:. Food Industry News


China Freezes Prices in Quake-Stricken Areas

Source: Reuters
15/05/2008

Beijing, May 15 - China has imposed temporary controls on the prices of food and transport in areas affected by this week's 7.9 magnitude earthquake, aiming to prevent hoarding and speculation, state media said on Thursday.

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The official Xinhua news agency said local authorities were imposing the measures in southwestern Sichuan province, as well as in Gansu, Shaanxi and the municipality of Chongqing, all affected by the quake.

The move followed an order by the top economic planning agency, the National Development and Reform Commission (NDRC), Xinhua said.

Xinhua added that some food vendors in Mianyang, Sichuan, one of the worst-hit cities, had already been fined for raising prices to double their previous levels or higher.

China's annual consumer price inflation reached a near 12-year high of 8.5 percent in April. The government has made it a priority to keep price rises, which have at times in the past been a spark for social unrest, under control.



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