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BEIJING, March 25 (Xinhua) -- Local authorities in southwest China are moving to clamp down on food price hikes as the worst drought in decades shows no sign of easing.Authorities in Guiyang, capital of the poverty-stricken mountainous Guizhou province, have indicated they would step up price monitoring and crack down on price gouging.Vegetable vendors will be fined up to 100,000 yuan (14,650 U.S. dollars) if they are found involved in jacking up vegetable prices. The maximum fine for businesses is 1 million yuan.In Kunming, capital of the hardest-hit Yunnan province, the local government is monitoring food prices and supply on a daily basis. Local price control and industry and commerce authorities have launched campaigns to crack down on food hoarding and price gouging.Local governments in their neighboring regions have taken similar measures to prevent huge rises in prices of grain, edible oil, and vegetables.The dry weather has been ravaging southwest China for months, affecting 61.3 million residents and 5 million hectares of crops in Guizhou, Yunnan, Sichuan, Chongqing, and Guangxi.The worsening drought has damaged wide swathes of vegetables and sparked sharp price hikes. Many vegetable prices have more than doubled.Hou Junfa, a purchasing manager in a hotel in Nanning, capital of Guangxi, said vegetable prices continued to surge even after the Chinese Lunar New Year when prices usually fall.Wang Wenying, a wholesaler in Nanning, said that prices of onion and potato continued to rise because of output declines in Yunnan, a main vegetable producing region.The price hikes have resulted in increases in household expending.A local resident in Nanning, surnamed Yang, said he spent five yuan more on vegetables than a month ago.Some residents choose to buy cheaper vegetables to cut household expending.Amid other efforts to curb huge price rises, the local governments have also started importing vegetables from non-drought-stricken regions to increase supply.Authorities in Kunming earlier in the week bought 250 tonnes of wax gourd, pumpkin, and eggplant from other regions to ease supply shortage in local markets.Prices of grain, including the staple food rice, has recorded relatively moderate gains of about 10 percent.Some sellers, taking advantage of the lingering drought, have started increasing their rice prices in some cities.The drought has caused speculation of further inflation rises as it has damaged hundreds of millions hectares of crops and disrupted spring planting as well.But prices are expected to stabilize as grain is being sent to the drought-stricken regions. China has sufficient grain stock after six years of bumper harvests."The drought has limited impact on China's grain output as the five regions account for a small portion of the country's total output," according to a research note of Dongxing Securities.In addition, the main grain production base in the Northeast is seeing better weather conditions than this time last year.The disaster, however, is set to reduce production of fresh flowers and sugar cane as Yunnan and Guangxi are the main producers of the crops.Retail prices of fresh flowers, as a result, have risen by about 50 percent in many Chinese cities.The decline in sugar cane production would cause China's white sugar output to decline to 11 million tonnes this year, 9 percent lower than the projection in November, the China Sugar Association said.The drought, the worst in 100 years in Yunnan and parts of Guizhou, would likely to continue till May as no substantial rainfall was expected ahead of the raining season, according to meteorological agencies.It has left 18 million residents and 11.7 million head of livestock in the region with drinking water shortages and caused direct economic losses of 23.7 billion yuan, the Ministry of Civil Affairs said Wednesday in a statement.(Xinhua correspondents Wang Mian in Guangxi, Li Qian, Li Huaiyan in Yunnan, Wang Li in Guizhou also contributed to the stroy.)
