Government Supports Feed Production     

The Chinese government has strengthened its supports to the agriculture sector in recent years. With the sustained price rise of grain in the world, the price of feed is also increasing. The feed sector in China has a bright development prospect.
   Since 2004 the government has issued documents to support the agricultural development. On March 27th, 2008 the State Council took ten measures in supports of the agricultural development and the grain production. On the basis of the budget of RMB562.5 billion, the agricultural input this year will be increased by additional RMB25.25 billion for the direct subsidy to farmers.
   The demand for meat, eggs and milk continues to increase, with the good product quality. The rapid development of meat, eggs, milk and aquatic products has provided a spacious market to the feed sector. The intensified supervision on food quality and safety is favorable to the sound development of the feed sector.
   The government paid more attention to the protection of ecological environment that has indirectly increased the demand for feed in the market.
   The feed sector of China has set its development targets of annual compound growth being more than 5% from 2008 - 2010. By 2010 the two-shift capacity of compound feed will be around 170 million t/a and the actual output will be 95.0 million tons, the output of concentrated feed will be 30.0 million tons and the output of pre-mixed feed will be 6.0 million tons.