Commodities

China says key fertiliser firms to suspend exports

Credit: REUTERS/CHINA DAILY

Some of China's key fertiliser companies said they would temporarily suspend exports to assure supplies in the domestic market, according to a statement on the website of the National Development and Reform Commission (NDRC) on Friday.

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BEIJING, July 30 (Reuters) - Some of China's key fertiliser companies said they would temporarily suspend exports to assure supplies in the domestic market, according to a statement on the website of the National Development and Reform Commission (NDRC) on Friday.

The fertilizer firms, which were not named, were summoned by the NDRC for a discussion against hoarding and speculation, the statement said.

The move is the latest by Beijing to tackle soaring prices of major raw materials. Fertiliser prices in China, both a major consumer and producer, have hit records this year amid stronger demand from overseas, lower production domestically and high energy costs.

NDRC's action follows comments from Premier Li Keqiang last month calling attention to the high prices of key farm inputs, a potential threat to the country's food security.

The state planner said it had urged key fertiliser companies to "operate in an orderly manner in accordance with laws and regulations, and must not hoard, drive up prices, or fabricate or spread information about price increases".

It said that the companies had agreed to "temporarily not arrange fertiliser exports to ensure the supply of fertiliser in the domestic market".

(Reporting by Colin Qian, Gabriel Crossley and Dominique Patton; Editing by Christian Schmollinger and Raju Gopalakrishnan)

((Zhecheng.Qian@thomsonreuters.com;))

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