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BEIJING, Dec. 6 (Xinhua) -- A well-known economist said Monday that the biggest problem in China is not inflation, but shifting its economic structure to maintain sustainable growth."The biggest challenge faced by China is economic restructuring in order to shift the economy to a more balanced way that will provide sustainable economic growth," Stephen Roach, former chairman of Morgan Stanley Asia, told Xinhua."In the post-crisis environment, the shift means to build a consumer-led economy, and that is the overriding challenge in China," said Roach, who currently serves as non-executive chairman of Morgan Stanley Asia.Residents' incomes in China remain at a low level. "People's incomes are only 42 percent of the GDP, whereas in the US the rate is 86 percent. So the government should raise the income of the citizens, especially when China wants to stimulate domestic private consumption," said Roach."Of course, that does not mean the Chinese government should ignore the risk of higher inflation," he said.Official data showed that China's October Consumer Price Index (CPI), a major gauge of inflation, rose to a 25-month high at 4.4 percent."There is a certain amount of momentum to inflation, so it's likely to be the a problem over the next 12 months. If the government acts quickly, it will be able to limit the problem, or else China could be facing this problem in 2012 as well," said Roach.Roach suggested China should take broad and comprehensive approaches in dealing with inflation, and the medium-term goal of the shifted economic structure need to be maintained."The government has to demonstrate its resolve in dealing with inflation, and property market assets. It's a challenge, but I think the government is up to the challenge," according to Roach.
UNITED NATIONS, Dec. 16 (Xinhua) -- China on Thursday voiced its support for a peaceful and comprehensive settlement of the Darfur issue, saying that efforts should be made to remove the root causes that resulted in such an issue.The statement came as Yang Tao, the counselor of the Chinese Permanent Mission to the United Nations, was taking the floor at an open Security Council meeting on Sudan."Currently, it is very important to maintain security and stability in Darfur," Yang said. "It is hoped that all parties to the Darfur conflict can solve their differences in a peaceful manner through political dialogue, and reconciliation should be achieved and violence avoided.""Achieving substantial result at an early date of the Darfur peace process and reaching a comprehensive political agreement represents a basic guarantee for the long-term peace and stability in Darfur," he said."Without a robust political process, there would be no peace and stability in Darfur, neither would there be the protection of civilians, humanitarian assistance, economic recovery and reconstruction," he said."We once again urged the armed groups which have not yet joined the Doha political process to do so immediately without any conditions," he said.As a mediator of the Darfur peace process, Doha has brokered several rounds of talks between Khartoum and rebel groups over the past years.The Chinese government has decided to make an additional donation of 500,000 U.S. dollars to the UN Trust Fund for the political process in Darfur, he said. "We will continue to work with the international community to contribute to the peace, stability and development in Sudan."

BEIJING, Dec. 24 (Xinhua) -- China's State Food and Drug Administration (SFDA) on Friday moved to overhaul the supervision over country's dairy products in a bid to ensure food safety before the major Chinese festivals.Local food and drug administrations have been ordered to increase supervision over the trade and consumption of diary products and ensure that dairy products are not mixed with non-edible substances or food additives,read a notice posted on the SFDA's website.The SFDA asked restaurants to keep dairy product suppliers' contact information as well as valid documents which could help authorities identify the quality, specifications and expiration date of dairy products.Year-end is always a peak season for the Chinese to dine out, either with families or colleagues. The Spring Festival, or the Chinese lunar new year and the most important festival for the Chinese, falls on February 3.China's dairy industry was marred by a scandal in 2008, in which at least six infants died and almost 300,000 became ill across the country after consuming dairy products tainted with the industrial chemical melamine.To restore consumer confidence, the Chinese government launched a nationwide safety overhaul of dairy products in November 2008.
BEIJING, Nov. 23 (Xinhua) -- China's vegetable prices declined at a faster rate last week as weather remained good and local governments stepped up efforts to ensure supplies.According to a report by the Ministry of Commerce (MOC) on Tuesday, the prices of 18 types of vegetables for the week ending November 21 declined 2.6 percent from the previous week, and the pace of the fall accelerated from the previous week's 0.8 percent.The ministry said that radishes, cucumbers and celery were among the vegetables that witnessed the largest fall in prices, dropping 11.1 percent, 10 percent and 7 percent respectively week-on-week.This was good news for the Chinese government as it strove to ease inflation and keep rising prices in check.China's consumer price index (CPI), a main gauge of the country's inflation, surged to a 25-month high of 4.4 percent in October. Food prices, which account for one-third of the basket of goods used to calculate the CPI, soared 10.1 percent last month.However, according to the MOC report, China's meat and cooking oil prices during the period of November 15-21 edged up because of rising demand. Prices of pork and beef rose 2.2 percent and 0.7 percent respectively, week-on-week.
BERLIN, Jan. 7 (Xinhua) -- China and Germany will ink 8.7 billion U.S. dollars worth of business deals during Chinese Vice Premier Li Keqiang's visit to Germany, Chinese Ambassador to Germany Wu Hongbo said here on Friday.Wu said at a press conference that Li was accompanied by some 120 Chinese business leaders on his current visit. The two sides are expected to sign 11 agreements and commercial contracts worth some 8.7 billion dollars, covering such fields as automobile purchase, financial cooperation, energy and machinery.Earlier on Friday, Li met with German President Christian Wulff and then held talks with Chancellor Angela Merkel.Li told the German leaders that China is a long-term and responsible player in European financial markets. China has increased its holdings of, and will continue to buy Spanish government bonds.Li said China viewed Europe as an important partner and would like to see a prosperous Europe.Li, who started his four-day official visit to Germany on Thursday, is due to meet with German Foreign Minister Guido Westerwelle in the afternoon and attend a signing ceremony of the business deals between the two countries.
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