Research On The Distribution Of National Grain Reserves

Since2000, grain production in China has been increasing for eight consecutive years and created an unprecedented "Eight consecutive". The overall food supply exceeds demand and China has adequate State Grain Reserve. However, there are still some serious problems about grain production. Farmers get relatively low income from grain production; cultivated grain area is declining Year by year. Although grain yield per unit area has been improving, there is no guarantee that grain output increment is always higher than the reduction in yield caused by the declination in arable land, which means that the trend of grain production decreasing may also rise up and will lead to substantial fluctuations of grain prices. During harvest years, in order to protect national food security, to ensure farmers’grain yield, the government tend to adopt the price-limit policy Then the overall grain supply exceeds demand. In order to stabilize the local market price and constrain fluctuations, the government will acquire excessive food for reservation or export. It is generally believed that the grain reserve is a key way to ensure food security in China. But what really matters is. how much grain reserve and what grain varieties are needed, who is in charge and how to do this properly. This is difficult but worthy being study. Food reserve has always been the major concern of China government. Since the liberation, the state government has always held national grain storage to stabilize prices, and prepare "Jiazi" grain against natural disasters,"506" strategic commissariat reserve, and have collective reserves of farmers in1963, special food reserves in1990and now has established China Grain Reserves Corporation. However, there are still a lot of drawbacks China’s grain reserve systems.This paper mainly discuss optimal grain reserves layout for China’s food security. Starting with the current situation of grain security, the author will analyze food security with security indicators through the combination of scholars, such as the fluctuation coefficient of grain production, total grain production, per capita food production, food self-sufficiency ratio and food inventory safety factor analysis. The results show that, in general. China’s food supply and demand has achieved a balance or slightly surplus. But grain production regional center has gradually shifted from south to north and from east to the middle area. The current commissariat circulation pattern also exhibits the trend of "carrying boreal grain to austral " and" carrying middle grain to West." Local food supply and demand still have some problems. Once supply and demand gap of one food variety emerges, for example, urban population mainly depends on rice which is in short supply where market becomes more sensitive, there will be fierce price fluctuations. According to cobweb model, grain has higher price elasticity of supply than demand price elasticity. The cobweb model performance is divergent, namely that the price fluctuations will lead to greater changing of grain production and price, which will produce great impact on the grain yield and security. The policy of grain reserve, through timely and instant control the grain circulation on the market, can stabilize grain price fluctuation and make sure steady farmer income and food security. However, the commissariat reserve in China has problems, which, to a certain extent, impede effective performance of reserve system function.In recent years, many scholars have done researches about commissariat reserve with lone-pages papers, but basically they focus on the grain reserve system, grain circulation system, grain reserve scale and commissariat reserve targets, and part are farmer reserve and reserve layout research. As there is less China’s grain Reserve layout study, comparatively consensus has never been made. Based on those study results, through the public economic theory analysis, this paper will focus on grain reserves and reaches a conclusion grain reserve is a public goods. according to the public financial theory, government fiscal theory and based on the centralization and decentralization mode of government, the author believes China commissariat reserve should be optimized from three perspectives, namely central area-Local area, production area to sales area and grain variety to perfect commissariat reserve layout system.The structure of this paper is as followings:The introduction part mainly discusses the research purpose, research background, significance, contents and methods of the paper. This part will also present the current research results of domestic and foreign scholars in food safety and commissariat reserve. At last, the author makes proper analysis and elaborates the innovation and inadequacy of this paper.The first part is the second chapter. This part mainly introduces the related concept and basic theory of the grain safety and commissariat reserve. Then, the paper brings in public goods theory, intergovernmental fiscal relation theory, the principal-agent theory and the cobweb theory, providing theoretical basis for in-depth analysis of commissariat reserve properties, grain reserve supply mode, the contradictions of existing grain reserves and commissariat reserve function.The second part is the third chapter. This part mainly analyses existing problems about China’s grain security with relative indexes which the existence of the problem. By establishing the cobweb model and government reserve supply and demand model, the author explains China commissariat reserve and put forward optimization principles for grain reserve optimization based on public goods theory and government fiscal relationship theory.The last part is fourth, five, six ot seven chapter. This part mainly discusses the central-local reserves, production area-area reserves and breed reserve undertaken, trying to find the problems and deficiencies. The author puts forward targeted suggestions. The paper finds out it’s necessary to maintain symmetry and harmony of commissariat reserve area layout and breed structure and the structure of grain production and consumption structure of residents for realizing the pertinence and validity of reserve protection mechanism.