Tuesday, February 21, 2012

No. 1 Central Document of 2012 Focuses on Agricultural Technology

On 1 Feb. 2012, a high-profile policy, namely the No. 1 Central Document of 2012 (the Document), was jointly issued by the Central Committee of the Communist Party of China and the State Council, which aims to encourage the development of both frontier agricultural technologies and basic research so as to maintain the sustainable growth of agricultural industry. It is predicted that the total investment in agricultural field this year will continue to exceed USD158.48 billion (RMB1,000 billion), based on CCM International’s latest issue of Crop Protection China News.

The main contents of the Document are considered to be almost the same as the result predicted by domestic experts at the end of 2011. The Document is the ninth consecutive No. 1 Central Document in China to focus on agricultural issues in the past nine years and it is the first Central Document for Chinese government to fully deploy works on agricultural technology since the foundation of New China in 1949.

The main contents of the Document totally consist of six parts. According to CCM International, the six parts can be concluded into two main parts, large investment in agricultural technology and integrity of the circulation network of agricultural produces.

Large investment in agricultural technology not only means to largely invest in the development of agricultural technology but also to improve the innovation condition of agricultural technology and cultivate more qualified technical personnel.

Aiming to cooperate with the investment in agriculture technology and ensure the leading role of the investment from the Chinese government, the Document promises to ensure a larger growth rate of investment in agricultural technology than that of regular national revenue.

Moreover, the Document emphasizes on the innovation of agricultural technology, especially the innovation in seed industry. It will continue to increase the investment in the research on public welfare and basic research in seed industry. It encourages experts and researchers in research institutes and universities to pay more attention to the research on the cultivation of new breakthrough species.

It also promises to set up a new commercial breeding system based on seed enterprises as soon as possible and encourages domestic enterprises with strong competitiveness to enter seed industry through M&A and investment in seed enterprises.

GM seed industry which has been mentioned in the No. 1 Central Document of 2011 has been brought back to the table again in 2012. With coming large investment in GM seed breeding research, the Document requires that a batch of significant and basic theories and technologies in GM seed breeding shall be achieved in the next few years.

At last, the Document also refers to the integration of circulation network of agricultural produces in 2012. Owing to some serious unsalable cases of agricultural produces in recent years, Chinese government decided to further perfect the circulation network in the whole country and set up a new sales model based on effective connection of production and consumption of agricultural produces.

Although the Document has expressed the Chinese government's determination to develop agricultural technology, a tickler still bothers it at present. Fewer and fewer farmers are willing to do planting, which causes large areas of farmland uncultivated. Furthermore, with the fast development of urbanization, China's farmland has been decreasing rapidly in the past decades. Rousing up the planting enthusiasm of farmers is becoming one of the most important tasks for Chinese government, and it is predicted to be very tough in the future.


Content of Crop Protection China News 1202:
No. 1 Central Document of 2012 focuses on agricultural technology
12th Five-Year Plan for Pesticide Industry released
Minimum purchase price of grain crops rises
Chinese glyphosate formulations face anti-dumping investigation by Australia
Lager planting areas in Yunnan attacked by severe drought
Overview of China's pesticide registration 2011
Jiangsu Limin to try IPO again
Lianhe Technology achieves good performance in 2011
Hebei Veyong's net profit decreases by 63.07% in 2011

Crop Protection China News, a semimonthly publication issued by CCM International on 15th and 30th(31st) of every month, aims to gain a deep insight into Chinese market, supply the latest market data and strategy support, analyze the newest legislation and policy and grasp the future market trend.


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