Leading enterprises have arrived. What have farmers gained?

Editor's note: In recent years, in the course of developing modern agriculture, various localities have, through means such as attracting investment and building industrial parks, introduced a number of leading enterprises in agricultural industrialization. These enterprises have brought capital, technology and equipment, brought advanced production models and management concepts, and at the same time have brought farmers orders and provided employment.

However, in some areas there has also been a situation where the interests of enterprises and farmers are not closely linked. How can this situation be avoided? How can farmers' interests be protected in the process of agricultural industrialization? Recently, reporters from this newspaper traveled to Shandong, where the degree of agricultural industrialization is relatively high, to visit enterprises and farmers and see how farmers benefit from the industrial chain.

Late in the year and deep in winter, this should be the slack farming season of the year. But in many rural villages in Weifang City, Shandong Province, some farmers have not only not taken a break, but are busy running around.

This contrast stems from the rising tide of agricultural industrialization. Agricultural enterprises emerging one after another are like flying fish, constantly chasing the tide and settling in rural areas. These "outsiders" have broken the traditional model of rural and agricultural production and operation, leaving farmers feeling very fresh.

However, no matter what the arrival of enterprises may change, what farmers care about most is: what can the arrival of enterprises bring them?

They can both collect rent on the spot and work nearby or away from home

Less than two kilometers from the seat of the town government of Tangwu Town, Changle County, a melon and vegetable base covering more than 500 mu has been more than half completed.

55-year-old Liu Mengshun is busy directing the construction team's workers. At the northernmost edge of the base is the 2 mu of land he once farmed for most of his life. "The land is good land, guaranteed harvest in drought or flood, all 'one-ton grain fields.' In the past I just planted some wheat and corn, and over a year the gross income was about 3,000 yuan, just enough that I wouldn't go hungry."

At the time, when he heard an enterprise was coming to transfer land, Liu Mengshun did not hesitate at all and signed the contract readily. "Of course I was willing to transfer it. For 2 mu of land the annual rent is 2,000 yuan, and I don't have to worry about anything. I can settle down and do construction work, and I can still earn 150 yuan a day."

"Old Liu, you didn't tell the truth, you still held something back. Your wife works here, and she earns 70-odd yuan a day too." Shandong Weisheng Modern Agriculture Co., Ltd. is the operator of this base. General Manager Zhang Guowei has become close with Liu Mengshun, and from time to time they tease each other a bit.

Zhang Guowei estimates that after the base is fully completed, it will need at least more than 100 workers year-round. For the more than 200 mu that went into production last year, during busy times more than 10,000 yuan in labor costs was paid out in a single day.

In the past, a large number of young and middle-aged laborers went out to work, and many rural villages were left with only the elderly, women and children. The arrival of agricultural enterprises has given these left-behind people, who originally lacked the ability to earn money, a new way out.

Jiang Yuxun, a villager from Dazhai Village, Junbukou Town, Weicheng District, is already 72 years old this year, but his health is especially robust. Every day, he rides an electric bike back and forth to Shandong Yixing Organic Vegetables Co., Ltd., four or five li away.

He starts work at 7:30 in the morning and gets off at 4:30 in the afternoon, with an hour for lunch in between. For 8 hours of work a day, Jiang Yuxun can earn 60 yuan. "If I stayed at home, I'd be quite bored, it would be pretty meaningless. Coming here to do some work, I don't get exhausted, and I can still earn money."

Like Liu Mengshun and Jiang Yuxun, many farmers are seeing their wallets gradually swell because of the arrival of agricultural enterprises. They generally adopt operating models such as company self-operation, "company + farmer," and "company + base + farmer," directly or indirectly increasing farmers' income. Taking Weicheng District as an example, there are 12 leading agricultural enterprises, 6,300 mu of transferred land, more than 5,000 jobs created, and per capita net income of farmers raised to more than 13,000 yuan.

"The land transfer price in Weicheng District is about 1,200 to 1,300 yuan per mu, which certainly exceeds the returns farmers get from growing grain themselves." Yang Lianjun, director of the Weicheng District Agriculture Bureau, explained that even if the land transfer price in some places is not high, farmers' income will not be low. "Quite apart from anything else, after being 'liberated' from the land, farmers can at least work nearby or go out to work."

Farming cannot follow the old methods, and new "things" are gradually being accepted

In the greenhouse of the Weifang Shengyu Fruit and Vegetable Professional Cooperative, grape branches grow out of flower pots filled with nutrient soil, and their growth momentum is especially encouraging. Before long, these branches will take root and become "bonsai grapes," while the parent plant can continue to bear fruit.

In the words of person in charge Wang Yousheng, this is called "putting one egg in several baskets," and either way you don't lose money: if the price of "bonsai grapes" is high, then sell "bonsai grapes"; if "bonsai grapes" cannot fetch a good price, then sell ordinary grapes.

Fresh varieties and new-style management have made the old farmers who have farmed land their whole lives in surrounding villages stare wide-eyed. During this period, the cooperative has received many visitors, and quite a few want to learn the techniques.

