China will keep grain output above 500 million tonnes in 2008, as the world largest rice producer and consumer tries to cope with rising global grain prices.

The Chinese Ministry of Agriculture says this week, that the country produced over 502 million tonnes of grain, almost level with the nation's annual consumption of 510 million tonnes.

The Ministry says China will strive to stabilize full-year grain output, and strictly control the development of biofuels to protect the country's grain supplies, and arable land banks.

It adds the country still have to be highly alert to potential imported grain prices rises and unusual change in grain imports and exports.