Two large food suppliers in Shenzhen will need to seek provincial government approval before raising prices, days after China moved to exert greater control over food prices.

Kerry Oils & Grains China, manufacturer of cooking oil brand Arowana, and Shenzhen-based Chenguang milk, are on a list of enterprises required to submit proposals to raise prices to Guangdong's pricing authorities for official approval 10 working days before the intended price increase.

A Shenzhen supplier of liquefied petroleum gas (LPG) was also ordered to notify the government within 24 hours of a price rise of more than 4 percent.

The list included products and major producers of grain, edible oil, pork, milk, eggs and LPG - widely used in China for cooking - and other unspecified "important goods" in Guangdong, according to a Daily Sunshine report yesterday.

Those listed will be closely monitored to make sure prices don't rise excessively.

The National Development and Reform Commission (NDRC), China's top economic planner, announced last Wednesday that large food producers, along with those involved in the production of milk, pork, mutton and eggs, must complete an official application before raising prices.

Price controls will remain throughout the spring planting season.

(Shenzhen Daily January 24, 2008)