Panic Buying Swept China! Empty Shelves in Supermarkets!
Panic Buying Swept China! Empty Shelves in Supermarkets!
China’s Ministry of Commerce urged local authorities to stabilize food supply and families to stockpile daily necessities.
Image from online
A notice from the Chinese government that urged households to stock up on daily necessities ahead of winter in case of emergencies and food shortages has sparked widespread concern online.
The Ministry of Commerce told local authorities to stabilize food supply and prices, including vegetables, meat, and cooking oil in preparation for the coming cold months, according to the statement released on Monday evening.
“Families are encouraged to store a certain amount of daily necessities to meet the needs of daily life and emergencies,” said the ministry.
The notice sparked panic, with people linking it to the widening coronavirus outbreak, a forecast cold snap, or even rising tensions.
Panic buying has been seen in many areas since the notice, people storing 600 jin (300 kilograms) of rice seems ridiculous. But those empty shelves in supermarkets have proven people's worries and fear toward such a directive.
Spreading pandemic?
State media urged calm, and Zhu Xiaoliang, a senior commerce ministry official, told CCTV that “the supply of daily necessities is sufficient everywhere,” but different explanations for the notice were offered.
The Economic Daily, a state-backed newspaper, warned residents not to have "too much of an overactive imagination", stating that the directive was driven by the recent outbreak of COVID across the country and was only intended to ensure people could feed their families in case of a lockdown when disease prevention went downhill.
Or Natural disasters, the downhill weather, and power shortage?
Some claim that the commerce department frequently issues such warnings in the weeks leading up to national holidays, while the People’s Daily claims that the ministry issued its instruction earlier this year in response to natural disasters, a spike in vegetable prices, and recent Covid cases.
The weather has been a significant concern in China. China Meteorological Administration (CMA) warned last month of a La Nina weather pattern which has already brought in the first round of cooler weather.
Temperatures across China are plunging, and the power crisis is worsening as demand for electricity generation ticks higher, straining coal supplies. However, on Tuesday, China National Radio quoted Vice Premier Han Zheng, who said coal-fired electricity generation should be normalized, which means power rationing across 20 provinces and regions making up more than 66% of the country’s GDP should subside.
Extreme weather in early October also destroyed crops in Shandong – the country’s largest vegetable growing region – threatened to disrupt food supply chains. At the end of October, broccoli, cucumbers, and spinach prices more than doubled in weeks.
Or current tensions?
Part of the concerns and speculations include that the directive of stockpiling was related to rising tensions within regions and some countries. According to the report, related hashtags were viewed more than 18 million times.
“As soon as this news came out, all the old people near me went crazy panic buying in the supermarket,” wrote one user on Weibo.
So, is there a real need to stockpile, or else, can we still buy daily necessities?
No matter what the reason is, that people generally panic buy for a directive as such is possibly even sending prices of goods through the roof. With those of vegetables have already been over the top due to the extreme weather, who are now paying the cost?
Let's take a look at China's responses first. Apart from the previously mentioned warning from state-owned media, China is trying its best to take action to guarantee the supply.
1. More vegetables stockpiled in state-owned freezers
The commerce ministry told local governments to purchase vegetables that can be stockpiled in state-owned freezers to provide adequate supplies if shortages develop.
2. Vegetable reserves to be released when there's food inflation
According to a state TV report late on Monday, China also plans to release vegetable reserves “at an appropriate time” to prevent soaring food inflation.
3. With power shortage problems under control, no need to overthink the supplies
In addition, as we analyze in our previous article, as China is on the way to building more power stations, natural disasters and power shortages would not result in a condition where people got no food or other daily commodities (your delivery might be delayed sometimes though, but mostly something like that).
In a word, the directive is no other than a sort of preemptive strike. As an old saying in China tells, it's better to nip in the bud. So, stop letting your mind be filled with those unthoughtful online comments written out of panic and join that queue of driving up prices of the goods. There is never a need.
Source: China's Ministry of Commerce, The Economic Daily, South China Morning Post, Insider Paper, people.com, 三联周刊 , 极目新闻
Any questions about living in China?
Ask AnyHelper!
Follow AnyHelper and ask your questions now!
If you have any questions about China visa applications(work visa, PU letter, company registration and more), please contact our visa consultant Anna (WeChat ID: AnyHelper_Anna).
You Might Also Be Interested In
PU Now Available to Foreign Family Members (Vaccinated)！
New China Visa Policies Update in Oct.
Promotion Services for expat-friendly businesses. Learn more by contacting us.
We have 30+ advisors so far,
Scan code above to view more advisors for other fields!
Get news, tips, and events in China
Connect with expat communities and industry experts
Click "Wow" if you like this article