China to hold special state grain sales to help decide 2015 import quotas

China will hold a special state grain auction in the second week of January, which industry analysts said would decide which companies get import quotas for 2015. Beijing will only issue import quotas to mills that also buy from state reserves, as it works to reduce record state stocks built up over years of a government stockpiling scheme, industry analysts said.
The volume of imports to be allowed under low-tariff rate quotas for 2015 will be unchanged from 2014. In the January 6-8 auctions the government will offer 2 million tonnes of wheat, 4 million tonnes of short-grain rice and 4 million tonnes of long-grain rice as well as 5 million tonnes of corn from state reserves, the State Grain Administration said in a statement. Delivery of the grains would be from March to May, the administration said.