required report public distribution date 3 1 2006 gain number ch6010 china peoples republic of grain and feed annual approved by maurice house us embassy beijing office agricultural affairs prepared kevin latner jiang junyang highlights s total grains output rose in my05 06 over the previous year as a result good weather increased acreage was response to higher market prices since fall 2003 from government support programs eg price supports export incentives direct payment tax corn production for is estimated at 134 million metric tons mmt up percent my06 07 forecast 132 import driven growth livestock sector expanded ethanol wheat be 97 5 rice 182 includes psd changes yes trade matrix ch1 ch table contents situation outlook policy