Easing food prices mean China must tackle other inflationary pressures

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July 2008


In Quzhou, a city of 2.5 million in the southwest corner of Zhejiang province, Mr Xu is at the center of a major economic debate. As consumer inflation in China remains high, Xu’s business – pig farming – has attracted the interest of politicians, economists and consumers across the country.

Xu, who raises piglets and sells them while they are still young, was getting about RMB7.5 (US$1.08) per kilogram for each animal in 2006. A combination of fewer farmers raising ...

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