NDRC Moves to Tackle Financing Difficulties of New-Type Agricultural Business Entities
China Economic Net, Beijing, August 1 (Reporter Lin Huocan) A responsible official of the National Development and Reform Commission said today that China will step up guidance and support for new-type agricultural business entities, improve the policy-based agricultural insurance system, and strive to solve the financing difficulties of new-type agricultural business entities.
China Economic Net reporters learned that since the beginning of this year, agricultural production and the rural economy have continued to maintain a steady and improving momentum, summer grain achieved an “eleventh consecutive increase”, agricultural products market prices were basically stable, farmers' incomes continued to maintain a relatively rapid growth momentum, and new-type agricultural business entities developed at a faster pace. The sound development momentum of the agricultural and rural economy has laid a solid foundation for achieving stable operation of the domestic economy.
“However, we must clearly see that maintaining the sound momentum of stable grain development and sustained increases in farmers' incomes is facing increasing pressure.” The above-mentioned official said that with the rapid development of industrialization and urbanization, the costs of land and labor continue to rise, the marginal returns on agricultural input are diminishing, and the problem of relatively low comparative returns in agriculture, especially in grain cultivation, has become more prominent; against the backdrop of rapid industrialization and urbanization, agriculture faces enhanced resource and environmental constraints in its development.
⟦NL> In order to effectively respond to various risks and challenges that may arise in the second half of the year and ensure a bumper agricultural harvest and increased farmers' incomes for the whole year, the National Development and Reform Commission stated that it will step up guidance and support for new-type agricultural business entities, strengthen policy support, and promote qualified agriculture-related investment projects to be undertaken and implemented by various new-type business entities; improve the policy-based agricultural insurance system and strive to solve the financing difficulties of new-type agricultural business entities; guide the formation of stable land transfer relationships between farming households and new-type business entities, and for farming households whose transfers reach a certain period, government rewards and subsidies should be increased.
At the same time, the National Development and Reform Commission will also effectively prevent the tendency toward “non-grain” land management, reasonably set access conditions for industrial and commercial capital entering agriculture, encourage industrial and commercial capital to engage in modern planting and breeding suitable for enterprise operation, and provide farmers with pre-production, in-production and post-production services.
Continue to do a good job in implementing policies to strengthen agriculture and benefit farmers, strengthen field management of autumn grain and flood control and drought relief work, enhance the supply guarantee capacity of “shopping basket” products such as live pigs, continue to strengthen agricultural and rural infrastructure construction, and accelerate efforts to overcome the resource and environmental constraints facing agricultural production.