China will take further measures to stabilize the general price
level to maintain market and social stability, according to an
executive meeting of the State Council on Wednesday.
Chinese Premier Wen Jiabao presided over the meeting.
China's consumer price index rebounded to 6.5 percent in October
on rises in grain and pork prices, the National Bureau of
Statistics said on Tuesday. The figure was up from 6.2 percent in
September and matched the 11-year monthly record in August.
The Chinese government will boost investment in farm
infrastructure construction and raise direct subsidies to farmers
to maintain grain acreage and encourage planting of oil crops and
vegetables, the meeting said.
It also pledged comprehensive measures to expand crude oil
production and refining capacities to guarantee supplies of oil
products.
The government will adjust the nation's current tariff policies
to help increase the imports of some consumer products that are
short on domestic markets, according to the meeting.
The meeting also called to strengthen market monitoring to clamp
down on price rigging and maintain normal operation of the
markets.
It added the government would raise pensions for company
retirees and minimum allowances for needy residents. It would also
continue to subsidize school canteens and public transport.
On Monday, Wen toured the alleys in Dongcheng District of
Beijing amid far-flung concern over soaring food prices.
He talked with some needy residents and reassured them the
government would take measures to ensure sufficient supply and
stabilize prices.
"Prices have been on the rise these days and I'm aware that even
a one yuan (US$0.13) increase in prices will affect people's
lives," the premier said.
"Only when people's quality of life is improved will we feel
reassured and believe we did a good job," he said.
(Xinhua News Agency November 15, 2007)