Agro-Industrialization

This paper analyses and compares the differences between China and developed countries in terms of resource endowment, agricultural productivity, scale of farmland operation and agricultural intensification. Major findings include: (1) agriculture in China has insufficient natural resources (for agricultural production) but abundant labour resources, low labour productivity but relatively high land productivity; (2) China's ultra-small farm size has seriously hindered increases in labour productivity and in farmers' incomes; (3) China's agriculture has low intensification, limited mechanization but high chemical utilization; and (4) the organization of farmers in China is very limited, resulting in a poor ability to overcome natural and market risks. Recommendations are made on policies for further development of China's agricultural industrialization.