CONSIDERATIONS ON THE DEVELOPMENT OF AGRICULTURE IN THE PEOPLES-REPUBLIC-OF-CHINA

Despite China's restrictive family policy, its population will grow to over 1.3 billion in the next 10 years, with a concomitant rise in the demand for food. In view of the size of the sectar and the lack of foreign exchange, economic aspects, too will require that high priority is afforded to harnessing all available resources to raising farm production. The introduction of the present market system in the early 80's, with its differential price-sales for major products, brought high incentives for farmers, accompanied by an initial rise in production. Analysis of the ensuing phase of stagnation reveals that in the medium and long terms, a more flexible land policy would have permitted dynamic adaption to changing agricultural and economic framework conditions. Because machinery cannot be fully exploited on the small plots of land available, the current land legislation involves relatively high capital investment, tying down capital urgently required for the expansion of other branches of the economy, whose demands would automatically lead to cuts in farm labour forces surpluses. Over and above any rises in production, measures will also have to be taken in future to restrict losses of farmland through erosion, overgrazing and atmospheric pollution.