Chinese companies will be encouraged to buy farmland abroad, particularly in Africa and South America, to help secure the country's food supply, a Financial Times report said.

The Ministry of Agriculture has drafted a proposal that would make it government policy to support domestic agricultural companies that want to buy land overseas. According to the paper, Beijing has similar policies to boost foreign investment by state-owned banks, manufacturers and oil companies, but agricultural offshore investments have been limited to a few small projects.

An official close to the deliberations said that it was likely to be adopted. Rising food prices and fears of deforestation might lead to intense opposition from abroad once the plan is approved.

“There should be no problem for this policy to be approved. The problem might come from foreign governments who are unwilling to give up large areas of land,” the paper quoted the official as saying.

China's growing wealth has meant that the country has become less self-sufficient in its food production. As Chinese people get richer, their diets have shifted from the traditional staple such as rice to meat , which requires large amounts of imported feed.

The country is also relying more on imports, with 60 percent of the soybeans it used last year coming from abroad. China is also about to become a net buyer of corn.

China has about 40 percent of the world's farmers but only nine percent of the world's arable land. Chinese experts say the country has no choice but to “go out” because land resources are so limited.

"It will be a win-win solution that will benefit both parties by making the maximum use of the advantages of both sides," Jiang Wenlai of the China Agricultural Science Institute told the Financial Times.