BEIJING, July 19 (Xinhua) -- Price hikes for
foodstuff, mainly grain, meat and fowl and eggs, contributed significantly to
the rise of China's consumer price index (CPI) in the first half of this year,
Li Xiaochao, spokesman with the National Bureau of Statistics, told a press
conference Thursday.
The major inflation indicator rose 4.4 percent in
June compared with a year ago, or up 0.4 percent on the previous month.
This helped jack up the CPI for the first half of this
year by 3.2 percent on the same period of last year. The growth rate was 1.9
percentage points higher than the year-earlier level.
In breakdowns, foodstuff prices rose 7.6
percent, with grainprices up 6.4 percent, egg price up 27.9 percent and prices for meat
and fowl as well as related products up 20.7 percent. However, prices of fresh
vegetables and fruits went down 2.9 percent from a year earlier.
Li Xiaochao noted foodstuff prices contributed 2.5
percentage points to the CPI rise in the January-June period. He said deducting
prices of foodstuff and energy, China's core CPI rose only 0.9 percent. Price
hikes for foodstuff focused on grain, meat and fowl and eggs, Li added.
According to Li, the grain price rise was due largely
to the rising grain prices on international markets and growing demand both at
home and abroad.
Under the price hike on international grain markets,
he said, China imported 800,000 tons of cereal in the first five months of this
year, down 51.5 percent from a year earlier, and exported 5.06 million tons, up
53.5 percent.
China built some biological fuel projects over the
past few years, which also gave rise to domestic demand for grain, Li said.
Meanwhile, the means of production for agricultural
products experienced a price rise of 5.2 percent in the first half of this year,
a rate 3.9 percentage points higher than the year-earlier level.
This also helped push up grain prices, Li said.
In terms of prices of meat and fowl, Li said, rises
for pork prices were the most noticeable, which was a result from costs being
driven up by price hikes for feedstuff, transport fee and increasing pay for
workers and short supply caused by narrow profit margin.
Pig blue-ear disease outbreaks in 20-odd provinces
and autonomous regions also affected the supply, Li noted.
He added that there existed potential risks for CPI
to go further up in the second half of this year.
According to Zhuang Jian, a senior economist with the China
office of Asian Development Bank, continuous the CPI rises at a high level
will have little influence on rich people, but affect low-income earners. Zhuang
believed the central government will take strong measures to maintain economic
and social stability.
According to NBS data, on year-on-year term, CPI was
up 2.2 percent in January, up 2.7 percent in February, up 3.3 percent in March,
up 3.0 percent in April and up 3.4 percent in May. The first quarter CPI stood
at 2.7 percent.
In related developments, retail prices of commodities
rose 2.4 percent in the first half of this year, or up 3.2 percent in June.
Factory prices of industrial products increased by 2.8 percent in the six-month
period, or up 2.5 percent in June. Buying prices of raw materials, fuels and
power supply went up 3.8 percent in the January-June period, or up 3.4 percent
in June.