China to speed up industrialization of rural areas
( 2003-11-12 21:25) (Xinhua)
The Chinese government will
reinforce efforts to accelerate the development of companies engaged in
agricultural business in an effort to spur rural economy, said senior officials
of agriculture administration Wednesday.
These companies will receive more support from the government as the
industrialization of rural areas holds a very important position in the central
government's blueprint of agricultural development, said Du Linqing, minister of
agriculture, at the opening ceremony of the First China AG Trade Fair.
As one of the efforts to stimulate rural development, the fair provides a
chance for Chinese companies to enhance links with clients both at home and
abroad, said Du.
By the end of 2002, the nation had about 94,000 agricultural companies that
deal with planting, processing, transporting or transaction, which means a 41.6
percent rise from 2000.
Among them, 372 are national key corporations with a leading position in
their own realm and on average each boasts around 250 million yuan (30 million
US dollars) of capital assets and 710 million yuan (86 million US dollars) of
sales volume.
Most of the key corporations are in good operation with clear ownership and
fine management and will have more influence on the rural economy, said Fan
Xiaojian, deputy minister of agriculture.
However, the performance of the majority of agricultural companies is not so
satisfying and the common problem is a lack of effective management and
competitiveness, noted Fan.
According to Fan, the Ministry of Agriculture has suggested that a
comprehensive guideline be worked out to include solutions for the development
of agricultural companies with consideration to tax policies, financing,
technology upgrade, environment protection and other related aspects.
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