"We have to spend four or five years figuring this out thoroughly, and only when the market has prospects will we let the folks plant it." On this matter, Wang Yousheng is not in a hurry. "After all, we are all fellow villagers, and we can't let everyone suffer losses."

In the past, each household fought alone, technology lagged behind, and thinking could not keep up. A farmer's household had only three to five mu of land in total, and no one dared to experiment with a whole year's harvest. Even if the variety was good and the technology excellent, without a successful example to demonstrate it, no matter how much effort was spent it could not be promoted.

Jijiazhuang in Qiaoguan Town, Changle County, is located in an ancient volcanic group, and most villagers mainly grow wheat and corn. Although they also grew millet in the past, it was scattered, without scale or brand.

"Now it is completely reversed. A large amount of land is used to grow millet, and last year the whole village planted only about 30 mu of wheat." Village Party branch secretary Xu Zhenxing said that the village has 200 mu of mountain land, which was transferred to the Volcano Modern Agriculture Demonstration Park. "When they farm, the varieties are concentrated, the output is large, and they are oriented to market demand, completely different from us ordinary people's methods."

Today, "Volcano Millet" has become the signature product of Jijiazhuang and several surrounding villages. Last year, on the eve of the Mid-Autumn Festival, the millet had just been harvested, and customers who came through connections and sought out contacts could only buy it at a discounted price of 10 yuan per jin. On the market, "Volcano Millet" in exquisite packaging even sold for 30 yuan per jin.

Fu Tiancheng, deputy director of the Changle County Agriculture Bureau, said that agricultural enterprises not only bring new production models and management models, but also possess the market awareness that farmers lack. "They play a huge role in building and promoting brands, can improve agricultural efficiency, and promote the construction of agricultural infrastructure."

Recently, another local agricultural enterprise from Weifang came to negotiate, preparing to transfer 600 mu of land in Jijiazhuang. Once the town approves it, Xu Zhenxing plans to convene a villagers' meeting to discuss future development properly. "Transfer the land to them, but whoever's land it is still farms it, only they have to farm according to their methods, and only that way can there be high efficiency."

Whether the benefits can last, hoping to reach an even higher level

When he first entered agriculture, Xu Kun, general manager of Shandong Yixing Organic Vegetables Co., Ltd., took a big fall. More than 300 mu of land were all planted with radishes, but unexpectedly at harvest time they were severely unsalable. When the accounts were finally settled, he had lost more than 800,000 yuan in one go. Fortunately, Xu Kun changed his thinking in time and took up protected agriculture, and only then turned crisis into safety.

For many agricultural enterprises, the path of agricultural industrialization is not smooth sailing. Sometimes when drought or flood disasters occur, enterprises suffer serious losses and cannot pay farmers' land transfer fees; sometimes when market conditions are poor, enterprise efficiency is poor, and they cannot fulfill the purchase contracts signed with farmers...

In fact, these are also the things farmers worry about most.

"It's so good like this now, there's money to earn and work to do. Us ordinary people just want things to be steady, and it would be best if in a few years it could rise a bit." 50-year-old Liu Fakui is from Zhaojialing Village, Tangwu Town. "Just like before when I did construction work, after all the work was done, I still didn't know when I could get paid. That feeling is not pleasant."

The government has already noticed farmers' concerns. Yuan Yongfu, director of the Weicheng District Party Committee Agricultural Work Office, has inspected the situation of agricultural enterprises in many places over the past two years, and has also sensed possible risks.

"Agriculture is a weak industry, with large upfront investment, a long cycle and high risk, and scale-up and industrialization should proceed step by step." Yuan Yongfu believes the best approach is to ensure enterprises operate at an appropriate scale. "Only if agricultural enterprises develop healthily can farmers' interests be guaranteed. For example, what projects to launch and what scale to use, we communicate in a timely manner, analyze risks, and explain policies clearly, to avoid enterprises blindly seeking to be big and all-encompassing."

Some farmers also worry that after agricultural enterprises transfer the land away, if they later want to farm again, will they be unable to get it back? Shandong's approach is to strive to complete the work of confirming, registering and issuing certificates for rural land contractual management rights within 3 years, while standardizing property rights transactions, so that farmers can have "reassurance."

As of October 2014, Shandong had completed registration of land contractual management rights in 57,000 villages (communities), accounting for 76.5% of the total; 45,000 villages (communities) had issued contractual management rights certificates, accounting for 60% of the total. At the same time, Qingdao, Zaozhuang, Weifang, Zibo and Tai'an established rural property rights trading markets, and 22 counties (cities, districts) built county-level trading centers (offices).

"We have capital and technology, but no matter what, the land must use farmers' land, and the work must still hire farmers to do." Xu Kun feels that agricultural enterprises and farmers are naturally "tied" together, with the interests of both sides closely linked. "We need to further explore more mutually beneficial models, for example, whether farmers can be allowed to take shares in agricultural enterprises. Perhaps the most ideal state is to let more farmers, especially young farmers, participate in the process of agricultural industrialization, and become a community of shared interests with each other, rather than just standing on the sidelines watching as they do now."