China's major edible oil makers urged to stablise prices
Wednesday, 7 November 2007
BEIJING, Nov. 6 (Xinhua): Executives of China's major edible oil manufacturers and guild leaders were summoned to Beijing yesterday for a closed door meeting at which the government required them to step up production to rein in the soaring market prices.
An official with the National Development and Reform Commission ( NDRC) who asked not to be identified said it was understandable for the edible oil processing firms to raise prices as the continuous rise in the cost of raw materials had increased their production costs.
However, the public had responded strongly to the price hikes of edible oils, coming as they did with rapid rises in the prices of other goods, the official said.
Edible oil makers were told to "deepen their sense of social responsibility" and "bear the overall interests of the country in mind".
Incomplete statistics from various regions show prices of domestic edible oils rose by 20 per cent from November last year to June as the prices of peanuts and other oil-bearing products had risen.
In eastern Shandong Province, first grade peanut oil has risen by 28.6 per cent from 14,000 yuan per ton in April to a record 18,000 yuan per ton. While supermarkets marked down cooking oils to boost sales, people were reportedly standing in long queues. On Oct. 26 in Shanghai, 15 shoppers were injured after people swarmed in a local supermarket to snap up edible oils on sale only five minutes after the store opened.
An official with the National Development and Reform Commission ( NDRC) who asked not to be identified said it was understandable for the edible oil processing firms to raise prices as the continuous rise in the cost of raw materials had increased their production costs.
However, the public had responded strongly to the price hikes of edible oils, coming as they did with rapid rises in the prices of other goods, the official said.
Edible oil makers were told to "deepen their sense of social responsibility" and "bear the overall interests of the country in mind".
Incomplete statistics from various regions show prices of domestic edible oils rose by 20 per cent from November last year to June as the prices of peanuts and other oil-bearing products had risen.
In eastern Shandong Province, first grade peanut oil has risen by 28.6 per cent from 14,000 yuan per ton in April to a record 18,000 yuan per ton. While supermarkets marked down cooking oils to boost sales, people were reportedly standing in long queues. On Oct. 26 in Shanghai, 15 shoppers were injured after people swarmed in a local supermarket to snap up edible oils on sale only five minutes after the store opened.