China announced on Wednesday that it is raising its annual grain production target to approximately 700 million metric tons for 2025, marking a significant increase from the previous year’s goal of 650 million tons.
This move is part of broader efforts to strengthen food security as tensions with trade partners continue to escalate.
The world’s largest importer of agricultural products, China imported over 157 million metric tons of grains and soybeans in 2024 but aims to reduce its reliance on imports, particularly from the United States and Brazil. As part of these efforts, the Chinese government has allocated 131.66 billion yuan ($18.12 billion) for its agriculture stockpiling budget in 2025, up 6.1% from the previous year.
Additionally, 54.05 billion yuan will be set aside for agricultural insurance subsidies.
The new grain production target follows a record 706.5 million metric tons harvested in 2024, with the government citing improvements in farmland management, technology application, and food security measures as key drivers for future success. The 2025 target is seen as a “bottomline goal” and is considered achievable, given the record harvest of the previous year.
China has set an even more ambitious target to increase domestic grain production by 50 million metric tons by 2030, aiming for a harvest of 745 million metric tons. The country also plans to provide greater support for the cattle and dairy industries, which have been struggling with oversupply issues.
In its ongoing effort to safeguard food security, China will enhance the construction and connectivity of storage facilities for grain, cotton, sugar, meat, and fertilizer. These steps are part of the broader strategy to reduce vulnerability to external trade disruptions, particularly as China faces ongoing trade disputes with the U.S. and other countries.
In addition, China plans to expand insurance coverage for soybean farmers, encouraging them to grow more oilseeds and reduce the use of imported soybeans by exploring alternative feeds like rapeseed and cotton meal. The government also aims to stabilize the production of sugar, cotton, and natural rubber while refining its grain pricing mechanisms and introducing a minimum purchase price policy for rice and wheat.
These moves highlight China’s efforts to bolster domestic food production and reduce its dependence on international markets, amidst increasingly complex geopolitical challenges.
