Change to salt practice
Print Edition
CHINA is to shake up the state monopoly on production and sale of table salt, dismantling a system that has been in place for more than 2,000 years.
Salt producers will be able to determine their own production scale and market salt directly, rather than selling only to state distributors, while price controls will be scrapped in 2017, said a State Council statement.
Under the current system, Chinese firms are licensed to produce and distribute table salt and operate under a national quota scheme.
The statement said the government will not approve new producers and wholesalers in the business, but encourage current entities to reorganize via mergers and acquisitions, drawing in private capital.
It said that under emergency circumstances, the government will intervene to ease price fluctuations while official and enterprise reserves will be released to ensure a stable supply.
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