Beijing Orders Release of Food Reserves: Fearful...

Beijing Orders Release of Food Reserves: Fearful about rising inflation, the Chinese government told authorities in the country’s biggest cities to release reserves of meat, sugar and vegetables in a bid to halt soaring food prices, the official China Business Times reported. Simultaneously, Beijing has introduced de facto price controls on a range of vegetables and threatened to investigate merchants who charge more than 10% above an official “reference price,” the paper said. Beijing is concerned that rising food prices could push the inflation rate back up and threaten social instability. In July, China said retail prices were 21.4% higher than the previous year, up from the 20% increase recorded in the 12 months to June.