Coordinated Mechanism and Market-Oriented Strategies for Inter-Provincial Horizontal Interest Compensation in Grain Production and Consumption Areas
Ensuring national food security and securing the staple food supply for the Chinese population are fundamen-tally determined by the large-scale demographic context of the countryDespite China's consistent grain harvests,ample reserves,and sufficient supply,as well as minimal impact from international market fluctuations,challenges in domestic production and distribution present significant risks to national food security.In particular,inter-regional frictions and imbalanced interests warrant close attention.To address this,establishing an inter-provincial horizontal interest compensation mechanism for grain production and consumption regions is essential.This mecha-nism should adhere to the principles of"benefit from production,pay for consumption"and"beneficiaries provide compensation",with a focus on creating a"dual incentive"system to engage both major grain-producing and con-suming regions,thereby sustaining the core of national food security.Implementing coordinated mechanisms and market-oriented strategies,such as regional production and sales balance orders,auctioning of planting area indica-tors,indicators auction for aligning grain reserves and import quotas,and market-oriented operational scheme coor-dination package,will be instrumental in developing an effective inter-provincial horizontal interest compensation mechanism.This approach will help ensure equilibrium in grain production and sales between provinces and safe-guard national food security.