China’s No. 1 Document Released Focusing on Agricultural and Rural Modernization

China’s No.1 document is usually reserved for agriculture policies. This year’s No. 1 document unveiled a renewed focus on comprehensive Agricultural and Rural Modernization.

China’s No. 1 Document Released Focusing on Agricultural and Rural Modernization

Comprehensive agricultural and rural modernization will be achieved by 2035, according to the current state plan.

In this year’s No. 1 document, the framework includes “ Two Forbidden, Two Beginnings, and One Comprehensive Enforcement.”

Two Forbidden: Poverty eradication is forbidden to be reversed. Food security is forbidden to go wrong.

Two Beginnings: New agricultural modernization and rural modernization must begin with sound planning.

One Comprehensive Enforcement: The Party’s leadership to agricultural and rural development must be enforced.

3 major opportunities to increase income levels of the rural population

Chinese rural disposable income, according to the national bureau of statistics, was less than $3,000 ( RMB 17131) in 2020, roughly a little over half of the urban counterparts. Rural income rise has been considered a key priority with important reform policies put in place.

Increase production efficiency. Efficiency will come from upgrading the agricultural supply chains, building agricultural brands, and enhancing online-offline sales channels. Efficiency and brand value creation will enhance rural income levels.

Expand rural employment. Expand and invest in rural infrastructure to create local jobs for the recently lifted poverty-stricken population. Provide training to farmers and the population who have just been lifted out of poverty.

Deepen rural reforms. Allow agricultural land to enter the market circulation. Encourage equity participation by farmers in rural development. Turn farmers into equity holders.

Rural Revitalization

As a comprehensive part of the “14th Five-Year Plan”, the Chinese government released the “Opinions of the Central Committee of the CPC and the State Council on Comprehensively Promoting Rural Revitalization Accelerating Agricultural and Rural Modernization” This policy determines new key targets in the revitalization of the rural industry, including its structure, efficiency, culture, technologies, and approaches to the environment. (read more)

The Party expects to revolutionize and modernize rural areas by:

1.     Connecting Poverty Alleviation and Rural Revitalization

This means to target areas that have been recently alleviated from poverty by assisting rural communities in producing agricultural products and expanding their consumption. Stressing poverty alleviation remains significant to ensure higher demand for goods, bringing more resources and prosperity to local communities. The CPC remains focused on preventing a return to poverty in lower-income areas.

2.     Modernizing the Agricultural Value Chain

The goal is to build a greener, self-reliant, and more modern agricultural supply chain to guarantee the supply of key agricultural products like grains and seeds.  This includes improving the responsibility system in food security cross-province, giving subsidies to grain, corn, wheat, and rice producers. Modernizing agriculture will also focus on land use and control for better supervision, modern technology and equipment for irrigation and other activities, innovative methods for sustainable agriculture, and improved agricultural management of small, medium, and large enterprises.

3.     Improving Rural Infrastructure

The aim is to focus on constructing public infrastructure in rural areas, clean energy, and water projects that can better integrate remote villages with other rural and urban areas.

By 2025, the rural tap water penetration rate should reach 88%. Another key target will be to construct safe and reliable rural gas storage tank stations, micro-pipe network gas supply systems, develop rural biomass energy, improve telecommunications, basic public services for healthcare and education, and construct rural gigabit optical networks for the new 5G.

4.     Strengthening Rural Governance To establish a system of contact points for rural revitalization, the provincial, city, and county party committees shall develop an efficient network to supervise and assess rural work efficiency. This includes a rural revitalization rotation training at three-levels of the party organization.