Policy losses refer to the losses incurred by enterprises due to national price restrictions and other reasons in the process of realizing the social public welfare service objectives stipulated by the government and producing and operating certain commodities in order to ensure the coordinated development of the national economy and the stability of people's life. Such losses shall be reasonably compensated after being reviewed by the financial department.
The state issued the policy of raising the minimum purchase protection price of wheat. In order to explore the market, a grain and oil enterprise snapped up a large number of wheat and sold a large amount of flour below the market price, resulting in losses is a policy loss according to the above definition.