How China Stabilized Grain Prices during the Global Crisis

China has been transformed from a largely centrally planned economy into a market-driven economy since the early 1980s. While markets and market forces have become increasingly important to China's grain and rural economy, government intervention remains significant in agriculture. The Government of China places self-sufficiency in food and/or food security as top national priorities (Lohmar and Gale, 2008). The major food policy objectives of the Chinese government in recent years include food (especially rice, wheat and maize) production, stabilization of prices, a secure urban food supply and higher farm incomes.