rural china: after 30 years’ reform - challenges to sustainable development of china
DESCRIPTION
Presentation by Professor Zuo Ting, Department of Development Management College of Humanities and Development China Agricultural University Part of the Institute of Development Studies' China and Development Seminar Series See http://www.ids.ac.uk/go/our-media/events for more development research events from IDSTRANSCRIPT
Rural China: After 30 Years’ ReformRural China: After 30 Years’ Reform----Challenges to Sustainable ----Challenges to Sustainable
Development of ChinaDevelopment of China
Zuo Ting, ProfessorZuo Ting, ProfessorDepartment of Development ManagementDepartment of Development ManagementCollege of Humanities and DevelopmentCollege of Humanities and Development
China Agricultural UniversityChina Agricultural University
Introduction to CAUIntroduction to CAU
College of Humanities and development at CAU College of Humanities and development at CAU is the leading organization in China to provide is the leading organization in China to provide education, research and consultation on rural education, research and consultation on rural development studies. Research Areas are:development studies. Research Areas are:– Poverty reduction and sustainable livelihood, Poverty reduction and sustainable livelihood, – Community based natural resource management, Community based natural resource management, – Farmer-centered research and technology Farmer-centered research and technology
development, development, – Gender and development, Gender and development, – Agricultural innovations and extension, Agricultural innovations and extension, – Rural governance and rural development policy, Rural governance and rural development policy, – Social capital, community based organization Social capital, community based organization
Content of PresentationContent of Presentation
History ReviewHistory Review
Bottlenecks of rural development in ChinaBottlenecks of rural development in China
Future ScenarioFuture Scenario
Thirty Years Reform & Thirty Years Reform & Development Since 1978Development Since 1978
Since 1978, China have launched Since 1978, China have launched economic reform which started from economic reform which started from rural /agricultural sector, and entered an rural /agricultural sector, and entered an Era of TransitionEra of Transition (rapid development and (rapid development and reform). reform).
Milestones of Rural Policy EvolutionMilestones of Rural Policy Evolution 1978 Launched reformed policy in the 3rd CC Plenary Meeting of CPC.1978 Launched reformed policy in the 3rd CC Plenary Meeting of CPC.1982 Confirmed household responsibility policy and end-up of Commune 1982 Confirmed household responsibility policy and end-up of Commune 1982 Strengthened Family Planning Policy1982 Strengthened Family Planning Policy1983 Deng’s talk allowing part of people being rich first1983 Deng’s talk allowing part of people being rich first1984 Confirmed support to TVEs (township and village enterprises)1984 Confirmed support to TVEs (township and village enterprises)1986 Set up of Poverty Alleviation Office under State Council1986 Set up of Poverty Alleviation Office under State Council1991 Deng’s talk on speeding-up economic reform1991 Deng’s talk on speeding-up economic reform1994 Formally implemented the Village Organic (autonomy)Law1994 Formally implemented the Village Organic (autonomy)Law1997 Yangtse Flood and following-up national ecological programs1997 Yangtse Flood and following-up national ecological programs2000 Launched West Development Policies to mediate east-west gap2000 Launched West Development Policies to mediate east-west gap2001 Been member of WTO2001 Been member of WTO2003 New Rural Cooperative Medical Policy implemented after SARS2003 New Rural Cooperative Medical Policy implemented after SARS2003 Launched Grain Subsidy Polices2003 Launched Grain Subsidy Polices2005 Terminated Agriculture Tax, in parallel, the increased merging of 2005 Terminated Agriculture Tax, in parallel, the increased merging of
townships, and proposed new countryside developmenttownships, and proposed new countryside development2006 Proposed policy support to migrated labor from rural2006 Proposed policy support to migrated labor from rural2007 Promulgated law of cooperatives, and policy on rural minimum living 2007 Promulgated law of cooperatives, and policy on rural minimum living
standardstandard
GDP from AgricultureGDP from Agriculture
Unit: 100 Million CNYUnit: 100 Million CNY
0
5000
10000
15000
20000
25000
1978
1980
1982
1984
1986
1988
1990
1992
1994
1996
1998
2000
2002
2004
Income of rural people Income of rural people in contrast to urban peoplein contrast to urban people
Unit: CNYUnit: CNY
0
2000
4000
6000
8000
10000
12000
14000
16000
1978
1980
1985
1989
1990
1991
1992
1993
1994
1995
1996
1997
1998
1999
2000
2001
2002
2003
2004
2005
2006
2007
城镇居民家庭人均可支配收入 农村居民家庭人均纯收入
HoweverHowever
the the Era of TransitionEra of Transition is not yet finished, is not yet finished, today’s rural China seems to face an today’s rural China seems to face an impasseimpasse for further development/reform. for further development/reform.– BottleneckBottleneck– DirectionDirection
Bottlenecks of “Transition” of Rural Bottlenecks of “Transition” of Rural ChinaChina
Poverty and InequalityPoverty and InequalityLoss of Community Nature of Rural Village Loss of Community Nature of Rural Village Agriculture (reduced importance as family Agriculture (reduced importance as family income, but a public/state interest), for income, but a public/state interest), for what?what?Impasse of Land Tenure (privatisation vs Impasse of Land Tenure (privatisation vs collective owned)collective owned)Political Conflicts in Rural GovernancePolitical Conflicts in Rural GovernanceResource and Environment Sustainability Resource and Environment Sustainability
Rural Poverty and InequalityRural Poverty and Inequality
Reduced absolute poverty (small size), Reduced absolute poverty (small size), increased relative poverty (large size)increased relative poverty (large size)– Debate on poverty lineDebate on poverty line
Increased inequality among regions, rural-urbanIncreased inequality among regions, rural-urban
In general, “rural” still implies “poor”. Rural In general, “rural” still implies “poor”. Rural people shares less bonus (or even bares more people shares less bonus (or even bares more loss) of development and reform, which loss) of development and reform, which challenges its ligitimacy. challenges its ligitimacy.
