Finance And Business | Agricultural Waves of Price Increases in ...

This year, with the upstream waves of price increases of agricultural products, lower food prices, "gone up." People feel the monthly cost of living increase. In the consumer market, price inflation has been more and more people feel the; in the manufacturing, agricultural production processes, companies have also have complained that rising business costs. This price rise in food prices will continue to be.

"Inflation is well aware, like the bass at this time last year, 6-7 yuan / kg, is 10 yuan / kg; chestnuts last 6 yuan / kg, now 9 yuan / kg, Yuanjiao last 2 yuan / kg, now 4 yuan / kg Other necessities are mostly rose by 50%? 60%. "living in Guangzhou Binjiang Road, Li Yi shook his head told reporters yesterday, their home three small, spent last month to buy food to eat the fees of 2,000 yuan, But now this expenditure increased by at least 30%.

Cost of living increase, not only as a housewife Li Yi a single person's experience, many white-collar workers also feel tight. "Now the East China Sea together have 35 yuan to buy a cheese cake, but some time ago before selling 35 yuan." "After 80" Buzz said, "In the past money was spent per month, not too stingy, but it seems the money not enough, one to end the worry. "According to reports, she and her boyfriend, co-rent, online + rent + eating out + travel expenses + other, in March to spend a total of 5,000 yuan; early April figured, 6,000 yuan," 5 The consumer may be higher because there are 51 holiday ah! "Many white-collar workers said it was not just" on the moon "but also" overdraft month. "

Reporter learned yesterday, in June a new round of baby milk powder in turn blowing "price hikes" tide, according to Guangzhou, said some large chain stores, including Wyeth, Abbott, Erie, Dumex brand infant milk powder have launched the "upgrade" recipe milk powder, while the "new formula, new packaging" appearance of the "new product" will be priced in the update, new product compared to the old rose up to 8% -10% increase. "There are some brands more than a month prior to the receipt of the notification, but only in the terminal price adjustment since June."

This year, almost every month and residents have a variety of consumer goods are closely related to price increases. Up to now, including milk powder, liquid milk and other dairy products, bread, edible sugar, rice dumplings, etc., have been implemented before tidal waves of price increases.

Macroeconomic statistics also confirmed that the residents feel is true. According to the National Bureau of Statistics data show that the expansion of price increases in April, consumer prices (CPI) rose 2.8%, the highest since November 2008 high. Among them, Guangdong Province CPI1-4 months respectively compared with same period last year 0,3.5,2.1,2.9. CPI from January to March this year, Guangzhou, respectively, compared with same period last year 0.7,4.6,3,2 months rose higher than the national and provincial.

Pang Xiaolin price statistics experts recently said in an interview, the public feel inflation is expected to gradually strengthen, National Bureau of Statistics CPI data is also growing, CPI rose year on year in January from 1.5% to 2.8% in April, the trend is consistent. The public feel the prices of vegetables in the "fever", the statistics also show that such a result.

In the consumer market, people often blame the cost of living increase pressure on the production of manufacturing sector enterprises and supply chain businesses. However, in interviews, many enterprises and businesses are on the "price increase" move, said the victims. Enterprises have to explain the recent foundation of agricultural prices, making production costs increase, companies can not completely digested within themselves, forced to transfer some of the pressure to the terminal to decompression.

Number of listed food companies mentioned in the earnings report, substantially increase production costs, gross margin pressure. According to Master Kong (0322.HK) said the first quarter, the group most of the necessary raw material prices double-digit increases, including instant noodles, palm raw material costs rose 30% last year, the main raw material PET plastic resin and beverages with sugar Over the same period last year increased significantly by 30% and 50%. The report said that in addition to increasing raw material costs, labor costs are rising.

"Prices rise every year. In my company, for example, artificial rose 10% this year, water + sewage charges, up 10%, transportation costs, the Guangzhou Asian Games will certainly be strict on traffic management, that will transport virtually costs have increased. "Guangzhou 8 Luo Hao Qi, general manager of drinking water, said in the drinking water industry, many small and medium enterprises because of higher costs, reduced profits or even the top is not in the past, but have quit. He pointed out that the water industry in South China occurred recently acquired Jialin Yi Bao Shan, King acquisition of Guangzhou Aofong so that the cost of soaring Forced results.

"Response measures price increases, large enterprises continue to expand the scale of mergers and acquisitions or other means to increase profits and offset costs; small and medium scale fight or join the list, with costs running, or the integration of resources, shrinking front, take the professional, fine divided road. "Luo Hao says.

Guangzhou Tai Wo sushi restaurant business catering companies candidly to reporters yesterday, this year cost pressures companies feel great, including raw materials, labor, rent and so on are up.

According to statistical data, in April the National PPI rose 6.8; Guangdong Province, PPI rose 3.9; March PPI rose 3.1 Guangzhou. Rising industrial ex-factory price, enterprise raw material cost pressures continue to increase the fuel power. "Inelastic demand in the short term, government intervention is small, PPI easily transmitted to the CPI."

National Bureau of Statistics spokesman Sheng to transport data in the analysis of CPI in April, also pointed out that on the one hand, the bulk of capital goods imported from abroad, the price increase is too large. Energy prices in April as the month rose 46.4%, metal products, ore prices rose 44.2%, the price impact on domestic manufacturing. On the other hand, the means of production and fuel the expansion of power price increases, it will increase production costs.

