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Why is it imperative to promote structural reform of agricultural supply side?
Release Time:2016/10/28 15:04:22


      Over the past decade, China's agricultural and rural development has made very brilliant achievements, grain output has increased 12 years in a row, and farmers'income is also growing rapidly. But at the same time, the import and stock of grain have been increasing continuously in recent years, which shows that China is facing new situations and problems.
Under the new situation, the main contradiction of agriculture in our country has changed from insufficient total amount to structural contradiction, which is mainly reflected in two aspects: one is the low efficiency of agriculture, the other is the weak competitiveness of agriculture.
In 2015, China imported 250 billion kg of grain, including more than 163 billion kg of soybean, more than 0 billion kg of wheat, rice and 80 billion kg of corn. Soybean production efficiency is low, yield is low, supply and demand gap is large, and we have to rely on imports, while wheat, rice and maize production is not scarce, or even excessive, but because the price is far higher than the international market, so no one purchases, and even a "domestic grain into warehouse, imported grain market" situation. Therefore, it is imperative to promote the structural reform of agricultural supply side.
Agricultural supply-side reform should focus on two key points: one is to improve the comprehensive benefits of agriculture; the other is to improve the international competitiveness of agricultural products. To push forward the reform of agricultural supply-side around the goal of efficiency and competitiveness, we need to accelerate the progress of agricultural science and technology and the innovation of agricultural system. Scientific and technological progress and institutional innovation are the core of the structural reform of agricultural supply-side.



How to Promote the Structural Reform of Agricultural Supply Side
There are mainly the following aspects:
01class First, the market mechanism determines the price. For the benefit of farmers, the price set by the government is too high for processing enterprises and consumers, which leads them to seek products in the international market and leads to the phenomenon of oversupply of domestic agricultural products. We need to reform the system of market pricing and price-compensation separation. Take corn as an example, because it has substitutes, in order to maintain the market, we must ensure that our price is close to the international market price of substitutes, and continue to subsidize through other channels, so that farmers can maintain a certain profit. Second, accelerate the progress of agricultural science and technology. Through scientific and technological progress, we can shorten the process, improve the efficiency and enhance the competitiveness of agriculture. Taking soybean as an example, the reason why it has fallen so far is because of the lack of scientific and technological content, the slow process and the low yield per mu, which leads to farmers'unwillingness to plant, and the continuous decline in yield and sown area. Therefore, scientific and technological progress must be accelerated, and scientific and technological innovation and progress must always be placed in the important position of structural reform on the agricultural supply side. The third is to promote the innovation of agricultural management system. It will take time and conditions to change the existing decentralized and extensive modes of small-scale operation in China. What conditions need to be created? Firstly, we should speed up the people-oriented urbanization; secondly, we should improve the technical level of agriculture; finally, we should start the economy through the socialized system. As for time, we should examine and consider it under the background of big history, and wait for the realization of large-scale modern management with enough patience. In this period of time, how to innovate and how large scale is needed in order to make modern agriculture play its best benefit, which can be thought backwards. Taking agricultural machinery as an example, through its cross-regional operation, the scale of its service area is expanded, and the purpose of reducing costs and increasing profits is realized. Fourth, improve the agricultural support and protection system. On September 13, the United States formally filed a lawsuit against the WTO concerning the high level of agricultural subsidies in China. This also shows that China's agricultural subsidies are mainly in the "yellow box", which has affected the normal international trade. Therefore, our subsidies should be transferred from the "yellow box" to the "blue box" and "green box". That is to say, we should change our thinking and turn the subsidies on agricultural electricity, water use, electricity price and water price into power grid transformation and farmland water conservancy construction, so as to further strengthen our agriculture. Fifth, promote the integration of rural primary, secondary and tertiary industries. Starting from the basic reality of our country, there will still be more than 400 million people in the countryside by 2030, which makes it necessary not only to build a new countryside, but also to build it well. Let more people not only planes food on the land, but also seek higher benefits from other aspects, such as developing agricultural products processing, characteristic agriculture, tourism agriculture, farmhouse entertainment, residential accommodation and so on. According to statistics, the number of domestic tourists has exceeded 4 billion, many of which are in rural areas, bringing about nearly 400 billion yuan of income for rural areas. Therefore, it is an important development direction to promote the development of new industries and new formats and realize the integration of primary, secondary and tertiary industries.