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A Study on the Influences of Government Policy of the Current Rice Procurement
Abstract
Nowadays, the rice procurement, the crop diversification and lay fallow as well as the rice import are the three main strategies in the field of rice policy for the government. The paper is studied according to the statistics of grow costs, food supply and demand, and rice procurement price among the government, food dealers and farmers. Therefore, by the study, the better policy and suggestion will be proposed. For the government’s policy and people’s benefits are involved, the error rate of the statistics showed by the government departments are in reasonable range—rice production costs, investigative targets, and quantities of supply and demand for example, which are adopted by the study as an evidence. However, consumers do not get benefit from the low prices of rice procurement, but farmers actually make sacrifices and benefits for the government and food dealers as well as stabilize current prices. In order to get benefits among farmers, food dealers and consumers, and reduce outlay of the government’s procurement, the government should change the three types of pricing mechanism into single one and found new trade patterns. Further, the government also should transform current system of support price and direct payment into the one of production support. With tax free era advocated globally, to simultaneously compete with farmers around the world and struggle for life, the government should reduce the crop’s production costs from farmers and alter cultivation on paddy field.
Keywords: Grain stabilization fund、Rice Procurement。
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