In Defence of Marxism

Food prices have risen 21% in China so far this year, fuelling concerns about inflation in the economy and the affordability of basic foodstuffs. Rising food prices are already provoking major global unrest

The Chinese National Bureau of Statistics issued the figures and also revealed that economic growth slowed to 10.6% from 11.2% in the last three months of 2007. Although still strong, it is the weakest performance in over a year.

The Chinese authorities have been trying to hold back inflation to stop the economy from "overheating". With the already sharp divide between rich and poor, the sudden increase in food prices could push the situation over the edge.

"I am afraid that grain prices will edge up in the months to come as global supply is tight and domestic consumers may resort to panic purchasing in expectation of high prices," said Zhang Shiyuan, an analyst with investment firm Southwest Securities.