The family farm concept has been integral to that reform. CCTV's reporter reports from Xinjin County, in southwest China’s Sichuan Province, this too has had its share of challenges.
From a designer to a family farm owner, Yang Bo never gave up on his dream to be a full-time farmer.
After graduating from college in the 1990s, Yang Bo began empty handed. In 2013, he invested 1.5 million yuan in agricultural lands left by peasants who had flocked to the cities to work.
That was the time when China implemented numerous policies to benefit family farming businesses. He said back then, he knew that the agriculture industry was worth going in for.
“First, I have provided work opportunities for local people; second, I have used unused land to create wealth and opportunity; and third, I am producing safe organic food for local residents. This is very significant and very good for this area,” said Yang Bo, a family farm owner in Xinjin county, Sichuan province.
Last year, he obtained a production license to grow organic vegetables, bringing him one step closer to his goal of building an ecological agriculture park in 2015. Visitors will be able to enjoy the beautiful countryside, and also enjoy the organically produced food. But he said there are more challenges ahead if he wants to stick to the business.
“During harvest season, there isn’t enough space to dry hundreds of thousands of kilos of wheat. Then there is also the problem of finding a warehouse to stock the grain," he said.
To explain the monetary cost of the problem, Yang Bo made a quick calculation for us. Since there isn’t any place to stock the grains, he and his team have to leave the grains in the open air. As a result, every year, they lose 5 cents or so for every five hundred grams.
So, when it comes to 400 kilograms produced every year, it is hard to compensate the loss. Experts say this could be the problem nationwide for many family farm owners. The local government says preferential policies are on the way for many family farm owners.
“People with land management rights can mortgage their land with a bank to get money. They can get free training in running family farms. And they also enjoy preferential tax policies,” said Peng Jianhui, a farmer in Xinjin county, Sichuan province.
After 2013, China started allowing farmers to transfer their property rights, which is hoped to spread prosperity to the impoverished countryside. And that has become one of China's most pivotal rural land reforms in 35 years. With urbanization pacing ahead, earlier in February this year, the State Council passed a draft decision that will enable rural construction land in certain areas to have the same rights and market price as state-owned construction land.
The right of use for existing collectively-owned rural construction land can be transferred, leased and traded for shares, according to the draft, which was reviewed at a bi-monthly session of the National People's Congress (NPC) Standing Committee. Meanwhile, the authority to approve land for building a rural dwelling will be delegated to lower levels. Professor Guo says the new stage of land reform aims to increase farmers’ incomes.
"We've attempted to increase farmers' incomes through land reform in the past few years, to ensure a better quality of land use. But the results have been different to what we hoped for. Now we realize that we need more sustainable and more practical means for farmers to drive new business growth in rural areas, " said Guo Xiaoming, vice president of Sichuan Academy Of Social Sciences.
New businesses mean new opportunities for farmers, and for young people who can not find jobs in the cities. Yang Bo says that since their roots are in rural areas, people should come back to the countryside to produce food that will benefit generations to come.
