Over 200 villagers in the eastern port city of Wenzhou rallied Monday morning to protest compensation issues over the local government's acquisition of their aquaculture mud flats, said authorities with local government.

The villagers from Longgang township raised banners on streets in Cangnan county calling for greater transparency of the compensation fund, said Huang Shoulong, county party secretary of Cangnan.

Last year, the local government acquired the villagers' aquaculture flats to make way for construction projects.

Initial protests over the compensation fund began late last year, Huang said.