Practice and Exploration of Rural Reform

Rural Supply-Side Structural Reform and Practice

Proposal of Rural Supply-Side Structural Reform

• Increase in agricultural pollution and agricultural product quality safety issues
• Imbalance in supply and demand of certain agricultural products
• The development of the land transfer system cannot keep up with the scale of agricultural labor transfer
• Lack of competitiveness in agricultural products

Problems and Focus of Agricultural Supply-Side Structural Reform

Problems

• Simultaneous increase in production, import, and inventory of grain
• Concurrent rise in costs of land, labor, materials, and services Focus

1. Addressing three major shortcomings, promoting three major transformations, and driving fundamental changes in the “three rural” areas: The purpose of agricultural supply-side reform is to reform and improve the agricultural economic system, with the goal of maximizing the liberation and development of productive forces. The aim is to improve agricultural supply capacity, level, and quality, and strive to achieve increased agricultural efficiency, increased farmers’ income, and greener rural areas.
   1. Address the shortcomings of agricultural modernization and promote the transformation of agricultural development methods
   2. Address the shortcomings of farmers’ income and promote the transformation of agricultural development goals
   3. Address the shortcomings of agricultural economic system reform and promote the transformation of agricultural development mechanisms
2. Promoting three major adjustments, achieving three activations, and promoting the upgrading of quality and efficiency in China’s agriculture
   1. Three major adjustments: optimize product structure, improve production and management methods, streamline the industrial system
   2. Three activations: activate the market, activate elements, activate entities
3. Handling the relationship between fairness and efficiency in agricultural supply-side structural reform

Reform of the “Three Rights Separation” of Rural Contracted Land and Exploration of the 30-Year Extension after the Second Round of Land Contracting

Three Rights Separation

Collective ownership of land, farmers’ land contracting rights, and land management rights

Basic Connotation of the Three Rights Separation

• Always uphold the fundamental position of collective ownership of rural land
• Strictly protect farmers’ land contracting rights
• Accelerate the activation of land management rights
• Gradually improve the relationship between the “three rights”

Realistic Dilemmas of the Three Rights Separation

1. The property rights trading system is not yet complete, and the grassroots ability to integrate resources and fulfill service functions is insufficient
   1. The grassroots ability to integrate resources in the rural land trading market is insufficient
   2. The service capability of grassroots rural land trading markets is inadequate
2. The rural land financing guarantee system is not yet sound, and credit risks are prominent
   1. Difficulty in liquidating collateral
   2. Immature value assessment system, making it difficult to accurately assess land value
   3. The rural land risk-sharing and guarantee system is incomplete, with low insurance coverage
   4. The rural credit mechanism is not well developed
3. The agricultural industry support system is not well-regulated, and the integration of rural primary, secondary, and tertiary industries is relatively backward
   1. The scale of new agricultural business entities is large, but their strength is weak
   2. The mechanism for linking land value-added benefits needs improvement
   3. The integration of primary, secondary, and tertiary industries is relatively backward
   4. Collective ownership is relatively weakened, inhibiting rural land transfer and large-scale operations
4. The paid exit mechanism for rural contracted land is unclear, and institutional regulations are not well-coordinated

Path Choices for the Three Rights Separation

1. Improve the supervision and management norms of the rural land transfer trading market to ensure that land transfers are conducted in a fair, just, standardized, and orderly market environment
2. Improve the rural land financing risk regulation system to safeguard the interests of both farmers and banks
3. Innovate the rural industry support system and accelerate the formation of a modern agricultural industry system
4. Prudently design the paid exit mechanism for farmers’ contracted land to achieve cross-regional development

Significance of the 30-Year Extension after the Second Round of Land Contracting

1. Conducive to consolidating and improving the basic rural management system
2. Conducive to promoting the development of modern agriculture with Chinese characteristics
3. Conducive to promoting the implementation of the rural revitalization strategy
4. Conducive to maintaining harmony and stability in rural society

Principles for Implementing the 30-Year Extension after the Second Round of Land Contracting

1. Stabilize the basic management system
2. Respect the dominant position of farmers
3. Promote the modernization of agriculture and rural areas
4. Maintain stability in rural society

Policy Connotation of the 30-Year Extension after the Second Round of Land Contracting

1. Maintain the long-term stability of the basic system of collective land ownership and family contracting and operation
2. Maintain the long-term stability of farmers’ basic rights to contract collective land
3. Maintain the stability of farmers’ contracted land

Steady Implementation of the 30-Year Extension after the Second Round of Land Contracting

1. Stabilize land contracting relationships
2. Extend the land contracting period by another 30 years after the expiration of the second round of land contracting
3. Continue to advocate “no increase in land for increased population, no reduction in land for decreased population”
4. Establish and improve the mechanism for the voluntary paid transfer of land contracting rights according to law