(Yicai Global) March 25 -- World commodity prices have jumped and the United States has approved a massive fiscal stimulus. But in response to the global inflation China’s top economic planner said there is no overall change or trend in the supply and demand of commodities.

In consequence, there is no basis for long-term gains in commodity prices, the National Development and Reform Commission has said, according to a CCTV report today.

China has ample macro policy space, strong domestic market support, and sufficient resilience and potential for economic development, the report said, citing Peng Shaozong, deputy director of the NDRC’s prices department.

The country also has enough industrial and agricultural production capacity and abundant supply, which have laid a solid foundation for the stable operation of prices, Peng added.

Chinese foodstuffs and services account for a high proportion of the consumer price index and are less affected by international factors. Gains in food costs have fallen back, and service prices have been relatively stable of late. Pork prices are also expected to return to normal levels with the recovery in hog rearing.

China has a huge industrial system, a long industrial chain, and fierce competition in the industrial consumer products market. The transmission effect of upstream costs to downstream has been weakened and consumer product prices are expected to be less affected, Peng said.

Based on a comprehensive judgment, China’s consumer inflation will be about 3 percent this year and the consumer price index will run in a relatively moderate range.

Editor: Peter Thomas