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2016 | OriginalPaper | Chapter

Enlightenment on India and Japan Grain Safety Policy for China—A Case Study from a Macro Perspective

Authors : Ningshan Xu, Yuduo Lu, Haiteng Wang

Published in: Proceedings of 2015 2nd International Conference on Industrial Economics System and Industrial Security Engineering

Publisher: Springer Singapore

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Abstract

Grain safety, which is closely related to social stability and national security in China, is a great strategy issue with overall importance, and it the following current hot topic is determining how to balance grain import promotion with guaranteeing sufficient supply and grain import limits to guarantee grain safety. This work applied net import data and consumption data of rice, wheat, corn, and soybean from FAO database statistics for India and Japan during 1961 to 2013 to calculate the net import dependence index. It also utilized case analysis method and comparative analysis for discussion of grain-trade features and validity of grain safety protection policies. Research shows that the guarantee of grain safety in China could not only depend on a decrease of grain import but shall disperse countries of origin on the premise that proper import was maintained. This article hereby makes policy recommendation to improve China’s grain-trade pattern and guarantee grain safety based on research conclusions.

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“Grain safety” is a concept of dynamic with continuous evolution. The FAO, based on different history background, proposed a different grain safety concept. In consideration of the feasibility of strategy implementation and convenience of statistical data acquisition, “grain safety” analyzed in this chapter mainly refers to sufficient supply at a national level and specifically measured it through net import dependency index of grain. In addition, “grain” as analyzed in this article, unless otherwise specified, refers to aggregation of wheat, rice, corn and soybean; tuber crop is not included.

Also called as “grain foreign trade dependence” or “grain external dependence.” It refers to the ratio of grain net import to grain apparent consumption and is used to measure net dependency of grain consumption from an external supply. It is also the indicator to measure grain safety dependency ratio on global grain market for one country [1].

Conclusion is calculated based on relevant data in FAO statistical database <http://faostat.fao.org/site/368/DesktopDefault.aspx?PageID=368#ancor> (accessed March 30, 2015).

“Green revolution” refers to the technological reformation activity, which could increase the grain production, when some western developed countries popularized high cereal and agricultural techniques into some areas in Asia, Africa and South America.

This conclusion is calculated based on relevant data in the FAO statistical database <http://faostat.fao.org/site/368/DesktopDefault.aspx?PageID=368#ancor> (accessed March 30, 2015).

FAO STAT <http://faostat.fao.org/site/342/default.aspx> (accessed April 3, 2015).

FAO STAT data shows that Indian grain export takes corn as principle, and net import dependency for Indian corn import is −21.79 %, in the annual report.

WTO. Trade Policy Review: India Revision 2007. <http://www.wto.org/english/tratop_e/tpr_e/tpr_e.htm> (accessed April 8, 2015).

Grain-safety degree is reflected by grain net import dependency: <5 % refers to safety status; 5 to 13 % refers to generally safe status; 13 to 15 % refers to unsafely status; and ≥18 % refers to danger status. This standard was deduced based on safety degree of grain self-sufficiency ratio and relationship between self-sufficiency ratio and net import dependency [4].

For example, in 2003, the recourse country of import for Japan is as many as 208 countries and regions, which include some islands in the Pacific Ocean and Atlantic Ocean.

Refer to “medium and long term layout plan for national grain safety (2008–2020)” published in November 2008 by the NDRC.

For measuring the degree that grain import concentrates in one or some countries of one country, for example, for China, 98.23 % of its rice import volume is from Thailand, whereas 88.78 % of its soybean import volume is from America and Brazil. This shows that grain import concentration degree is rather high for China. (Data from, Agriculture Department, PRC <http://www.moa.gov.cn/fwllm/sjfw/tjsj_1/gjmy/>).

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Limeg Z (2007) Precautionary analysis for agricultural products import and export and agricultural industrial safety [J]. Financ Econ 6:111–116

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Feng L (1997) Comparative advantage and food trade structure—third option for food adjustment policy in China [J]. Econ Res 2:3–11

Title: Enlightenment on India and Japan Grain Safety Policy for China—A Case Study from a Macro Perspective
Authors: Ningshan Xu
Yuduo Lu
Haiteng Wang
Publisher: Springer Singapore
Book: Proceedings of 2015 2nd International Conference on Industrial Economics System and Industrial Security Engineering
Print ISBN: 978-981-287-654-6

Electronic ISBN: 978-981-287-655-3

Copyright Year: 2016
DOI: https://doi.org/10.1007/978-981-287-655-3_31