China says earthquake won't affect food prices

The devastated province of Sichuan is an important growing region for rice, wheat, corn and other crops, producing 6 percent of China's grain.

Wei Chao'an, China's vice minister for agriculture, said the earthquake destroyed more than 75,000 acres of farmland in the province.

"This disaster led to serious losses in agricultural production in the affected areas, but the situation of agricultural production across the whole country remains good," Wei told reporters. "Prices for agricultural goods, generally speaking, will remain stable. We have full confidence in this."

Wei said there was enough food to supply the market and affected areas. Authorities have arranged special shipments of fuel, grain and edible oil to prevent shortages.

Consumer prices have jumped across China since mid-2007, driven by rises in food costs that hit 22.1 percent in April. The government has been trying to cool hikes for pork, grain and other items by increasing supplies and has imposed controls on some basic goods.

China's economic planning agency set temporary price caps on basic goods and transport in quake-hit areas to prevent price gouging and hoarding.

The National Development and Reform Commission said Thursday it will control prices for food, drinking water and transport in central Sichuan and Gansu provinces because of rising prices there.