China stabilizes grain and oilseed production

China is stabilizing grain and oilseed production, diversifying agricultural imports, and increasing support for farmers, state media reported on Tuesday, citing a government rural policy plan aimed at ensuring food security.

The “Document No. 1” of the State Council was released as China prepares its next five-year plan amid trade tensions with major food suppliers such as the U.S. and Canada, a slowing domestic economy, and climate-related challenges.

Although China recorded a record grain harvest last year, it still heavily relies on imports. Trade tensions, particularly with the U.S., have accelerated efforts to achieve self-sufficiency, including investments in machinery and seed technologies.

Focus on diversification

In Document No. 1, diversification is mentioned three times, compared to just once in 2025, highlighting plans to expand oilseed supplies, diversify the food system, and broaden agricultural imports.

According to Even Rogers Pei, director of Beijing-based consulting firm Trivium China, China’s push to diversify agricultural imports could reduce dependence on traditional exporters and expand trade with Global South countries.

“The increased focus on diversification shows that policymakers are increasingly viewing it as a strategy to enhance the security and resilience of China’s food system in the event of disasters or trade wars,” Pei said.

The plan also shifts the focus for soy from consolidating the gains made in 2025 to expanding production capacity, signaling greater attention to yield and quality rather than planted area.

Since the first trade war, Beijing has reduced reliance on U.S. soy, which is processed into feed for China’s large pig herd, while boosting domestic production to strengthen food security. U.S. soy’s share in China fell to 15% in 2025 from 41% in 2016.

Agri-tech innovation

The document outlines plans to support the development of internationally competitive agricultural enterprises, expand exports of key and specialty crops, combat agricultural smuggling, and participate in global agricultural and food governance.

It also includes measures to promote agricultural innovation, including strengthening research platforms, supporting leading agri-tech companies, developing biotech agriculture, integrating AI into farming, and training highly skilled agricultural professionals.

Stabilizing the meat sector

The plan states that China aims to strengthen the management system for pork production, support beef and dairy sectors, and stimulate dairy consumption. The meat industry has suffered from oversupply and low prices, reducing producer profits. The government has implemented measures to stabilize the sector, including beef import quotas and dairy tariffs.

Tags: China, corn, wheat, crop forecast