Prices based on future expectations of domestic agricultural products, people and businesses have to in the second half and the future trend of food prices, have shown "not optimistic."

Guangzhou Wo sushi catering companies Pengtai Hua, managing director of food analysis, future uncertain by many factors, including weather effects, environmental pollution, will take time, "to this year's various natural disasters to domestic food Gongying effects have Hentai, Xiang Women's procurement Northeast rice, made only one year, were natural disasters, the re-planting to harvest from, take some time; then salmon, for example, Chile is the largest producer before, but because of the local fish market was affected by water pollution, reduced production Procurement transferred to Norway, while Norway is to maintain water quality, high-tech culture, then the possibility increases greatly. "

"The overall long term rising trend of agricultural products is in the affirmative. 1 to the original low agricultural prices, farmers income less income for farmers to protect the country would support; two years, land, labor costs continue to rise, must also promote the rise of agricultural products . "Guangdong Province, Liu Hande Sugar Association, pointed out an interview yesterday.

According to reports, frequent natural disasters are becoming stable output of the major challenges of agriculture, especially in Southwest drought, cold north lot, which may directly affect agricultural production. Chinese Academy of Social Sciences published report that in 2010 the general price of agricultural products increases the possibility of relatively large, the overall level of agricultural producer prices rose at about 4% price increase food production is likely to exceed 5%. Fluctuations in agricultural prices, food costs on middle and lower reaches directly leading role.
Liu Hande expected in the second half and did not rule out the possibility to continue next year, sugar prices high, "it determined by supply and demand, is expected to increase next year, little sugar, while sugar consumption boom, so that supply and demand tensions."
Eastern Agricultural Advisory Iger, chief analyst Shu Wei believes that the long term, there is a rising trend of agricultural products. Increase in upstream agricultural products and food is normal, "the current state of the food purchase price increased each year, which shows up is the trend of future food."

Based on the expected future prices of domestic agricultural products, people and businesses have for the second half and the future trend of food prices, have shown "not optimistic."

Guangzhou Wo sushi catering companies Pengtai Hua, managing director of food, for a future more uncertain factors, including weather, environmental pollution, will take time, "This year's various natural disasters happen to domestic food supply has a great impact, like the Women's Procurement Northeast meters, only one made a year, after being natural disasters, from the re-planting to harvest, take some time; then salmon, for example, Chile is the largest producing country before, but was due to a local fish farm pollution Water quality, reduce production Procurement transferred to Norway, while Norway is to maintain water quality, high-tech culture, then the possibility increases greatly. "

"The overall long-term rising trend of agricultural products is in the affirmative. 1 to the original low agricultural prices, farmers earning less, for the protection of farmer income, the state will support; two years, land, labor costs continue to rise, will lead inevitably rise of agricultural products . "Guangdong Province, Liu Hande Sugar Association, pointed out an interview yesterday.

According to reports, frequent natural disasters are becoming stable output of the major challenges of agriculture, especially in Southwest drought, cold waves, which may directly affect the north lot of agricultural output. Chinese Academy of Social Sciences published report that the overall price of agricultural products in 2010 increased the possibility of relatively large, the overall level of agricultural producer prices rose at about 4% price increase food production is likely to exceed 5%. Fluctuations in agricultural prices, food costs on middle and lower reaches directly leading role.

Liu Hande expects the second half and did not rule out the possibility to continue next year, sugar prices high, "it determined by supply and demand, is expected to increase next year, not sugar, while sugar consumption boom, so that supply and demand tensions."

Eastern Iger, chief analyst of agricultural consulting firm Shu Wei believes that the long term, there is a rising trend of agricultural products. The higher grain and other agricultural products is normal upstream, "the current state of the grain purchase price increased each year, which shows up the next big trend in food."

It is worth mentioning that the current vulnerability of domestic agricultural products, "natural disasters", the hot money, while the upper reaches of agricultural product prices if the fluctuations on the middle and lower reaches of the food must have a great impact. How to solve this situation?

Eastern Iger agricultural consulting firm analyst Shu Wei believes that the state should control the normal commodities rose, "rose farm this year due to natural disasters caused by climate, the state shall adopt relevant measures to ease up the speed and magnitude," he said for example, China's pig industry, a long-term low-cost operation, if the reduced production, the next round of price increases may be faster and bigger, "the State should pay attention and measures to balance the development of the industry." The varieties of Xiang small green beans, garlic, etc. Although the increase, but the impact on the lives of its surface is not too much.

To protect the basic needs of low-income people, Development and Reform Commission recently held a national conference of the price office also suggested that urban and rural low-income groups to the issuance of temporary price subsidies. Learned, now led by the NDRC, the National Coordination of various departments are actively promoting the establishment of subsistence allowances, the minimum wage, the basic pension and the price level corresponding dynamic adjustment mechanism. Development and Reform Commission also proposed that the establishment of provinces, autonomous regions to implement the system as soon as possible to ensure the living standards of low-income groups do not decrease because of price increases.

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Article Added on Tuesday, September 20, 2011

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