Rice Imports by China Set to Jump Fourfold on Local Prices

Rice purchases by China, the largest producer, may soar fourfold this year after a government policy to support farm incomes drove up domestic prices, the United Nations said.

Shipments may reach 2.3 million metric tons to 2.4 million tons, said Concepcion Calpe, a senior economist at the UN’s Food & Agriculture Organization. That compares with a prediction of 2 million tons last month and 600,000 tons in 2011, according to the FAO. While there’s no shortage in China, processors increased imports to profit from the difference between domestic and overseas rates, said Bai Peipei, an analyst at Beijing Shennong Kexin Agribusiness Consulting Co.