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Extend the industrial chain, add value to the value chain, improve the organizational chain

Industry News By Sophie Bennett 0 views
In 2015, the development of agricultural industrialization was in full swing, policies to strengthen enterprises and enrich farmers were continuously optimized, and the mechanism linking the interests of enterprises and farmers was further improved. A series of actions, such as promoting one village one product, advancing the integration of the three industries, and pushing forward base creation, made agricultural industrialization in 2015

 

In 2015, the development of agricultural industrialization was in full swing, policies to strengthen enterprises and enrich farmers were continuously optimized, and the mechanism linking the interests of enterprises and farmers was further improved. A series of actions, such as promoting one village one product, advancing the integration of the three industries, and pushing forward base creation, made agricultural industrialization in 2015 full of highlights.——Editor

The development of agricultural industrialization has gone through nearly 30 years. Over the past 30 years, in accordance with the requirements of extending the industrial chain, multiplying the value chain, and improving the organizational chain, agricultural industrialization has continuously advanced innovation in agricultural operation systems and mechanisms, and has made important contributions to building modern agriculture and driving farmers to increase income and become prosperous.

In the mid-to-late 1980s, in order to cope with the contradiction between dispersed operations and connection with the large market, the eastern region and suburbs of large cities adopted operation methods such as “integration of agriculture, industry, and commerce” and “a coordinated chain of production, processing, and sales” to solve the problem of difficulty in selling agricultural products; in the mid-1990s, consensus gradually formed around industrialized agricultural operation, and it developed rapidly. Since the new century, with the cultivation of leading enterprises as the starting point, agricultural industrialization has achieved obvious results in driving agricultural development and driving farmers to increase income. Adapting to the new situation in agricultural development, the new task of agricultural industrialization development in the new stage is to promote the integrated development of the primary, secondary, and tertiary industries in rural areas. By the end of 2014, there were 354,000 various types of industrialized operation organizations, radiating and driving planting industry production bases that accounted for about 60 percent of the country's crop sown area, and driving livestock and poultry raising volume to account for more than two-thirds of the national total.

Promote the integrated development of the three industries, so that farmers can share more of the value-added benefits

⟦NL> Not long ago, the State Council held an executive meeting to deploy and advance the integrated development of the primary, secondary, and tertiary industries in rural areas, and put forward a series of important measures. At present, China's “three rural issues” development faces many difficulties and challenges. Problems such as part-time farming, an aging labor force, and the hollowing out of rural areas are becoming increasingly prominent. To solve these problems, one cannot discuss agriculture in isolation.

Drawing on the experience of countries such as Japan and South Korea, promoting the integrated development of the primary, secondary, and tertiary industries is an important way to solve the “three rural issues.” In accordance with the approach of industrial integration, integration of entities, and integration of factors, it is necessary to cross the boundaries between urban and rural areas, between industry and agriculture, and between industries. It is necessary both to support farmer households and cooperatives, and to support leading enterprises closely linked by interests with farmer households and cooperatives in promoting the integrated development of the primary, secondary, and tertiary industries in rural areas, so that farmers can directly participate in the secondary and tertiary industries in rural areas and share more of the value-added benefits of agricultural products.

Promote the transformation of the agricultural development model and structural reform

Adapting to the new normal of economic development, agriculture must accelerate the transformation of its development model and take the path of modern agricultural development featuring high output, safe products, resource conservation, and environmental friendliness.

As the most dynamic and most innovative entities in the modern agricultural operation system, leading enterprises, through various methods such as “company + farmer households,” “company + cooperatives + farmer households,” and “company + base + farmer households,” cultivate new types of agricultural operation entities, promote agricultural scale operation, and promote the optimal allocation of resources, playing an irreplaceable role in promoting the transformation of agricultural development modes and structural adjustment. Leading enterprises themselves must also adapt to the requirements of the new normal, and in accordance with the concepts of innovation, coordination, green development, openness, and sharing, accelerate the realization of transformation and upgrading, become bigger and stronger, and enhance their ability to drive farmers to increase income.

Closely link the interests of leading enterprises and farmer households

Improving the interest linkage mechanism, achieving mutual benefit and win-win results between leading enterprises and farmer households, giving farmer households a sense of gain, and sharing the fruits of industrial development are the core concepts of agricultural industrialization development.

In recent years, by encouraging leading enterprises to explore forms such as order contracts, guaranteed-price purchases, and secondary profit returns, the interest linkage relationship with farmer households has been continuously strengthened. In 2014, various types of agricultural industrialized operation organizations, through methods such as order contracts, cooperation, and share cooperation, radiated and drove 124 million farmer households, with an average annual income increase of 3234 yuan per household. Next, the Ministry of Agriculture will innovate and develop order agriculture, support leading enterprises in providing loan guarantees for farmer households and funding contract farmer households to participate in agricultural insurance, and guide farmer households to voluntarily use land management rights and other means to become shareholders in leading enterprises and cooperatives, so that farmer households can share the benefits from processing and circulation links.

 

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