China announces measures to cut logistics costs

The State Council, or China's cabinet, on Wednesday announced a range of measures intended to cut logistics costs and improve efficiency.

The measures include cheaper electricity and water use for those in the agricultural products' processing and circulation sectors and lower administration fees at farm produce markets.

The measures were unveiled at a State Council executive meeting, chaired by Premier Wen Jiabao.

The meeting agreed to crack down on illegal charges foisted on suppliers by some major retailers and vowed to intensify price monitoring.

It also promised to ensure land supplies for building farm produce markets, improve the statistical system of logistics costs and introduce preferential tax policies for the sector.

In the first 11 months, China's logistics expenditure rose 11.9 percent from one year earlier to 8 trillion yuan (1.27 trillion U.S. dollars), according to statistics released Wednesday by the National Development and Reform Commission.

The State Council meeting also approved a draft regulation regarding the administration of credit industry.