LOS ANGELES, June 4 (Xinhua) -- U.S.-China relations are improving on the back of their need for mutual support after undergoing a rocky period earlier this year, U.S. Congressman Adam Schiff said here Friday.The bilateral relationship came under pressure due to U.S. arms sales to Taiwan, the ** Lama's U.S. visit and tensions in the Korean Peninsula, but the overall situation was good and the bilateral cooperation was at a very high level, the Democratic congressman from California told a Chinese press club luncheon.Schiff said he didn't think the current tensions on the Korean Peninsula would have a serious impact on U.S. relations with China.He said both countries needed each other's support in forums such as the six-party talks to resolve the issue of nuclear proliferation on the peninsular.The United States also needed China's cooperation in developing alternative and green energy. The two nations could not simply compete with each other on this front, but needed to learn from each other, he said.Schiff sponsored the Nuclear Forensics and Attribution Act to strengthen the U.S. Department of Homeland Security's efforts in developing techniques for "fingerprinting" nuclear material and encouraged U.S. President Barack Obama to negotiate international agreements to govern international nuclear forensics activities.Schiff is also leading the effort to combat intellectual property theft. He is a co-chair of the Congressional International Anti-Piracy Caucus, a bipartisan group of House and Senate lawmakers dedicated to working with America's international trading partners to secure the enactment of strong copyright laws as well as their vigilant enforcement.Schiff said Hollywood movies are popular in China and the movie industry is one of the few sectors enjoying a trade surplus.He said it was important for the U.S. to strengthen its efforts to fight piracy, admitting that in this field, the United States and China had many concerns.

BEIJING, April 11 (Xinhua) -- Although China registered the first monthly trade deficit last month in six years, that would be temporary as the demand for imports is likely to ease with the expected moderation in domestic fixed asset investment, said an economist of JP Morgan Chase."With an anticipated recovery in developed economies this year, Chinese exports should improve gradually over the coming months," said Jing Ulrich, chairman of China Equities and Commodities of the U.S. bank in a research note Saturday.That will be proved by the forward looking new export orders component of China's official PMI (Purchasing Managers's Index) which increased to 53.7 in March from 50.3 in February, she said.China reported trade deficit of 7.24 billion U.S. dollars in March, the first since April 2004, as exports rose 24.3 percent year on year, while imports jumped by 66 percent."The pace of China's export recovery and dynamics of imported inflation will shape the country's approach towards currency valuation. A return to the policy of gradual RMB appreciation would allow China to mitigate imported inflation and promote domestic consumption by boosting household purchasing power in local currency terms," she said.She noted that in the longer-run, more flexibility in China's currency regime would allow the central bank to set monetary policy with greater independence from the U.S. Fed Reserves.
XINING, April 25 (Xinhua) -- China's health authorities have stepped up measures in preventing epidemics in northwest China's Qinghai Province where at least 2,192 people died since the April 14 quake, the provincial government said Sunday.More than 400 people are working to prevent epidemics. They are monitoring infectious diseases, water quality and food safety. No epidemic outbreak has been reported so far, said a spokesman with Qinghai's public health department.The epidemic prevention workers have so far disinfected 1,597,000 square meters of area and 6,600 tents, he said. Rescuers carry an injured to an aircraft at an airport in quake-hit Yushu County, northwest China's Qinghai Province, April 22, 2010. The injured people were continually transported by aircraft from quake-hit Yushu County to Xining, capital of Qinghai, on Thursday.A total of 745 hectares of land have been examined for plague, which hit the province in August 2009.The public health authorities have also held health education sessions for 52,400 people in the quake-hit zone, he added.
TASHKENT, May 3 (Xinhua) -- Regional financial cooperation in East Asia has made active progress over the past year, Chinese Finance Minister Xie Xuren said after meeting with his counterparts from countries in the region.In particular, achievements were made in establishing the regional multilateral financial assistance mechanism and in promoting an Asian bond market, Xie told Xinhua on Sunday after attending the finance ministers' meeting of the Association of Southeast Asian Nations, plus China, Japan and South Korea (ASEAN+3) here.Xie said all parties concerned reached further consensus on basic parameters of a regional economic surveillance unit at the meeting.Uzbek President Islam Karimov(L) shakes hands with Chinese Finance Minister Xie Xuren in Tashkent, capital of Uzbekstan, May 3, 2010. The unit is responsible for monitoring the countries' economic and financial situations and providing advices for the regional foreign currency reserve pool, known as Chiang Mai Initiative Multilateralization (CMIM) that formally came into effect on March 24, 2010.The ASEAN+3 meeting also announced the setting up of a regional credit guarantee and investment fund with an initial grant of 700 million U.S. dollars, in an effort to promote the issuance of bond in domestic currencies within the region, Xie said.The finance ministers also agreed to create a working group to discuss future strategic fields for regional financial cooperation.
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