Population of PoorPopulation of PoorFrom 250 million in 1978 to 14.8 million in From 250 million in 1978 to 14.8 million in 20072007
Unit: % Unit: %
0
5
10
15
20
25
30
35
1978
1985
1990
1991
1992
1993
1994
1995
1996
1997
1998
1999
2000
2001
2002
2003
2004
2005
2006
2007
中国官方贫困线 PPP1美元标准
““Erosion” of Erosion” of Community NatureCommunity Nature of of Rural VillageRural Village
Unique rural-urban migration in China Unique rural-urban migration in China (young labor left) which results in (young labor left) which results in disorganization of rural community:disorganization of rural community:– Culture identity, collective action, etc.Culture identity, collective action, etc.– Issues of elites leaving and vulnerable group Issues of elites leaving and vulnerable group
left-behind left-behind
Agriculture for What?Agriculture for What?
Agriculture as source of family income becomes less Agriculture as source of family income becomes less profitable due to uneconomic of land scale and compared profitable due to uneconomic of land scale and compared to off-farm income.to off-farm income.
It is still important to poor, which is not focus of agriculture It is still important to poor, which is not focus of agriculture policy. policy.
But, It is always a state/public concern/interest of food But, It is always a state/public concern/interest of food security/safety issue. security/safety issue.
Underestimated the social, environmental as well as long-Underestimated the social, environmental as well as long-run economic cost of (modern) agricultural development.run economic cost of (modern) agricultural development.
Collective Land Tenure Collective Land Tenure (privatisation vs collective owned)(privatisation vs collective owned)Incomplete property rights to collective members Incomplete property rights to collective members (guaranty, sell, etc.), (guaranty, sell, etc.), less incentives of investment less incentives of investment
instability of household contract policy in terms instability of household contract policy in terms of village community transition (people mobility, of village community transition (people mobility, demographic change, urbanization) demographic change, urbanization) Protection of peasants rights in the process of Protection of peasants rights in the process of expropriation of land from collective owned expropriation of land from collective owned agriculture land to state owned commercial landagriculture land to state owned commercial landUncertainty of future (contract right vs property Uncertainty of future (contract right vs property right)right)
Resource and Environment Resource and Environment SustainabilitySustainability
– Pollution from intensity of agriculture, Pollution from intensity of agriculture, – Resource depletion (land, water, forest, Resource depletion (land, water, forest,
grassland), grassland), – Fragmentation of land and ecosystemFragmentation of land and ecosystem– Loss of agrobiodiversityLoss of agrobiodiversity– Artificial intervention/building of ecosystemArtificial intervention/building of ecosystem
Rural GovernanceRural Governance
Lack of group representation/interest Lack of group representation/interest appealing of rural people in national appealing of rural people in national politics;politics;Capacity building and enabling support to Capacity building and enabling support to village autonomy/local government body;village autonomy/local government body;
Centralized governance structure results Centralized governance structure results in policy failure/lower effectivenessin policy failure/lower effectivenessAccountability of local governmentsAccountability of local governments
Future Scenario of rural Future Scenario of rural development… development…
Depends on both political wills and policy Depends on both political wills and policy instruments of government to address issue of instruments of government to address issue of “dual system” “dual system” – Radical or incremental?Radical or incremental?– Priority setting?Priority setting?– Development Approaches?Development Approaches?
In context of In context of – Globalization (in both economic and environment Globalization (in both economic and environment
dimension)dimension)– Increasing appealing of different interest groups Increasing appealing of different interest groups – Reduced resource consumption/degradationReduced resource consumption/degradation
Thank You!Thank You!