Research On The Impact Of The Purchasing And Storage Policy Reform On The Distortion Degree Of Maize Price In China

Ensuring food security is the focus of the current state and people’s attention.The implementation of the policy to support grain prices effectively increased farmers’ enthusiasm for production and ensured the stability of grain supply and industrial security.As one of the three major grains in China,the purchase and storage system of corn mainly includes the temporary purchase and storage policy and the policy of "separation of price and compensation",which is a kind of price support policy different from that of rice and wheat.Due to the implementation of the reform of the purchase and storage system in 2016,the temporary purchase and storage policy of corn was cancelled,and the policy of "separation of price and compensation" began to step on the historical stage.Although studies have shown that the temporary purchase and storage policy will lead to policy distortion of corn price,and the policy of "separation of price and compensation" can promote the corn price to return to a relatively reasonable level,such studies are mostly limited to qualitative analysis.In view of this,this paper raises the following questions: How does China corn price and its distortion change? What is the effect of the temporary purchase and storage policy on the distortion degree of corn price in China? How does the policy of "separation of price and compensation" affect the distortion of corn price in China?Based on the above considerations,this paper,based on the price theory and distortion theory,calculates the degree of corn price distortion in 20 major corn producing provinces in China from 2004 to 2020 through the innovative application of stochastic frontier cost function.In addition,the difference of difference method,panel fixed effect model and spatial Dubin model were used to investigate the effects of temporary purchase and storage policies and "separation of price and supplement" policies on corn prices in China.Finally,the influence of the reform of purchase and storage system on the distortion degree of corn prices in China was comprehensively analyzed,in order to provide reference for the improvement and perfection of relevant policies in the future.The main findings of this paper are as follows: First,the selling price of corn production in China has obvious agglomeration and "high in the south and low in the north" in the spatial distribution,and the distortion degree of corn price is high,and the fluctuation between different years is significant.Second,the implementation of the temporary purchase and storage policy significantly intensified the distortion degree of corn price in the areas where the policy was implemented and the surrounding areas where it was not implemented.Third,the "separation of price and compensation" policy helps to alleviate the distortion degree of corn price in the areas where the policy is implemented and the surrounding areas where it is not implemented.Based on the above research conclusions,this paper puts forward the following policy suggestions: First,we should grasp the spatial distribution of corn prices and give play to the advantages of corn production in different producing areas;Second,we should pay attention to the detailed supplement of supporting policies,and promote the establishment and improvement of corn price support policies.Third,we should continue to deepen the reform of the corn purchase and storage system and accelerate the market-oriented reform process.