Is a 35 yuan price ceiling on vegetables sparking public resentment? The Agriculture and Food Agency: price is not a single indicator
Recently the plum rain has been continuous, and torrential rain has disrupted the pace of production in the fields, also causing vegetable prices to fluctuate. To fill market demand, the agricultural authorities recently released 40 metric tons of cabbage (highland cabbage), yet drew criticism from local areas for suppressing vegetable prices; however, when prices were on the high side, it also sparked public resentment, so adjusting or not adjusting both drew blame. To set a benchmark, the Council of Agriculture pointed out that if the average transaction price per kilogram falls below 20 or rises above 35 yuan, regulation will be activated; it also emphasized that it will further take into account the overall degree of vegetable disaster damage and the impact on supply conditions, and that price is not a single indicator.
Council of Agriculture Deputy Minister Chen Chi-chung: The release of 40 metric tons of cabbage is for processing, not for introduction into the market
Regarding the dissatisfaction caused by the release of 40 metric tons of cabbage, Council of Agriculture Deputy Minister Chen Chi-chung pointed out that it was purely for processing use, and was not introduced into the market to affect overall vegetable prices; in addition, Agriculture and Food Agency Deputy Director-General Su Mao-hsiang also emphasized that vegetables are a freely imported item, with traders adjusting imports according to market supply and demand. The government will not lead vegetable imports, nor has it handled special vegetable import projects. Vegetable production and marketing are adjusted by both supply and sales parties operating according to market mechanisms, and have nothing to do with the government.
As for the remark about a ceiling of 35 yuan per dish of vegetables, Su Mao-hsiang stated that the Agriculture and Food Agency controls 3600 metric tons of rolling-stock stored vegetables, which can be allocated in a timely manner to supply market demand. In order to stabilize post-disaster vegetable prices while safeguarding the rights and interests of farmers and consumers, only after consultation with farmers' groups was it decided to use the average transaction price per kilogram of vegetables at the Taipei Fruit and Vegetable Market as the benchmark; when the transaction price per kilogram exceeds 35 yuan, regulated releases will be made.
Vegetable farmers dissatisfied: When market prices are low it is not handled, but when market prices are high it is suppressed
As soon as these words came out, they immediately aroused farmers' dissatisfaction. Lin Chia-hsin, a cabbage farmer in Yunlin, pointed out that when the market price falls below five yuan, the agricultural authorities do not handle it, but when prices are high they want to reach in and intervene, which completely destroys the market mechanism and leaves farmers unable to make money and losing their capital. If this measure is truly activated, he will call on vegetable farmers to go north to surround the Council of Agriculture.
Another farmer surnamed Tsai, who grows cabbage over a large area, also pointed out that the market itself has its own way of regulating, and that high prices after rain are very normal. What remains harvestable is even more the result of farmers' painstaking efforts. If regulation is to be carried out in this way, how can front-line people be expected to accept it?
Agriculture and Food Agency: Regulation mechanisms will not be activated based only on price indicators
Regarding public dissatisfaction, Agriculture and Food Agency Deputy Director-General Su Mao-hsiang once again stepped forward today to clarify. He pointed out that today the vegetable transaction price at the Taipei market rose to an average of 34.8 yuan per kilogram, an increase of 11.2%, mainly due to the impact of rainfall in production areas. However, the Agriculture and Food Agency will absolutely not decide on regulated releases based only on a single price indicator; rather, it will assess the overall degree of vegetable disaster damage and the impact on supply conditions. Only if vegetable disaster damage is severe and it is assessed that vegetable prices will still be difficult to return to stability in the short term will regulatory measures be activated. Farmers are asked not to worry excessively.