ASSESSMENTS

China Political Memo: May 6, 2011

May 6, 2011 | 08:52 GMT

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Summary

While China's urban consumers have felt the pinch of rising food prices, farmers have suffered from extremely low prices in rural areas. Price fluctuations are being exacerbated by weather-related and seasonal factors, pushing the Chinese government to take relief measures, but authorities need to address the structural challenges of rising prices and supply shortages.

As China continues to struggle with inflationary pressures across the economy, seasonal and weather-related factors have exacerbated supply disruptions, posing challenges for agriculture, logistics and ultimately social order....

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