How to improve the effectiveness of Agricultural support and Protection Policy

In recent years, the central government has continued to increase investment in agriculture and rural areas, effectively ensuring a bumper grain harvest year after year. However, with the change of economic and social conditions, the effectiveness of previous agricultural support and protection means has declined. In view of this problem, the "Comprehensive implementation Plan for deepening Rural Reform" issued by the CPC Central Committee and the State Council Office clearly put forward that it is necessary to improve the efficiency of agricultural support and protection and improve the incentive mechanism for agricultural production. we will speed up the formation of an agricultural support and protection system with comprehensive coverage, clear direction, prominent priorities, matching measures, and simple operation.

At present, under the background that the overall agricultural situation in China is getting better year by year, it is faced with the constraints of two "ceilings" and two "hoops". The prices of major domestic agricultural products are higher than the import prices, and continue to raise prices will encounter the "ceiling"; some agricultural subsidies belong to the category of "yellow box policy", and continue to increase subsidies will encounter the "ceiling". Agricultural production costs such as labor, agricultural machinery operations, land transfer and other agricultural production costs are rising, further squeezing farmers' planting income. At the same time, the ecological environment is damaged, the carrying capacity is getting closer and closer to the limit, the intensity of resource development and utilization is too large, and the strings are getting tighter and tighter, which seriously hinders the long-term development of agriculture. In order to change this situation, we must accelerate the modernization of agriculture and promote the transformation of the mode of agricultural development. This requires giving full play to the positive guiding role of agricultural support and protection policies to promote the development of modern agriculture.

Establish a mechanism for the steady growth of agricultural and rural investment. In recent years, the central government's policy of supporting agriculture and benefiting agriculture has been continuously strengthened. Despite the current downward pressure on the economy, the central government still regards agriculture and rural areas as the priority security area of financial expenditure, ensuring that agricultural and rural investment is only increased but not reduced. Therefore, it is necessary to make good use of the central financial funds to support agriculture, optimize the expenditure structure of financial support for agriculture, give full play to the guidance and leverage of financial funds, and take measures such as substituting awards for compensation, government purchase of services, guarantee interest discount, risk compensation and other measures, drive financial and social capital to invest in agriculture and rural areas.

We will improve the price formation mechanism of agricultural products and the market regulation system of agricultural products. Since 2004, the policy of minimum purchase price and temporary purchase and storage of grain has been implemented one after another, which has effectively aroused the enthusiasm of farmers to grow grain. However, the current price formation mechanism of agricultural products is difficult to adapt to the new situation of changes in supply and demand at home and abroad, resulting in problems such as high grain stocks. This requires reducing the distorting impact of price support policies on the market and playing a decisive role in the allocation of resources in the market. At present, the target price subsidy policy for cotton and soybeans is a positive means to promote the separation of price and compensation. in the future, we should gradually reform and improve the collection and storage policy of agricultural products on the premise of ensuring food security and the interests of farmers.

Improve the agricultural subsidy system. At present, while maintaining the continuity and stability of agricultural subsidy policy, adjusting and improving the "yellow box policy" and gradually expanding the implementation scale and scope of "green box policy" has become an important orientation of agricultural subsidy policy reform. This year, China has carried out pilot agricultural subsidy reform in five provinces, including Anhui, Shandong, Hunan, Sichuan and Zhejiang. The three subsidies, namely, the subsidies for improved varieties of crops, the direct subsidies for grain farmers and the comprehensive subsidies for agricultural materials, have been merged into "agricultural support and protection subsidies" to optimize the direction of subsidies and improve the accuracy of subsidies, focusing on the protection of cultivated land and the appropriate scale operation of grain. This will help to promote the transformation from traditional agriculture to modern agriculture.

Establish a mechanism for sustainable development of agriculture. In the past, agricultural non-point source pollution was prominent due to the extensive use of agricultural chemicals such as pesticides, chemical fertilizers, plastic film and so on. In the transformation and development of agriculture, it is necessary to increase the degree of compensation for the reduction and efficiency of agricultural inputs, guide producers to popularize the mode of input reduction and clean agricultural production, and develop ecological circular agriculture. At the same time, by deepening the innovation of rural financial system, we should speed up the establishment of a modern rural financial system with multi-level, wide coverage, sustainable, moderate competition and controllable risks, so as to effectively alleviate the problem of farmers'"financing difficulties".