The State Administration of Grain (SAG) is a national administrative agency under the Na-
tional Development and Reform Commission (NDRC), which is responsible for macro-con-
trol of national grain distribution, providing guidelines for the development of grain industry and administrating national grain reserves. The principal functions of the SAG include:

• Entrusted by the NDRC, to study and formulate mid-term and long-term strategies of national grain macro-control, overall balance of supply and demand, grain distribution, grain import and export and deployment of national grain reserves; and to develop and implement the programs for the reform of national grain distribution system.

· To draft laws and statutes, relevant policies, rules and regulations for the nation’s grain distribution and national grain reserves management, and supervise the enforcement; to formulate plans of building facilities for grain distribution, storage and processing; and to raise proposals in regard of setting a framework for grain protective procurement price, protection price and limited market price.

· To standardize and manage the quality of grain products in coordination with the State Bureau of Quality and Technology Supervision; and to establish technical criteria for grain storage and transportation, and supervise the implementation.

· To steer the management of national grain distribution and personnel training of grain sector; to guide and promote technical reform and the spread of new technology; to take charge of relevant financial work; to promote foreign exchanges and cooperation; and to handle the statistic work of grain industry.

· To formulate technical norms for the management of national grain reserves and supervise the implementation; to propose the scale and overall layout of national grain reserves as well as plans for procurement, marketing, import and export of national grain reserves, and supervise the implementation; to supervise and examine the stock, quality and security of national grain reserves.

· To undertake other tasks assigned by the State Council and the NDRC. In accordance with relevant regulations of the State Council, the SAG is also responsible for guiding the business of China Grain Reserves Corporation.