Wednesday, January 12, 2011

Guizhou Price Subsidies and Regulations

Cold temperatures in Guizhou Province are making transportation difficult and causing increases in the prices of some necessities. Guizhou officials have announced subsidies and regulations to address the rise in food prices.

A "Price Adjustment Fund" has been set up. Trucks transporting fresh ag products can get subsidies, there are awards to agricultural markets so they can eliminate vendor fees and subsidies for warehouse costs. There is a "hog slaughterhouse subsidy mechanism," and a subsidy of 30 yuan per head to transport hogs out of production areas to designated slaughterhouses.

Local officials are to make sure basic foods are available, ensuring that vendor stalls in markets are manned and do not run out of stock. There are subsidies to help poor people buy coal and there are subsidies to farmers in coal-producing areas.

Another thrust is to monitor and regulate prices. Vendors in Guiyang's 8 supermarkets and 47 wet markets have been ordered to keep prices for basic vegetables like cabbage, radish and lotus at no more than 1 yuan in supermarkets and no more than 2 yuan in the wet markets. Inspectors are to go out and monitor prices. Merchants are not allowed to collude or artificially raise prices to "unreasonable" levels. Inspection teams are being organized to go out and make sure no one is breaking the rules.

Another article making the rounds on livestock news sites describes a truck driver's heroic 20-hour trek from Yunnan to Guiyang bringing a load of 500 pigs to boost the city's supply.

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