02/07/2008 (Bernama), Beijing - China, the world's largest vegetable oil importer, will begin tracking imports of six edible oil commodities including soybeans and palm oil from Aug 1 to manage supplies as it battles inflation fuelled by rising food prices.

The information will be compiled and posted every half month on the website of the Commerce Ministry, said a ministry website. In the list are soybean, rapeseed, bean oil, palm oil, rapeseed oil and soybean meal.

"In recent years there are frequent fluctuations in the international agricultural market...some of China's enterprises lack experience in the international market and information is not comprehensive enough," the ministry said. This resulted in disorders, losses, international trade disputes and is a waste of manpower and resources, it said.

Under the new management measures, all traders are required to report details and delivery of shipments to the China Chamber of Commerce of Import and Export of Foodstuffs, Native Produce and Animal By-Products. Those who refused or provide fake information would be given warnings or fined up to 50,000 yuan by the National Bureau of Statistics and may be banned from foreign trading for one to three years by the Commerce Ministry.

China, which imports 60 per cent of its edible oil, is fighting to push down inflation that remains at a high of 8.1 per cent in the first five months of the year. Last month, it abolished export rebates on edible oils to drive down domestic prices.

In 2007, rising domestic prices increased China's edible oil imports by 25.2 per cent to 8.4 million tonnes while exports plunged 58.3 per cent to 166,000 tonnes. Malaysian edible oil exports to China, mostly palm oil, increased 7.2 per cent to 3.6 million tonnes to China, state media reported.

China relies heavily on imports to produce soy oil, purchasing 30.8 million tonnes of soybeans last year, about double its domestic production.