Breach of order: you can't hit all the boards on the farmers.

Recently, some media reported that in the process of the implementation of contract agriculture, some farmers lacked the spirit of contract and maliciously breached the contract, especially when the market price of agricultural products was higher than the agreed purchase price, this phenomenon became more prominent, which made it difficult to implement contract agriculture, which in turn hurt merchants and farmers, pointing the spearhead of the difficulties in the development of contract agriculture to farmers.

Order agriculture is an important part of the development of agricultural industrialization. it is of great significance to form a stable relationship between supply and marketing of agricultural products, solve the difficulty of unsalable agricultural products, stabilize prices, protect the reasonable interests of farmers, and resist market risks. The key to order agriculture is to make both farmers and enterprises perform the contract honestly. If either party violates the contract, the agreement will become a piece of paper. In reality, the problems reflected in the report do exist. However, this does not mean that the problem of breach of contract in contract agriculture lies entirely in farmers, let alone blindly blame farmers for their lack of contract spirit.

First of all, we should see that in the actual implementation of order agriculture, farmers are generally in a weak position of lack of discourse power. Enterprises and farmers are not equal in economic status, social status and the possession of market information. Enterprises are often in a strong position, and the contracts signed are more conducive to the protection of the interests of enterprises. Moreover, most enterprises sign contracts directly with village committees and agricultural professional cooperatives, and the demands of farmers have not been fully reflected, which greatly reduces the effectiveness of the implementation of orders.

Secondly, the spirit of contract of some enterprises and merchants is not without defects. When the price of agricultural products plummets, many enterprises and businessmen who have signed contracts with farmers no longer carry out contracts in order to reduce their own economic losses. As reported by the media last year, the colored pepper growers in Yanggaiban Village, Jinhe Town, Saihan District, Hohhot City, Inner Mongolia have had a bumper harvest, but the order enterprises have played hide-and-seek. In recent years, similar incidents of "running away and exploiting farmers" have also been repeatedly reported in the newspapers. Some enterprises refuse to purchase farmers' agricultural products on the grounds that the quality of their products is not up to standard, although they "continue to perform the contract" on the surface when the prices of agricultural products fall or the sales of agricultural products are slow to sell.

It is not difficult for us to find that there are many reasons for the difficulties in the development of contract agriculture. We cannot deny or "protect" the phenomenon of farmers' breach of contract. However, when farmers are in a weak position, lack of voice, and enterprises in a strong position often breach of contract, it is obviously unfair and unfair to criticize farmers unilaterally.

The problem of breach of contract in the development of contract agriculture, whether it is farmers' breach of contract or enterprise's breach of contract, appears to be the lack of contract spirit and short-term interest behavior. However, the deeper reason is that order agriculture is still in the initial stage of production and marketing cooperation, does not really strengthen the connection from the land to the market, and optimizes the organizational construction of agricultural production and marketing. the interest connection mechanism between farmers and enterprises is not perfect. As a kind of economic behavior, the smooth implementation of order agriculture can not completely rely on the moral level of farmers and enterprises, but must start from the aspects of risk sharing mechanism, bargaining mechanism, enforcement restraint mechanism and so on. let the cooperative interests between farmers and enterprises become tighter, the mechanism more sound and mature, so as to effectively prevent and control the risk of breach of contract of order agriculture.

In terms of risk-sharing mechanism, order agriculture is currently mostly in the sales of agricultural products by negotiating the purchase price, which helps farmers resist market risks to a certain extent, but this connection mechanism is actually very loose. nor does it include the natural risks of agricultural production into the linkage of interests. Business enterprises should be more deeply involved in agricultural production, such as leading enterprises invest in the infrastructure construction of production bases, farmers buy shares with land, and so on, so as to make the interests of leading enterprises and farmers more consistent and deepen the connection of interests in the production link.

In terms of bargaining mechanism, judging from the current situation, it is necessary to improve farmers' right to speak in bargaining. At the same time, we can try some institutional innovations in bargaining, such as the negotiated price is linked to the market purchase price to a certain extent, allowing certain fluctuations with the market, or the implementation of "minimum acquisition protection price". In a word, to negotiate the purchase price, we should try our best to make both farmers and enterprises get relatively reasonable profits.

In terms of enforcement restraint mechanism, whether it is farmers' breach of contract or enterprise's breach of contract, at present, there is a lack of necessary restraint mechanism, such as farmers' breach of contract, enterprises face a family of farmers, the cost of safeguarding their rights is high, forcing farmers to perform the contract is also faced with higher social risks; corporate breach of contract is often more beneficial to enterprises, as long as they give up a few deposits, they can also be legally exempted from liability. Therefore, we must innovate the mechanism, try to introduce higher "performance bond" and the system design of "third party", and strengthen supervision to ensure the implementation of the contract.

Of course, it is equally important to cultivate the credit contract awareness of farmers and enterprises and to strengthen the construction of rural credit information system. In short, in order to make the development of order agriculture better and more smoothly, the key is to really strengthen the connection between the land and the market, so that order agriculture is not simply a contract based on a price judgment. but to make the interest connection mechanism of farmers and enterprises closer, the operating system more sound, more fully and fairly distribute interest risks, and better reflect the changes in the relationship between market supply and demand. Only in this way can contract agriculture get out of the trap of breach of contract.