Chinese authorities have purchased 110,000 metric tons of wheat from farmers as of Tuesday, according to China Grain Reserves Corporation Group, which manages the national grain reserve.
The group has launched wheat purchasing ahead of the summer grain harvest in the provinces of Hubei, Jiangsu, Henan, Shandong, and Anhui, Paper.cn reported.
The 110,000 tons of wheat were purchased at prices of 3,000 yuan to 3,100 yuan ($449 to $464) per ton, higher than the minimum purchasing price set by the agriculture authority.
Buying the wheat will help farmers increase their incomes in a harvest year and drive market purchases. Before the acquisition, the group prepared granaries with a total storage capacity of 40 million tons of grain and deployed personnel and equipment to support the facilities.
The maximum volume of daily acquisition will be 100,000 tons, an official with the group said.
Digital technologies are being used in the storage process to save farmers time and effort, the group said.
