Abstract: Grain storage is an important part of the grain circulation, ensuring grain “well kept” is of great significance to ensure national grain security, to improve the efficiency of grain circulation, and to promote social and economic development. Due to the international macroeconomic weakness and domestic economic restructuring, the domestic grain market showed periodic surplus. In addition, China’s grain storage facilities were not optimally distributed. All these factors caused insufficient total grain storage capacity in China, with serious insufficient capacity in some provinces, not enough matching infrastructure, and outdated technology. It is critical to solve these problems for China’s grain storage capacity. Based on the above analysis, this paper provides the following suggestions to help solve the main problems of China’s grain storage capacity, including increasing investment for grain storage capacity to store the periodic grain surplus; Encouraging value added processing in those main grain producing regions; Constructing the transportation system to connect southern regions and northern regions; And in the long run, continuing the grain circulation system reform, connecting the transportation system between the grain producing regions and consumption regions, and letting the market to lead to the price equilibrium for the grain system.