China said it would increase payments to farmers for rice and wheat in order to boost supply and lower inflation, AP reported. The National Development and Reform Commission said that minimum grain prices paid to farmers would rise by up to 9% in order to "raise farmers’ enthusiasm for growing grain." Rice prices will rise by RMB7 (US$1) per 50 kg to as high as RMB82 (US$11.70) depending on the type of rice. Wheat prices will rise by RMB3-5 (US$0.43-0.71) to RMB72-75 (US$10.24-10.70) per 50 kg. The government implemented direct price controls on dairy products, eggs and other food items in January to rein in inflation. However, analysts said the controls could have the possible side-effect of discouraging farmers from raising production, thus pushing prices higher.