China Implements New Steps to Boost Farmers’ Earnings

China’s latest national rural development plan introduces new measures aimed at increasing farmers’ earnings, emphasizing stable grain production income, expanding county-level industries, supporting migrant workers, and activating underutilized rural assets.

This primary policy document, issued yesterday, strives to maintain recent growth in rural incomes while tackling emerging challenges. Although farmers have experienced steady income increases and the gap between urban and rural wealth has narrowed, some agricultural product prices remain low, and employment pressures on migrant workers have grown, complicating further income improvement.

The plan is divided into six sections, focusing on increasing agricultural productivity and quality, providing targeted support, ensuring sustainable income growth for farmers, developing livable and business-friendly rural areas suited to local contexts, and fostering institutional and policy innovation.

During a press briefing today, Zhu Weidong, deputy director of the Office of the Central Committee for Financial and Economic Affairs, stated that achieving stable farm and grain production income requires better coordination of price supports, subsidies, and insurance policies to improve income protection for grain producers and prevent losses due to falling prices.

Support for Grain and Farm Income

Regarding pricing, Zhu emphasized that authorities should effectively use tools such as minimum purchase prices and targeted price mechanisms, while coordinating market-based and policy-backed procurement to maintain reasonable prices for key agricultural goods, including grains.

On subsidies, Zhu recommended continued support for land quality protection, corn and soybean producers, rice subsidies, and subsidies for agricultural machinery purchase and use. Local governments should also be encouraged to pilot interest subsidies for loans used in grain planting.

Robust industrial growth is fundamental to rural revitalization and a crucial way to boost farmers’ earnings. Regions should leverage their unique local resources to develop distinct county economies, promote integrated progress across industry, community development, and population livelihoods, and plan industrial projects carefully to prevent uniform development and unhealthy competition.

Emerging business models like rural e-commerce and live-stream sales have grown rapidly. Zhu highlighted the need to improve policies and standards to ensure these models develop healthily and effectively help farmers increase earnings. Authorities should broaden ways for farmers to participate in industrial growth, ensure fair sharing of industrial profits, and build a healthy cycle linking industrial development with income growth.

Wage income remains the largest component of farmers’ total income. The policy advocates for strong support measures to stabilize employment among migrant workers, help key industries reduce costs and create more jobs, and expand vocational training tailored to labor market needs. It also calls for improved employment services for migrant workers, support for those returning home to work or start businesses, prompt wage payments, and increased efforts to eliminate wage arrears.