The separation of the three rights to rural land must benefit agricultural modernization
Whether through practical exploration or theoretical innovation, improving the "separation of three rights" should all move in one direction: promoting the rational use of land resources, developing moderate-scale operations in various forms, and advancing the development of modern agriculture
Correctly handling the relationship between farmers and land was the main thread of rural reform in the past and remains so today. Recently, the General Office of the CPC Central Committee and the General Office of the State Council issued the "Opinions on Improving the Measures for Separating Rural Land Ownership Rights, Contract Rights, and Management Rights," precisely to respond to the real changes in China's rural areas and agricultural development.
For more than 30 years since the household contract responsibility system was implemented, the "separation of two rights" - collective ownership of rural land and farmers' contracted management rights - has granted farmers long-term and guaranteed land contract management rights, mobilized farmers' enthusiasm, and provided an institutional guarantee for the substantial progress of China's agriculture. With the deepening of industrialization and urbanization, a large number of farmers have shifted to non-agricultural industries, the phenomenon of rural land transfer has become increasingly common, and agricultural operation methods have undergone profound changes. By the end of 2015, 33.3% of household contracted arable land nationwide had been transferred, and among 230 million contracted households, 66 million had transferred land to a greater or lesser extent. Now this trend continues, so the question arises: when those who hold land contract management rights no longer farm the land, and those who farm the land do not have the corresponding rights, what kind of institutional arrangement should be used to regulate and adjust this objective phenomenon?
On the basis of the "separation of two rights," further dividing land contract management rights into contract rights and management rights, and implementing the "separation of three rights" of ownership rights, contract rights, and management rights, is an institutional arrangement that adapts to the development of productive forces and to current realities. It should be noted that the phenomenon of rural land transfer appeared long ago, and the practice of separating contract rights from management rights is extremely rich. What needs to be clarified at the policy level is how to further improve the specific measures for the "separation of three rights," clearly define the collective's ownership rights, farmers' contract rights, and operators' management rights, and truly ensure that contract-holding households can transfer land with confidence and operators can invest in land with confidence.
The "separation of three rights" to rural land is driven by two real factors: one is urbanization, and the other is agricultural modernization. From the perspective of the historical process, the driving force of urbanization is greater; in many places, rural areas have already become hollowed out before agricultural modernization has been achieved. However, the movement of people requires support from social systems in all aspects. At present, roadblocks in areas such as household registration, education, and medical care are being opened, but the foundation is not yet solid. Therefore, the adjustment of rural land rights and interests will still need to leave farmers a way back for a long historical period. Stabilizing the existing land contract relationship and keeping it unchanged for the long term, and allowing farmers to settle in cities without having to give up contracted land, is a correct and rational choice.
From a longer-term future perspective, agricultural modernization will be the most important force driving the adjustment of rural land rights and interests. On the issue of the "separation of three rights," one point must be very clear: land transfer is not the goal; the modernization of agriculture and rural areas is. This process cannot be accomplished overnight. Guiding the rational transfer of land management rights and promoting moderate-scale land operation is an important starting point for improving the measures for the "separation of three rights," because in reality many operators who develop modern agriculture by transferring farmers' land complain that the signed transfer contracts have very short terms, while the payback period for agricultural infrastructure investment is relatively long, so they dare not make long-term investments; the amount of capital needed is large, but the operated land cannot be used for mortgage financing. However, it is still necessary to consider the current problem of the institutional cost of land transactions within the entire historical process of agricultural modernization. If the direction is right, being slower is not too much of a problem; if one is too impatient, there may be a risk of going astray.
Handling the boundaries of rights and mutual rights relationships between farmers' collectives and contracted households regarding contracted land, and between contracted farmers and operating entities in land transfer, is complex and sensitive, and there is still a long way to go. Whether through practical exploration or theoretical innovation, all should move in one direction: promoting the rational use of land resources, developing moderate-scale operations in various forms, and advancing the development of modern agriculture.