.

Regarding the issuance of subsidies, Li Guoxiang particularly emphasized that the amount of subsidies should allow farmers to grow grain without suffering losses and their enthusiasm for growing grain will not be hit. Subsidies must be carefully considered, there are many complex factors. "The funds for financial subsidies can only be subsidized based on the registered area of the contracted land, but the actual situation is that the actual planting area in many places far exceeds the registered area. According to a certain place in Northeast China, the actual planting area in some places may exceed the registered area. 40%." Li Guoxiang said that the land of large grain growers is transferred. Those who have land do not grow grain, and those who grow grain do not have land. This is a realistic problem facing the local government. It is necessary to avoid contradictions caused by subsidies.

Regarding the subsidy method, Ni Guohua also pointed out that there are practical problems such as land reclamation and uncertainty in the area supplement. According to the output supplement, it is difficult to avoid the problem of "rotating grain". However, although it is easy to operate directly according to the direct subsidy of grain, there may be deviation in ensuring the enthusiasm of growing grain. He proposed that it is necessary to comprehensively consider the advantages and disadvantages of various subsidy methods, not only to prevent the finance from entering the "paradox of burning money", but also to prevent the huge price fluctuations from causing greater losses to farmers.

"The subsidy is too low to protect the interests of farmers; if the subsidy is too high, it will become a national financial burden." Corn can not be the second "soybean"! In Wang Xiudong's view, corn after the New Deal, still need a package of supporting policy measures.

"Policies should be flexible and take full account of the realities of agricultural production in the Northeast. Most of the agricultural machinery in the Northeast is matched with corn, and the social services related to growing other crops cannot keep up, and farmers can't get around this bend in a short time." Wang Xiudong said that for this issue, comprehensive measures must be adopted, and we must not only see the need for reform, but also fail to see the real dilemma.

Wang Xiudong suggested that the reasonable cost of planting should be taken as the subsidy standard to ensure that farmers do not lose grain. It is best to think of the way out ahead and take all kinds of difficulties into account.