THE country has enough grain to keep food prices steady, the country’s economic planner said yesterday amid reports authorities were struggling to prevent the smuggling of rice to overseas markets.

    China views basic self-sufficiency in staple grains for its 1.3 billion people to be a national strategic priority, and with grain prices soaring internationally, it is moving to ensure domestic supplies and curb exports, the National Development and Reform Commission said in a statement on its Web site.

    The comments, published in the form of a question-and-answer session with an unnamed official, emphasized the government’s ability to keep grain prices stable after four straight years of bumper harvests.

    “Our grain supply and demand is basically steady, our reserves are full and we can guarantee the supply and stability of grain prices,” the statement said.

    It said reserves alone could meet demand for six months. The government is shifting grain from the north to southern areas where consumption outstrips production.

    China subsidizes grain farming to encourage an adequate supply and controls prices for rice and some other agricultural staples.

    Reports said authorities in eastern China’s Zhejiang Province were cracking down on illegal grain exports by traders hoping to profit from surging international prices.

    Eight such shipments, totaling almost 7 tons of rice and 163 tons of wheat, were caught in the past several weeks, domestic media reported. (SD-Agencies)