The country has given much attention to issues concerning
agriculture, rural areas and farmers since the 16th National
Congress of the Communist Party of China (CPC) held five years ago.
And the four No 1 documents issued by the CPC Central Committee
consecutively offered strategies to solve related problems. A new
situation in rural work and agriculture has been created.
The reform on rural tax and administrative fees was carried out
to reduce the burden on farmers. When the agricultural tax was
abolished last year, a total of 125 billion yuan ($16.6 billion)
was cut annually, with more 140 yuan per capita.
The reform of the grain circulation system has promoted stable
development in production and protected the interests of farmers.
In April, 2004, the State Council decided to fully open the grain
purchasing market and adopted a direct subsidy policy. From 2004 to
2006 the total direct subsidy to farmers was 39 billion yuan. All
these moves have protected the interests of farmers and enhanced
production capabilities. The country's grain production has
increased for three consecutive years since 2004.
Positive changes have taken place in the policies on the
transfer of rural labor. The inappropriate restrictions on rural
laborers working in cities were abolished. An equal employment
system was established. This has vigorously promoted the transfer
and flow of rural labor among different regions. As of last year,
there were about 120 million farmer-turned migrant workers in the
country.
The increasing financial support toward agriculture has brought
vital advancement in rural infrastructure and social causes. During
the 10th Five-Year Plan period (2001-05), the financial support to
rural areas increased by 15 percent annually. The central
government has made it clear that the country's input to
infrastructure construction will focus in rural areas. Free
compulsory education was provided in rural areas in western regions
last year and will be implemented in all rural areas around the
country this year. A new rural cooperative medical system is being
promoted, covering 80 percent of the country's rural areas so far.
It will cover all rural areas next year.
But it should be seen clearly that the agricultural foundation
is still weak and the increase of farmers' incomes is still
unstable. The income gap between rural and urban residents is
widening. Various policies favoring agriculture and farmers are not
institutionalized yet. A long-term mechanism for the industry to
nurture agriculture has still not been introduced. New challenges
have emerged.
First, agricultural development has now entered the stage of a
tight balance between supply and demand. We have to rely on the
international market to meet demand for some important farm
produce.
Second, the development of agriculture and rural areas is still
facing restrictions caused by deep-seated institutional problems.
Farmers' land property rights are not well protected. There are
abuses of the land requisition rights. The compensation is too low,
which harms the interests of farmers. The reform of the rural
financial system cannot meet the rising demand for financial
services in rural areas.
Third, the urban-rural income gap is widening. There is a huge
disparity in the public services enjoyed by urban residents and
their rural counterparts.
Fourth, the resource restrictions on agricultural development
are getting tight. The shortage of land and water resources is
serious. Drought and the lack of water are hindering agricultural
development in many regions. The construction of irrigation
facilities is lagging behind. The quantity and quality of arable
land are both decreasing. Support for the development of
agricultural technologies is not sufficient.
To promote the construction of a new socialist countryside, the
guiding principle of industry nurturing agriculture and cities
supporting the countryside should be insisted upon. We should "take
less" and "give more" to gradually build a unified urban-rural
social economic development system and mechanism.
First, efforts should be made to realize the balance between
grain supply and demand and reduce dependence on the international
market.
Minimum purchasing prices and various subsidy policies should be
introduced. The macro-control on grain export and import should be
enhanced. Domestic bio-fuel production should be controlled. In the
long run, it is the fundamental way to improve comprehensive
productivity. Government input should be increased in the
cultivation and popularization of improved varieties, construction
of irrigation systems, spreading of agricultural technologies and
promotion of agricultural mechanization. Policy support to the
production of animal products should be reinforced.
Second, efforts should be made to promote common prosperity of
cities and the countryside.
China is still in the stage of rapid development which is
producing a great demand for rural labor. From a long-term point of
view, to reduce the number of farmers and the employment rate in
agriculture as well as improve agricultural productivity is vital
to narrow the urban-rural income gap. The rights and interests of
farmer-turned migrant workers should be better protected to
encourage the rational flow of rural laborers to cities. Township
enterprises should be developed to expand non-agricultural
employment for surplus rural laborers.
Third, efforts should be made to respect farmers' democratic
rights.
Farmers' economic interests and democratic rights should both be
guaranteed to promote the construction of a socialist new
countryside. Political construction in the rural areas should be
improved to let farmers be the masters to build and manage the
rural areas. The farmers' democratic rights to vote, to know, to
participate and to supervise should be further guaranteed. The
township governments' social management and public service
functions should be enhanced.
Fourth, efforts should be made to arouse farmers' initiatives in
building the new countryside.
(China Daily October 19, 2007)