THE Chinese Government will continue its controversial corn stockpile policy during 2015/16 and will start to stock the grain from farmers at a lower price compared with last year, government bodies said in a statement Friday.

    The government will pay 2,000 yuan (US$314.3) per ton to farmers in the northeast, the country’s corn belt, with the scheme lasting from November 31 to April 30, 2016, said the National Development and Reform Commission (NDRC) in a joint statement with other government bodies.

    The price is about 10 percent lower than the current year, ranging from 2,220-2,260 yuan per ton.

    Four State-owned companies, including COFCO, are allowed to purchase on behalf of the government, and the government will offer subsidies for the purchases as well for building grain silos, according to the statement posted on the State Grain Administration.

    China is also expecting a record corn harvest next month after high domestic prices encouraged farmers to grow more of the grain.

    The government will offer subsidies for building storage facilities, which are already running short as the government is sitting on more than 150 million tons of corn after years of stockpiling.

    (SD-Agencies)