China’s Worst Floods Since 1998 to Cut Farm Output

China’s worst flooding in more than a decade may cut production of rice, cotton and pork in the largest producer, boosting prices and hampering government efforts to keep inflation under 3 percent, analysts said.

“The disastrous weather will reduce rice output by 5 percent to 7 percent and cotton by 5 percent to 10 percent in our initial assessment,” said Li Qiang, managing director at Shanghai JC Intelligence Co. The drop may “lead to inflationary pressure should the government fail to take action,” he said in an interview yesterday.