From: news.xinhuanet.com
January 15, 2008 01:08 Beijing Time
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    BEIJING, Jan. 14 (Xinhua) -- China is giving farmers a 13 percent subsidy for home appliance purchase in effort to stimulate sluggish rural consumption and reduce the increasing trade surplus.

    The central and local governments will pay 80 and 20 percent respectively of the subsidy, the Ministry of Finance (MOF) said Monday.

    Recently, a pilot program was initiated in three major agricultural provinces -- eastern Shandong, central Henan and southwestern Sichuan -- where farmers who bought televisions, refrigerators and mobile phones could receive such a subsidy, the MOF said on its website.

    China currently gives a 13 percent tax rebate to household electrical appliance exporters. Now, the government will give farmers this benefit to improve their life quality.

    Though consumption is playing an increasing role in China's econo...

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