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Survey: Rising food prices upset consumers

By Song Hongmei (Chinadaily.com.cn)
Updated: 2007-07-16 17:21

Going against the trend, 59.2 percent of those polled said the bullish stock market has had no impact on them and 44.6 percent said the national average income rise has nothing to do with them.

However, nearly 78 percent agreed that higher grain and pork prices have definitely caused the rise of their living costs.

According to the survey, high income earners benefit more from the stock market and middle and low income earners are more sensitive to the rise in consumer goods.

Among respondents with a monthly salary of more than 6,000 yuan, 37.4 percent have gained from the stock market and 43.4 percent benefited from the wage rise. Among respondents who earn less than 1,000 yuan a month, 9.6 percent have seen returns from stock investments and 20.6 percent are beneficiaries of the rise in wages.

Government measures

The recent rises of food prices have increased farmers' income and raised the living cost of most people as well, said an official at the pricing department of the National Development and Reform Commission last week.

He said the government will take measures to relieve the impact of rising food prices on the lives of low-income people.

On July 3, the pricing authority of the Lanzhou municipal government ruled that the price of a regular bowl of beef noodle, a regular meal of the Northwest China city's residents, should not exceed 2.50 yuan.

Criticizing the local government, China's top economic planner and commentators on traditional and modern media outlets across the country tagged the Lanzhou authority as a violator of market rules.

However, 81.9 percent of respondents said yes to the decision of capping the price of beef noodles. The less the respondents earn, the stronger their support seems to be.

"I disapprove of the measure taken by the local government, but I applaud its aim. Food prices should not rise any longer," said a respondent.


(For more biz stories, please visit Industry Updates)

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